Managerial ethics and corporate social responsibility

Vertinimas
Vilnius
200
WHAT IS MANAGERIAL ETHICS?
Ethics – the code of moral principles and values that govern the behaviors of a person or group with respect to what is right or wrong.
Ethics can be more clearly understood when compared with behaviors governed by laws and by free choice. Human behavior falls into three categories:
• The domain of codified law, where values and standards are written into the legal system and enforceable in the courts. In this domain obedience is to laws prescribed by the legal system.
• The domain of free choice pertains to behavior about which law has no say and for which an individual or organization enjoys complete freedom. In this domain obedience is to laws prescribed by the legal system.
• This domain of ethics has no specific laws, yet it does have standards of conduct based on shared principles and values about moral conduct that guide an individual or company. In this domain obedience is to unenforceable norms and standards about which the individual or company is aware.
Many companies and individuals get into trouble with the simplified view that either law governs choices or free choice governs choices. It leads people to mistakenly assume that “ If it’s not illegal, it must be ethical,” as if there were no third domain. A better option is to recognize the domain of ethics and accept moral values as a powerful force for good that can regulate behaviors both inside and outside corporations.
CRITERIA FOR ETHICAL DECISION MAKING
Most ethical dilemmas involve a conflict between the needs of the part and the whole–the individual versus the organization or the organization versus society as a whole. Managers faced with these kinds of tough ethical choices often benefit from a normative approach - one based on norms and values-to guide their decision-making. Normative ethics uses several approaches to...

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