In: Economics
Distinguish morals from ethics in Decision Making. Can an immoral person make ethical decisions? Discuss how an organization or business can create an ethical environment. Provide examples within a business context.
a thics and morals relate to “right” and “wrong” conduct. While they are sometimes used interchangeably, they are different: ethics refer to rules provided by an external source, e.g., codes of conduct in workplaces or principles in religions. Morals refer to an individual’s own principles regarding right and wrong.
Ethics are very consistent within a certain context, but can vary greatly between contexts. For example, the ethics of the medical profession in the 21st century are generally consistent and do not change from hospital to hospital, but they are different from the ethics of the 21st century legal profession.
An individual’s moral code is usually unchanging and consistent across all contexts, but it is also possible for certain events to radically change an individual's personal beliefs and values.
One professional example of ethics conflicting with morals is the work of a defense attorney. A lawyer’s morals may tell her that murder is reprehensible and that murderers should be punished, but her ethics as a professional lawyer, require her to defend her client to the best of her abilities, even if she knows that the client is guilty.
Another example can be found in the medical field. In most parts of the world, a doctor may not euthanize a patient, even at the patient's request, as per ethical standards for health professionals. However, the same doctor may personally believe in a patient's right to die, as per the doctor's own morality.
Ethical decisions can involve several determinations. The field of ethics, also known as moral philosophy, shows that there are various ways of systematizing, defending, and recommending concepts of right and wrong conduct. For example, from a consequentialist standpoint, a morally right action is one that produces a good outcome, or consequence. A utilitarian perspective takes the position that the proper course of action is one that maximizes overall happiness.
Most ethical decisions exist in a gray area where there is no clear-cut or obvious decision that can be determined solely through quantitative analysis or consideration of objective data or information. Ethical decision making requires judgment and interpretation, the application of a set of values to a set of perceptions and estimates of the consequences of an action. Sometimes ethical decisions involve choosing not between good and bad, but between good and better or between bad and worse.
Making ethical decisions also involves choice about who should be involved in the process and how the decision should be made. For example, if a decision will have a significant impact on the local community, leaders may feel obligated to invite a representative of the community to participate in discussions. Similarly, decisions with a significant ethical dimension may benefit from being made by consensus rather than by fiat—to demonstrate that the choice is consistent with an organization ‘s espoused values.
For our purpose we will reserve the term "moral" for use in a personal decision making context. This means that we will use "moral" when dealing with personal or life decisions with a focus on "right conduct" as the result of a personal choice. Ethical decision making will be reserved for use in a group decision making context. Specifically, we will address ethical decision making in business as providing the guiding requirements or goals for right conduct. These requirements often come as the result of organizational definition, agreement, or long-standing custom. There is clear recognition that ultimately a personal choice must be made with respect to right conduct, but business ethics will provide the assessment framework for correct behavior in the business organization.
b. Most certainly. However, those that seek to make moral personal decisions have the will or desire to seek what's right over the long term. This will be reflected in their ethics in decision making (decisions made in the business context). There will also be the case where a person's morals may come into conflict with the organization's ethics. Expect this to be the greatest source of dilemmas in ethics and decision making in an organizational context.
c. Ethics in the workplace are vital, even to small business owners. No company wants to be known as unethical, and employees are more apt to display higher morale and more productivity when they know they are working for a morally sound company. It is important to create a conscientious workplace that is transparent, both to employees as well as the general public. Small business owners should never tolerate inappropriate behavior in an employee and employees should be properly trained on what is considered unethical and ethical.
1.Set an example for your workforce. In order for employees to behave in an ethical manner, they need to know that they are working for a moral boss. They will be much less likely to display signs of unethical behavior if they know that this type of behavior will not be tolerated or ignored.
2.Create a policy dealing with ethics. This company policy should state your expectations for your employees as well as outline what is and is not considered acceptable. Having a clearly written policy will help you take action should an employee act unethically.
3.Allow employees to report unethical behavior in a safe environment. No one enjoys ratting out a fellow employee, particularly if it will be made known who turned the person in. Give your employees a safe and anonymous way to air their complaints so that you can investigate the act and take action if necessary.
4.Provide ethics training to your workforce. A simple course in basic business ethics can go a long way towards helping your employees learn what is not acceptable. Free courses are available online to small businesses with limited budgets. Larger companies can typically hire a motivational speaker knowledgeable on this subject or pay for a more intensive course.
5.Punish any violators of your ethics policy. One bad employee can ruin the image of the entire company. It is necessary to establish a zero-tolerance policy for unethical behavior. Once it is known that those who cross the line will be punished, employees will be much less likely to exhibit unethical behavior.