Ethics as excellence: A strategic management perspective

Confidence in Australian business was severely shaken by the corporate scandals and collapses of the 1980s. Many commentators called for more emphasis on ethics education. This paper surveys the initiatives of Australian business schools and professional bodies and finds them superficial and ineffective. It then presents a case study in Quality Improvement which highlights the need to take a strategic and integrated approach to the development of core values such as quality, trust, ethics and social responsibility. In exploring the process of cultural change, the paper identifies a number of key leadership roles, responsibilities and competencies which are distinguished from the more traditional management functions.John Milton-Smith has been Deputy Vice-Chancellor, Curtin Business School, since 1990. He is currently conducting the Australian Business Ethics Project, part of which is reported in this paper. His other research interests include The Strategic Management of Corporate Culture, Global Business Strategy and International Trade Diplomacy.     

Ethics and management style

If a manager is evangelical, does it color the style he uses in his relationship with his subordinates? The paper sketches briefly the two familiar, historical ethical positions... the Protestant ethic and humanism and relates them to two styles of management. Then it points up the recent healthy growth of the evangelical movement, and the basic beliefs of evangelicals; then relates elements of these beliefs to the manager. A comparison of the three management ethics (Protestant, humanist, and evangelical) suggests some differences in the characteristics of managers who follow each ethic. There is increased evidence of the effect of the evangelical ethic in political, medical, and judicial life. Is it not logical to assume it is also affecting business and management?     

Project management in retailing: integrating the behavioral dimension

The retail environment is globalizing, requiring high levels of consistent experimentation. Project management can be used to help retailers test new ideas and implement the most successful ones. Unfortunately, project management in the retail setting often delivers unsatisfactory results. Project management has traditionally focused on conventional planning tasks. The people dimension is often overlooked as a key to project management success. However, human behavior is particularly important in the retail setting, where projects are generally focused on testing new concepts, increasing collaboration, and implementing new technologies. This research examines the role of the behavioral dimension in retail project management and supports the view that the behavioral dimension is central to retail project management success.     

Locating a Space for Ethics to Appear in Decision-making: Privacy as an Exemplar

Using concepts from Ulrich Beck’s Risk Society, this paper argues that as expertise proliferates questions of ethics in decision-making fall through gaps between domains of expertise. As a consequence, unethical outcomes are unattached to actions taken with no one accountable or responsible for these outcomes. Using Actor-Network Theory (ANT), a case study is presented showing how the sale of students’ personal information by the Calgary Board of Education (CBE) escaped questions of ethics. The sale of student information was the product of the convergence of narrowly focussed technology and education expert actions and decisions with an earlier two-stage translation of privacy from a potential ethical issue to an issue of expert rule creation and interpretation. The purpose of this paper is to show, through an example, how questions of ethics are displaced in expert decision-making and to enable the public, managers, individuals and experts to recognize displacements and, through this, create a space for ethics to appear. Bill has conducted extensive research in the area of information technology and privacy, with a particular emphasis on how privacy issues play out in practice. The variety and complexity of interacting influences that shape privacy in practice has lead Bill to expand the scope of his research to include history, ethics and public plicy.     

An Ethics of Care or an Ethics of Justice

A conflict within the community of those investigating business ethics is whether decision makers are motivated by an ethics of justice or an ethics of caring. The proposition put forward in this paper is that ethical orientations are strongly related to cultural backgrounds. Specifically, Hofstede's cultural stereotyping using his masculine-feminine dimension may well match a culture's reliance on justice or caring when decisions are made. A study of college graduates from six countries showed that Hofstede's dimension was remarkably accurate in predicating a justice or caring orientation for decision makers from five of the six countries.     

