Download Chapter 1 - Introduction: Ethics and Information Technology

Chapter 1
An Overview of Ethics
Chapter 1 - An Overview of Ethics
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Chapter 1 - Objectives
1.
2.
3.
4.
5.
6.
To understand ethics and why they are important in
ways that are consistent with a 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.
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Ethics Defined
• Moral codes are the rules that
establish the boundaries of generally
accepted behavior.
• Morality refers to social conventions
about right and wrong human
conduct.
• Ethics are beliefs regarding right and
wrong behavior.
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Ethics Defined
• Virtues are habits that incline us to
do what is acceptable.
• Vices are habits that incline us to do
what is unacceptable.
• Value System is the complex
scheme of moral values that we
choose to live by.
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The Importance of Integrity
• Integrity is used to refer to people who
act in ways that are consistent with their
own code of principles.
• You often reflect on your principles
when you consider what you “ought” to
do in different situations.
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Ethics in the Business World
• Globalization of organizations has
created a complex business world.
• Risk is the likelihood of a negative
event times the impact of the event.
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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.
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Legal Overview
• Bribes involve providing money,
property, favors, or anything else of
value to someone in business or
government in order to obtain a
business advantage.
• Gifts are made openly and publicly as a
gesture of friendship or goodwill with no
expectation of a future favor for the
donor.
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Improving 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.
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Code of Conduct
• A guide that highlights an organization’s
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.
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Ethical Decision Making
1. Get the facts.
2. Identify the stakeholders and their positions.
3. Consider the consequences of your
decision.
4. Weigh various guidelines and principles
(Virtue, Utilitarian, Fairness, Common
Good).
5. Develop and evaluate options.
6. Review your decision.
7. Evaluate the results of your decision.
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Four Common Approaches Used in
Ethical Decision-Making
Approach to Dealing
with Moral Issues
Principle
Virtue Approach
The ethical choice is the one that best reflects
moral virtues in ourselves and our community.
Utilitarian Approach
The ethical choice is the one that produces the
greatest excess of benefits over harm.
Fairness Approach
The ethical choice is the one that treats
everyone the same and does not show
favoritism or discrimination.
Common Good
Approach
The ethical choice is the one that advances the
common good.
Table 1.5
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Ethics in Information Technology
• The increased use of information
technology has raised many ethical
issues for today’s IT professional.
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Licensing of IT professionals
Internet communication
Intellectual property
Employee/employer issues
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Summary
•
•
•
Ethics are beliefs regarding right and wrong
behavior.
Business ethics are becoming increasingly
important because the risks associated with
inappropriate behavior have grown.
Corporations are interested in fostering good
business ethics:
1.
2.
3.
4.
5.
Protect the company and employees from legal action.
Create an organization that operates consistently.
To produce good business.
To avoid negative publicity.
To gain the good will of the community.
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Summary
• Ethical decision making process:
1.
2.
3.
4.
5.
6.
7.
Get the facts
Identify shareholders and their positions
Consider the consequences
Weigh guidelines and principles
Develop and evaluate options
Review your decision
Evaluate the results of your decision
• The growth of use in IT has also
increased the risk of unethical uses of
IT.
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Case 1
Missing White House E-mail
• E-mail problems in the Clinton White
House became public in February
2000 through a $90 million classaction suite filed by Judicial Watch, a
conservative group that had dogged
the Clinton administration with a
number of lawsuits since 1994.
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Case 2
McKesson HBOC Accused of
Accounting Improprieties
• HBOC delivered cost effective patient
information and hospital data collection
systems. Accounting irregularities and
questionable business practices
resulted in a loss in stock prices and
many other legal problems.
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