Practical Ethics for Busy Accounting

Professionals (a one-hour CPE training workshop)

Dr. Jim WeberDuquesne University

April 26, 2012

Model for Ethics Training ?

The “LEFT TURN” versus“RIGHT TURN” of

Ethics

Taking a LEFT turn on red is prohibited, you must wait for the traffic light to change – you must

ADHERE TO THE RULES

Taking a RIGHT turn on red is permitted, you do not need to wait for the traffic light to change –

YOU CAN ACT IF SAFE TO DO SO

Ethics: The Basics What is applied ethics?

The application of rules or standards… to guide or judge

… good or preferred individual or group… decisions or behavior.

Are ethical situations common at work?Ethical situations are common at work,

present in nearly every basic or commonplace task performed by managers or employees.

What influences ethical decision making?Decision-maker, organization, context

Influences on Ethical Decision MakingThe decision-maker values, beliefs, experience, expertise,

role responsibilities, reasoning skillsThe organization culture, leadership, codes/policies,

compensation systems, opportunity, performance appraisal, organizational systems, reporting mechanisms, significant others

The context magnitude of consequences, violation

of policy, frequency of situation, proximity, probability, immediacy

Ethics Training, Dilbert Style

The 3 R’s of Ethics: An Ethical

Decision-making FrameworkRecognitionReasoningResolution

Recognizing Ethical Situations

What is a common workplace practice for you in your profession?

Does this practice give cause for ethical analysis or reflection?

If so, why? What ethical values or principles are relevant when trying to resolve the situation?

Ethical Principles at Work

What ethical principles are found in your most common workplace practices?

Do your DUTY Do NO HARM

Be FAIR and JUST Respect others’ RIGHTS

Be HONEST and TRUSTWORTHY

Reasoning through Ethical Situations:

Selecting Your Ethical FocusThe focus of your ethical reasoning might be: Concern for yourself, avoidance of

punishment

Concern for an immediate group (peers, workers) or for your organization

Concern for the customers, neighborhood, professional colleagues, industry

Concern for the law, professional standards

Concern for applying consistent principles, such as honesty, justice, rights

We all face troubling issues at work in our role as a professional.

What situation or work practice “keeps you up at night”

wrestling with the ethical question: What should I do?

From an ethical perspective, what keeps up you up at night?

Organizational influences:◦culture, leadership, codes/policies,

compensation systems, opportunity, performance appraisal, organizational systems, reporting mechanisms, significant others

What is the GREATEST organizational influence?

Organizational culture / climate

Resolution: Influences from your Organization and (versus)

Profession

Creating an Ethical Organization

Culture/climate is at the foundation of an ethical organization … then, the values or behavioral expectations need to be:

codified for employees … reinforced through training… integrated into appraisal assessment … rewarded or punished …To result in an ethical organization.

Reflections on today’s training

Were your two or three expectationsfor today’s ethics training met?

Will today’s training be useful tomorrow (or later today) when you return to work?