Ethics and management: A controversial issue

This paper is a part of a broader research project which aims to examine how ethical paradigms are related to theories of organization and management. Using an analysis of various studies on the issue of Business Ethics as its point of departure the paper points out that there are two converging lines of thought. The first emphasizes that management should be reexamined in the light of the cultural changes taking place and maintains that management is a key factor in this change. The second proposes that ethics in general (and Business Ethics in particular) should be understood to mean more than simply applying certain values and stresses that this definition of ethics should be rethought in order to foster a closer relationship between ethics and the decision-making processes.Josep M. Lozano teaches Social Philosophy and Business Ethics at ESADE (Barcelona). He hasLicenciatura degrees in Philosophy and Theology and is currently working on his doctorate, researching the correlation between concepts of ethics and management. He is a regular contributor to a number of Spanish journals, writing on cultural analysis, ethics and theology. He is the author of three books which are systematic studies of these subjects.     

Business Ethics and Quantification: Towards an Ethics of Numbers

Journal of Business Ethics - Social practices of quantification, or the production and communication of numbers, have been recognized as important foundations of organizational knowledge, as well...     

Ethics Counselors as a New Priesthood

The aim of this paper is to critically evaluate the thesis that ethics counselors constitute a new priesthood in the pejorative sense of this term. In defense of the thesis, an account is given of the diverse variety of fundamental ideas about ethics or morality. The underlying argument is simply that there is such a diversity of opinion about so many fundamental issues that most ethical appraisals, especially in committees, are probably very shallow and barely warranted. Following this negative work, an attempt is made to try to find some positive benefits from the work of ethics counselors. Some potential benefits are identified, but there is a need for empirical research in order to construct a more persuasive case for such work. In the penultimate section of the paper I addressed some of my own second thoughts about the discussion and some provocative suggestions that friends gave me about earlier drafts.     

Quaker Business Ethics as MacIntyrean Tradition

Journal of Business Ethics - This paper argues that Quaker business ethics can be understood as a MacIntyrean tradition. To do so, it draws on three key MacIntyrean concepts: community,...     

Toward an Applied Meaning for Ethics in Business

The field of business ethics has been active for several decades, but it has yet to develop a generally agreed upon applied ethical perspective for the discipline. Academics in business disciplines have developed useful science-based models explaining why business people behave ethically but without a generally accepted definition of ethical behavior. Academics in moral philosophy have attempted to formulate what they believe ethical behavior is, but many seem to ignore or reject the basic mission of business. The purpose of this article is to offer one view of ethics in business that accommodates the mission of business. This purpose is achieved by reviewing the mission of ethics in applied disciplines like business and melding it into the mission of business in capitalistic societies.     

Promoting Ethics Through Ethics Officers: A Proposed Profile and an Application

We present an ideal profile of an emerging organizational function: the Ethics Officer. We argue that the main contribution of an EO is to provide management with a broad perspective of the organization's stakeholders – one that emphasizes the interests of all stakeholders, including those not affiliated with the dominant coalitions in the organization. In order to avoid turning the EO into a rubber stamp for management activities, we suggest that certain conditions prevail to enable the person in this position to exercise impartial, independent judgment. These conditions are embodied in our profile, which maintains that an ideal EO should have appropriate organizational status, functional independence, professionalism, knowledge of organizational issues, and knowledge of ethics theory. We suggest that the function of EO may be performed by a professional who is already employed by the organization, and we use the internal auditor as an example.     

Business and Marketing Ethics as Professional Ethics. Concepts, Approaches and Typologies

Marketing ethics is normally marketed as a sub-specialization of business ethics. In this paper, marketing ethics serves as an umbrella term for advertising, PR and sales ethics and as an example of professional ethics. To structure the paper, four approaches are distinguished, with a focus on typical professional conflicts, codes, roles or climates respectively. Since the moral climate approachis more inclusive than the other approaches, the last part of the paper deals mainly with moral climates, within the above-mentioned marketing sub-professions.     

