Business Ethics:Acting and Communicating

Ethically

What is Ethics? ________ is defined as

a code of moral principles that sets standards of what is “good” and “right” as opposed to “bad” and “wrong” in the conduct of a person or group

Today’s society requires businesses to operate in an ethical manner

Ethics

Ethical Systems As our workplaces become increasingly more

competitive and complex it is important to develop a strong sense of right and wrong in the daily decision-making process

As a future professional, you need to have a practical working knowledge of ethics

There are three ___________________ which can be used to analyze the correctness of business and personal decisions

Ethical Systems

Ethical Systems1. ________________ Under this system, you judge whether your act is

ethical by weighing its consequences; that is, how the act impacts those affected by it.

An ethical act should have utility (usefulness); that is, it should work for the general good of whatever group it concerns.

An ethical act will do the greatest good for the greatest number of people. Conversely, an unethical act will do the greatest good for the least number of people

Utility Based

Scenario

You are asked to write a cigarette advertisement as part of your job. Using the Utility Based

system of ethics, is this an ethical task?

Utility Based Scenario AnalysisPositive Points Tobacco farmers (jobs) Cigarette manufacturers

(jobs) Stockholders in cigarette

companies The economy

Negative Points Smokers suffer cigarette

related illnesses Smokers die prematurely High costs of health burden

on insurance companies High costs of health burden

on the government’s medical programs

Higher insurance premiums for all citizens

Higher taxes for all citizens (whether you smoke or not)

Utility Based Scenario AnalysisFrom a Utility-Based point of view writing advertisements to market cigarettes is …

An unethical act since it does more harm than good, as writing the ad would hurt

more people than it would help.

Ethical Systems2. ________________ Under this system the ethical test judges the acts

themselves rather than the consequences of the acts; that is, acts are measured against rules

These rules often come from religion (the 10 commandments), from generally accepted principles (it is unethical to lie, cheat, etc.) or from the law (It illegal to steal, kidnap, assault, etc.)

A ____________ Rule-Based system might accept no lying under any circumstances whereas as a _____________ Rule-Based system might accept white lies as being okay

Rule-Based

Strict

Flexible

Scenario

You are asked to write a cigarette advertisement as part of your job. Using the Rule-Based

system of ethics, is this an ethical task?

Rule-Based Scenario AnalysisFrom a Rule-Based point of view the act of writing an advertisement to market cigarettes does not break any rules and therefore is an ethical act.

Unless you are lying in the advertisement and/or it is directed at an inappropriate target market, such as minors.

Ethical Systems3. __________________ Under this system of ethics it is assumed that everyone has

certain rights that, except under certain strictly defined circumstances, cannot be taken away

Our Canadian Constitution states that all Canadians share certain freedoms such as speech, liberty, personal happiness, etc. However, under certain circumstances criminals will lose their rights in order to protect society at large

We should treat our fellow human beings with dignity and not use them solely for our own interest or the interest of our organization

A Rights-Based system implies a fair exchange of goods for money and appropriate payment for a safe worth-while product

Rights-Based

Scenario

You are asked to write a cigarette advertisement as part of your job. Using the Rights-Based

system of ethics, is this an ethical task?

Rights-Based Scenario AnalysisFrom a Rights-Based point of view the act of writing an advertisement to market cigarettes is …

An ethical act because the employees and organization have the right to freedom of speech,

and consumers have the right to purchase the products they choose.

Business Ethics on the Job

Business Leadership:

BOH4MI

The Seven Business Ethics1. ________________ Standing up for what you believe is right This is how one gains trust in the business

world2. ____________ Being committed to certain people or groups Regardless of your position, continued loyalty

to the job and company is usually rewarded with a salary increase, promotion, etc

INTEGRITY

LOYALTY

The Seven Business Ethics3. ____________ Telling the truth Being open and honest shows that an employee

deserves the confidence of their boss

4. ____________________ Taking care of all aspects of your job Employees should recognize the value of going

above and beyond their own personal tasks for the good of the entire workplace

HONESTY

RESPONSIBILITY

The Seven Business Ethics5. _____________ Understanding another person’s point of view The ability to see situations from another’s

perspective opens the way for smooth, conflict-free business

6. ________________________ Keeping other people’s personal information private The ability to distinguish between harmless gossip

and sensitive facts, that should not be discussed, is vital

EMPATHY

CONFIDENTIALITY

The Seven Business Ethics7. _____________ Considering the feelings and viewpoints of

others when you act All people, from customers to co-workers to

the owner of the company, should be treated with respect

RESPECT

The Golden Rule of Ethics

Treat others as you would like to be

treated!!

Ethical Decision Making1. ____________________

Ask yourself; What are the facts? Who has a stake in the outcome of my

decision? How? What are all of my opinions? Who can I consult about this decision?

Consider the Situation

Ethical Decision Making2. ____________________________________

Ask yourself; Which option will do the most good? Which option will do the least harm? Which option promotes the common good for all

people involved? If you told someone you respect about your decision,

what would they say? How would you feel if your decision were published

on the Internet for all to see?

Evaluate your Possible Courses of Action

Ethical Decision Making3. _______________________

Ask yourself; How did the situation turn out? If I could do it over, would I make the same

decision twice? What have I learned for the future?

Reflect on your Decision

Great Workers … Are open to new ideas Have the initiative to put new ideas into action Show an interest in learning how to do the job the right

way Are flexible and ready to do anything Care about what others find important Pay attention when they are customers and notice how

others provide good service Know how to work well with a team Know when to take a break Volunteer to help others if they see a need

Great Workers Do Not … Blame others for their mistakes Get discouraged when others disagree with their ideas Assume anything negative about anyone or any

situation Gossip Excessively to talk to their friends while on the job Put off things that can be done now Complain helplessly instead of working to find a

solution Support an idea simply because others agree with it

Go Forth and Be Ethical!!!