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MGT 375
Business Ethics
61
Business
Undergraduate 3
02/26/2013

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Term
unethical behavior meets all of these criteria:
Definition
Self-serving (selfish)
Insensitive
Harmful to someone
Term
Morality
Definition
the standards of behavior by which people are judged in their relationships with others (usually in terms of evaluating behavior as right v. wrong; fair v. unfair; good v. bad; etc.)
Term
Ethics
Definition
the system of beliefs that supports one’s particular view of morality (e.g., religious; work ethic; ethic of care; parental “rules”; role models; influential readings; etc.)
Term
Norms
Definition
behavior that is actually occurring; what one has come to expect in a given context (NOT what it should be, but what it IS). For example, in a high pressure work environment, you’d expect people to look and feel tense (the norm in that setting)
Term
Normative
Definition
what should be occurring – not what IS occurring, but rather the behaviors that most would prefer in a given context.
Term
Stakeholders
Definition
all who impact – or are impacted by – an organization. Can be non-human entities as well (e.g., community, the environment, local culture).
Term
Triangulation
Definition
using 3 or more different methods to analyze any complex issue. With ethic-related issues, ideally using at least one consequentialist framework (e.g., outcomes-based framework like Utilitarianism) and at least one deontological one (e.g., duty-based / obligation-based frameworks like those of Kant and Rawls; empathy, rights, responsibilities, etc.)
Term
Assumption - Humans have 2 primary instincts:
Definition
1)self-interest (which tends to be the dominant instinct driving behavior)
2)helping others (subordinate to self-interest , but often will impact behavior in most – think about parents and grandparents!)
Term
What are the 2 major tests of business?
Definition
1)Legality
2)Profitability
Term
Selfish
Definition
1)concerned excessively or exclusively with oneself : seeking or concentrating on one's own advantage, pleasure, or well-being without regard for others
2)arising from concern with one's own welfare or advantage in disregard of others (a selfish act)
Term
what are the 4 unconscious biases?
Definition
1) Implicit prejudices
2) In-group favoritism
3) Overclaiming credit
4) Conflicts of interest
Term
Implicit prejudices
Definition
(bias due to unconscious beliefs)
Term
In-group favoritism
Definition
(bias that favors your group)
Term
Overclaiming credit
Definition
(bias that favors you)
Term
Conflicts of interest
Definition
(bias that favors those who can benefit you)
Term
products of ethical reputation
Definition
High trust
Higher productivity
Long-term loyalty
Term
outcomes of ethical behavior?
Definition
-Stronger relationships (with both internal & external ‘stakeholders’)
-Faster transactions
-Fewer legal fees AND stay ahead of changes in law / regulations
-Ethical behavior -> trust -> greater commitment -> effort -> productivity!!
-Lower turnover
Term
economic outcomes = ?
Definition
benefits & harms
Term
what are the JLORD principles?
Definition
justice, liberty, opportunity, respect, and dignity
Term
Universal First Principle
Definition
Members of a group bear some form of responsibility for the well-being of other members of their group.” Otherwise, life would be “selfish, nasty, brutal, uncivilized, & short” 1
Term
what are the 8 key ethical lenses?
Definition
Character
Empathy
Liberty
Fairness
Rights
Outcomes
Authority
Responsibilities
Term
Empathy
Definition
how would I respond if I cared deeply about those involved?
Term
Fairness
Definition
how can I act equitably and balance all interests?
Term
Character
Definition
what actions will help me become my ideal self, a person with admirable virtues?
Term
Liberty
Definition
what principles of freedom and personal autonomy apply?
Term
Rights
Definition
what rights (e.g., innate, legal, social) apply?
Term
Responsibilities
Definition
what duties and obligations apply?
Term
Outcomes
Definition
what are the short-term and long-term outcomes of possible actions?
Term
Authority
Definition
what do legitimate authorities (e.g., experts, law, my god[s]) expect of me?
Term
consequentialism
Definition
Ethics focused on Outcomes/Results
Term
List the 3 types of "consequentialism" frameworks
Definition
1)Utilitarianism
2)Altruism
3)Egoism
Term
what is the most widely accepted of the 3 consequentialist frameworks?
Definition
Utilitarianism
Term
Utilitarianism (aka ‘Utilitarian Benefits’); same def. as SOFT util.
Definition
a ‘Consequentialist’ theory focused on ends, NOT means. Often reduced to “take any action that results in the greatest good for the greatest number” [Primary thought leaders: Jeremy Bentham, John Stuart Mill, & others]
Term
key features of a utilitarianism?
