Chapter 1 An Overview of Ethics Objectives

1
Chapter 1 - An Overview of Ethics Objectives

• Understand ethics and code of principles.
• Understand why business ethics are becoming
  increasingly important.
• Identify what actions corporations are taking to
  reduce business ethics risks.
• Understand why corporations are interested in
  fostering good business ethics.
• Identify different approaches to ethical decision
  making.
• Discuss the risk of negative impact due to the
  unethical use of information technology.

2
Ethics Defined (1)

• Morality refers to social conventions about right
  and wrong human conduct.
• Moral codes are the rules that establish the
  boundaries of generally accepted behavior.
• Ethics are beliefs regarding right and wrong
  behavior.

3
Ethics Defined (2)

• Virtues are habits that incline us to do what is
  acceptable.
• Vices are habits that incline us to do what is
  unacceptable.
• (Name a few virtues and vices.)
• Value System is the complex scheme of moral
  values that we choose to live by.

4
Discuss

• Conflict in values
• Discussion recall a situation in which you had
  to deal with a conflict in values.
• Law and Ethics
• Discussion Is every action that is legal also
  ethical?

5
Ethics in the Business World

• Globalization of organizations have created a
  complex business world.
• Risk is the likelihood of a negative event times
  the impact of the event.
• The risk associated with inappropriate behavior
  have increased both in their likehood and in
  their potential negative impact on the
  organization.
• ? Name a few examples

6
5 Reasons Why Business Ethics are Important

• Protect the organization and its employees from
  legal action.
• Create an organization that operates
  consistently.
• Produce good business.
• Avoid unfavorable publicity.
• Gain the goodwill of the community.

7
How to Improve Corporate Ethics

• Appoint a corporate ethics officer.
• Ethical standards should be set by a board of
  directors.
• Establish a corporate code of conduct.
• Conduct social audits.
• Require employees to take ethics training.
• Include ethical criteria in employee
  appraisal/reward systems.

8
Code of Conduct

• A guide that highlights an organizations key
  ethical issues and identifies the overarching
  values and principles that are important to the
  organization and that can help in decision
  making.
• The code of conduct helps ensure that employees
• Abide by the law.
• Follow necessary regulations.
• Behave in an ethical manner.

9
Seven-Step of Ethical Decision Making

• Get the facts.
• Identify the stakeholders and their positions.
• Consider the consequences of your decision.
• Weigh various guidelines and principles
• (common approaches Virtue, Utilitarian,
  Fairness, Common Good).
• Develop and evaluate options.
• Review your decision.
• Evaluate the results of your decision.

10
Philosophical Theories fro Ethical
Decision-Making
11
Ethics in Information Technology

• The increased use of information technology has
• raised many ethical issues for todays IT
• professional.
• Licensing of IT professionals
• Internet communication
• Intellectual property
• Employee/employer issues

12
Summary

• Ethics are beliefs regarding right and wrong
  behavior.
• Business ethics are becoming increasingly
  important because the risks associated with
  inappropriate behavior have grown.
• 5 Reasons why corporations are interested in
  fostering good business ethics.
• Seven-step ethical decision making process.
• The growth of use in IT has also increased the
  risk of unethical uses of IT.