Download Ethics, Social Responsibility, and Diversity

Ethics, Social Responsibility,
and Diversity
 Enron- Smartest Guys in the Room
– http://www.youtube.com/watch?v=vkwnWJdV9IM
&feature=results_main&playnext=1&list=PL9B52
3BBCB1DA17DF
– http://www.youtube.com/watch?v=vkwnWJdV9IM
&feature=results_main&playnext=1&list=PL9B52
3BBCB1DA17DF
Ethics and Social
Responsibility
 Ethics – moral beliefs about what is right and
wrong
 Social Responsibility – manager’s duty to
make decisions that promote well-being of
stakeholders and society
Ethics and Social Responsibility
 Ethics deals with an individual’s decision that
society evaluates as right or wrong
 Social responsibility is a broader concept that
concerns the impact of an entire organization’s
activities on society
Ethical Issues
 Conflict of Interest –
 Fairness and Honesty –
 Communications –
 Business Relationships –
Ethics and Responsibility
 Many orgs. now incorporate ethics into the
decision making process
 Who is the organization responsible to?
– The owners? The Public? Both?
Code of Ethics
Professional Ethics
Organization’s code
of ethics derives
from
Societal Ethics
Individual Ethics
Approaches to Social
Responsibility
 There are many ways managers respond to this
duty
 Obstructionist approach: managers choose
not to be socially responsible and are unethical
 Defensive response: managers stay within the
law, but make no attempt at additional social
responsibility
Approaches to Social
Responsibility (cont'd)
 Accommodative approach: acknowledges the
need to support social responsibility
 Proactive approach: actively embrace need to
be socially responsible
Arguments for Social
Responsibility

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In the orgs. long run best interest
Improves the public image
Improves quality of life
In shareholders best interest
Better able to solve problems
Problems can become profitable
Examples
 The Corporation
– http://www.youtube.com/watch?v=-hGc1KY7Y4&feature=related
– http://www.youtube.com/watch?v=3vorWknUybY&feat
ure=related
The Manager as a Decision
Maker
What is Decision Making?
 Process by which managers make a choice
between two or more alternatives to solve a
problem
 4 elements to decision making
Types of Decision Making
 Programmed –
 Non-programmed –
Conditions Affecting
Managerial Decisions
Improved Group Decision
Making
 Devil’s Advocacy:
 Dialectical inquiry:
Decision Making Aid
 The Breakeven Analysis