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LECTURE OUTLINE LECTURE NOTES IV. ETHICS AND SOCIAL RESPONSIBILITY ► LEARNING OBJECTIVE 4 Discuss social responsibility and organization’s code of ethics. (Text page 411414) A. ETHICS is a set of moral principles or values that govern behavior. 1. Individuals develop their own set of ethical rules, which help them decide how to behave in difference circumstance. 2. Businesses also develop ethics that reflect the company’s beliefs about what actions are appropriate and fair. B. Managers face difficult ethical dilemmas. POWERPOINT 14-6 Ethics and Social Responsibility (Refers to text pages 411-412) BONUS CASE 14-1 Gap’s Evolving View of Ethics Faced with its damaged public image, Gap took steps to publicize its “social responsibility” report. See complete case, discussion questions, and suggested answers on page 14.Error! Bookmark not defined. of this manual. V. CODES OF ETHICS A. A CODE OF ETHICS is a document that outlines the principles of conduct to be used in making decisions within an organization. B. Content of Ethical Codes 1. Codes of ethics are formal documents that are shared with all employees covering: a. honesty b. conflicts of interest c. employment practices d. protection of the environment e. other ethical areas 2. A code of ethics does not prevent unethical behavior. 3. To be effective, codes of ethics must POWERPOINT 14-7 Code of Ethics (Refers to text pages 412414) BONUS INTERNET EXERCISE 14-2 Researching Codes of Ethics Most companies publish codes of ethics to provide ethical guidelines for employees. This Internet exercise directs students to research these codes of ethics on the Internet. See complete exercise on page 14.Error! Bookmark not defined. of this manual. LECTURE OUTLINE be enforced. C. Behaving Ethically 1. Ethical decisions have important consequences. 2. Behaving unethically can hurt or end one’s career. 3. Behaving ethically helps establish trust in the business world. D. Behaving Honestly 1. The ethical action in some situations is clear. 2. Employee theft a. This can occur when employees embezzle money, steal supplies, or accept bribes. b. The ethical decision is not to steal. 3. Lying about hours worked a. Inaccurately reporting hours worked is unethical. b. Ethical employees show up at work when expected. 4. Falsifying records can cause damage to a company’s reputation. E. Dealing with Ethical Dilemmas 1. Ethical dilemmas are situations in which the ethical course of action is not clear. 2. Determining the right course of action involves asking oneself difficult questions. LECTURE NOTES TEXT FIGURE 14.3 Solving Ethical Dilemma (Text page 414) CRITICAL THINKING EXERCISE 14-1 Ethical Dilemmas This exercise presents ten examples of ethical dilemmas for students to evaluate. See complete exercise on page 14.Error! Bookmark not defined. of this manual. TEXT FIGURE 14.4 Ethical Problems in the Business World (Text page 415)