Question

In: Economics

(This question related to the Organizational Behaviour) Consider the use and effectiveness of ethical decision making...

(This question related to the Organizational Behaviour)

Consider the use and effectiveness of ethical decision making in your organisation, or an organisation with which you are familiar. Based on your research, write an essay entitled Organisations and Ethical Decision Making. (Avoid the report style with numbered sections and excessive use of bullet points).

Guidance:

It should be divided into the following sections:

  • An Introduction
  1. Is rational decision-making better than intuitive decision making? If so, when?
  2. Describe and explain the causes of creative behaviour on your own organisation
  • A Conclusion

Solutions

Expert Solution

Answer-

An introduction-An ethical decision is one that engenders trust, and thus indicates responsibility, fairness and caring to an individual. To be ethical, one has to demonstrate respect, and responsibility. Ethical decision-making requires a review of different options, eliminating those with an unethical standpoint, and then choosing the best ethical alternativeDecision making is the process to select a course of action from a number of alternatives. Like planning, decision making is also all-pervasive and like forecasting, decision-making is also an important part of planning. For any organization, policy documents help in taking managerial decisions.

Use and effectiveness of ethical decision making-Ethical decision making is the process in which you aim to make your decisions in line with a code of ethics. To do so, you must seek out resources such as professional guidelines and organizational policies, and rule out any unethical solutions to your problem.

Decisions on ethics are necessarily limited to actions and words (e.g., no deceit in sales promotion, use words to manipulate performance, ...). Right behavior can be evaluated though actions and words, but there is no way to know one's thoughts. Per our distinction, thoughts and beliefs (e.g., I want to help and benefit my customer as opposed to I want their money without regards to what is right, personal gain at the cost of someone else's reputation, ...) will be confined to moral decisions that are part of personal decision making.

Clearly our thoughts affect our words and deeds, and in a group context, ethics in decision making can be evaluated through the tangible evidence and outcomes from words and actions. Again, thoughts and motivation are left to the personal realm. As a consequence, evaluation of appropriate ethical behavior will have limitations. In all outcomes there are the following possibilities:

  • Right motivation with right action
  • Right motivation with wrong action
  • Wrong motivation with right action
  • Wrong motivation with wrong action

Rational decision-making versus intuitive decision making-

The business decision-making process doesn’t always follow a standardized methodology or a rigidly and precisely modeled process.This methodological inconsistency (and, therefore, process) occurs at an increasing rate, as the hierarchical level of the decision maker increases. While making a decision, whether an organization or a person, takes two aspects into consideration:

Rational Approach — A rational approach is typified by making decisions in a deliberate and logical manner. This tends to be linked to a structured decision methodologies and reliance on existing concepts and cognitive categories to filter data.

Intuitive Approach — An intuitive individual is seen as working on the basis of a hunch or impression of an issue or situation. This is associated with iterative and trial-and-error decision-making approaches, where the individual’s focus tends to be on the stimulus for the decision itself.

Rational decision-making is better than intuitive decision making in many ways like-

The rational approach to decisions is based on scientifically obtained data that allow informed decision-making, reducing the chances of errors, distortions, assumptions, guesswork, subjectivity, and all major causes for poor or inequitable judgments. Such an information and knowledge based approach promotes consistent and high quality decisions, and reduces the risk and uncertainties associated with decisions.

The rational method infuses the decision-making process with discipline, consistency, and logic. It is a step-by-step approach that requires defining problem, identifying the weighing and decision criteria, listing out the various alternatives, deliberating the present and future consequences of each alternative, and rating each alternative on each criterion. Such a sequential approach allows the decision maker to arrive at the optimal decision.

The following are the causes of creative behavior in my organisation-

We schedule time for creative endeavour. Encourage creativity in the workplace by giving employees 20 per cent of their working time per day on side projects, providing them the much needed break from their regular workload.

We put up happy images and colors around the working area.Grids and charts tend to structure an employee’s way of thinking. Break the monotony by putting up happy colors and images around the working area to divert employees’ attention and allow them to think outside-the-box.

We provide opportunities to play. Playing may seem counterproductive, but several researches indicate that integrating play into the workplace harnesses creativity.

We allow room for interaction.Isolating employees in their work cubicles every single time will increase stress and hinder creative thought processes. One good way to counter this is to encourage unstructured conversations which can lead to discovery of unturned ideas.

Conclusion-Creative organizational behaviour is born from the prodding and encouragement of a good department leader. By complementing the workplace with materials and venues where creativity thrives, your employees will likewise generate ideas that prove to be wonderful and significant to every company.


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