Definition
-maximizing utility (usefulness; satisfaction; happiness) for the greatest number
-the morality of outcomes/ends (not actions, means, process, intent) (with Util, ‘immoral means’ can be used as long as the outcomes are deemed moral)
-often a ‘cost/benefit calculation’
Term
goal of Utilitarianism
Definition
Reduce selfishness and instead focus on achieving outcomes that do the greatest good for the greatest number (Note: some may get harmed but most should benefit)
Term
problems w/Utilitarianism
Definition
-Fails to consider the ‘how’ (process, means)
-Fails to consider the severity & impact of those harmed (‘Util Monster’ and ‘Util Sacrifice’)
-‘immoral means’ to achieve ‘moral ends’ – want to be on the receiving end of such means?
-How should benefits and harms be measured and distributed?
-Who should be in the ‘greatest number’ and who shouldn’t?
Term
Monetized Utilitarianism
Definition
placing $ amount on a cost/benefit calculation (think Ford Pinto case-$ amount of life)
Term
Hard Utilitarianism
Definition
adds the qualifier – only take this action when the total benefit is greater than any other action
Term
Act Utilitarianism
Definition
An act is recommended if net happiness occurs (or the greater good is served)
Term
Rule Utilitarianism
Definition
Net happiness occurs (or the greater good is served) when certain rules are followed (e.g., never steal)
Term
Altruism
Definition
Doing whatever brings the most benefit to others (not necessarily to self)
Term
Egoism
Definition
Doing whatever brings ME the most benefit (while not breaking any laws)
Term
you = ___ + ___
Definition
rider + elephant
Term
rider
Definition
conscious; reasoning; deliberate; serial; new systems; verbal
Term
elephant
Definition
unconscious/semi-conscious; intuitive; instinctive; automatic; parallel; old systems; non-verbal
Term
The old hypotheses
Definition
Moral judgments were thought to be made by the head (the ‘rider’), not the heart/gut.
Term
New Research
Definition
Moral Judgments rarely appear to be the result of a careful, logical, reasoned processes …(oh no!), but rather the result of largely (think elephant) intuitive, emotional, automatic, instinctive, socially influenced, and selfish-biased processes.
Term
what are the 3 levels of Kohlberg's stages of moral maturity?
Definition
1) Pre-conventional
2) Conventional
3) Post-conventional
Term
Pre-Conventional
Definition
(Morality judged solely by direct consequences; egocentric focus on self)
Term
Conventional
Definition
(Morality judged by conformity to expectations & rules; little to no questioning of such ‘rules’; behavior based on comparison)
Term
Post-Conventional
Definition
(Morality judged by rights & principles, NOT by conformity)
REQUIRES COURAGE
Term
6 stages of moral maturity?
Definition
--Stage 1: Obedience and punishment orientation
--Stage 2: Self-interest orientation
--Stage 3: Interpersonal accord and conformity
--Stage 4: Conformity to authority, rules, laws (necessary for maintaining social-order)
--Stage 5: Social contract orientation; Rights & democratically changed laws
--Stage 6: Universal ethical principles--
Term
Stage 1: Obedience and punishment orientation
Definition
Morality based on not getting punished (“If I get punished, I must have behaved immorally”)
Term
Stage 2: Self-interest orientation
Definition
Morality based on whatever is best for me. Interest in others is only to get something in return (reciprocity).
Term
Stage 3: Interpersonal accord and conformity
Definition
Morality based on conforming to those in one’s social group (includes family, friends… but not ‘society’); ‘good boy, good girl’
Term
Stage 4: Conformity to authority, rules, laws (necessary for maintaining social-order)
Definition
Morality based on conformity to authority (those who enforce rules) and to societal rules (laws, norms)
Term
Stage 5: Social contract orientation; Rights & democratically changed laws
Definition
Morality based on proactively (and democratically) changing laws to ensure “the common good”
Term
Stage 6: Universal ethical principles
Definition
Morality based on justice and in a firm belief in what is ‘right’ – even if it means disobeying current laws.
Term
What are ethics' 2 big 'camps'
Definition
Consequentialism & Deontology
Term
Consequentialism
Definition
-the consequences  (ends, outcomes) of one's conduct are the ultimate basis for any judgment about the rightness (morality) of that conduct.
-a morally right act (or omission) is one that will produce a good outcome, or consequence; does not focus on the behaviors (or means) to achieve outcomes.
Term
Deontology
Definition
-judges the morality of an action based on the action's adherence to rules (formal or informal).
-Deontologists care most about the rules, duties, obligations, and sensitivity to the means (processes/behaviors) used; not focused on moral outcomes.
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