Moral Identity as Leverage Point in Teaching Business Ethics

This paper examines whether appealing to learners’ moral identity makes a significant contribution to improving their ethical decision making beyond traditional, rule-based teaching. In response to criticisms leveled at rule-based ethics teaching by alternative approaches, we identify moral identity theory and experiments in moral psychology as useful sources to draw on for the creation of a new, identity-based ethics teaching approach. We develop and apply a set of regular self-reflection focused writing tasks added to the traditional teaching program over a one-semester period, and assess the outcomes of an overall sample of 149 postgraduate business school students, who were randomly assigned to one of three conditions: exposure to both identity-based tasks and rule-based teaching, exposure to rule-based teaching only, and the control condition (i.e., no exposure to ethics teaching). Our findings show that, while the three groups reported the same level of ethical decision making at the beginning of the semester, at the end of the semester the students who were exposed to both identity-based and rule-based teaching reported higher level of ethical decision making compared to those who were only exposed to rule-based education. In addition, the students who received rule-based teaching reported higher ethical decision making compared to those in the control condition. These results suggest that a teaching approach which appeals to the learner’s moral identity can act as an effective leverage point when complementing rule-based teaching. This simple approach should be widely adopted as common practice in graduate business schools.     

Action Research As an Ethics Praxis Method

Action research is combined research and practical action where the researcher joins with and acts with practitioners to help improve practice and theory building. Action research can be a form of Aristotelian critical, ethical praxis that developmentally changes the action researcher and the external world. Bernstein’s (Praxis and action, 1971) and Eikeland’s (The ways of Aristotle, 2008) interpretations of Aristotelian ethics praxis are considered. The Argyris et al. (Action science: concepts, methods, and skills for research and intervention, 1985) “action-science” and the van de Ven (Engaged scholarship: A guide for organizational and research knowledge, 2007) “engaged scholarship” forms of action research with their differently nuanced interpretations of Aristotelian philosophy as foundations for action research are considered and compared as examples of action research as an ethics praxis method with respect to (1) a key similarity with respect to joining of critical ethics and actionable knowledge; (2) another key similarity with respect to action research practice that can developmentally change the action researcher and the external world; and (3) a key difference with respect to academic literature versus practitioner-based theory building is also considered (Nielsen J Bus Ethics 93:401–406, 2010a). Examples in the cases of the political economist and action researcher, Hirschmann’s “Exit,Voice, Loyalty” approach and Greenleaf’s “Servant Leadership” approach to action research as forms of Aristotelian critical, ethical praxis are analyzed.     

Ethics from the top: top management and ethical business

Codes of ethics and conduct typically demand the highest standard of ethical behaviour from every single employee. This implies a democratic or lobbyist understanding of ethics in business. The contrasting view would argue that business ethics is an elitist undertaking that can only be instigated from the top, by managing directors or owner managers. This article looks at three types of ethical businesses, three types of approaches to ethical problem-solving, and three possible incentives for ethical business to see which of the above is more convincing. It will be argued that the impulse for value-driven business has to come from the top. Only top management and owner managers have the opportunity to foster major change in business practice.     

Codes of Ethics as Signals for Ethical Behavior

This study investigated effects of codes of ethics on perceptions of ethical behavior. Respondents from companies with codes of ethics (n = 465) rated role set members (top management, supervisors, peers, subordinates, self) as more ethical and felt more encouraged and supported for ethical behavior than respondents from companies without codes (n = 301). Key aspects of the organizational climate, such as supportiveness for ethical behavior, freedom to act ethically, and satisfaction with the outcome of ethical problems were impacted by the presence of an ethics code. The mere presence of a code of ethics appears to have a positive impact on perceptions of ethical behavior in organizations, even when respondents cannot recall specific content of the code.     

Accounting as Applied Ethics: Teaching a Discipline

In this article it is argued that there are notable parallels between all of the different strands within ethics on the one hand, and accountancy on the other that, in teaching, can be drawn upon to enhance students’ understanding of the latter. Accountancy, part of economics, draws on utilitarian ethics, but not solely so. Accounting, in addition, draws on deontological and communitarian strands in ethics. The article suggests that the teaching of accounting – especially to non-economists – would benefit substantially from highlighting and developing these parallels. Wilfred Dolfsma is both an economist and a philosopher, and holds a Ph.D. in the former from Erasmus University. He is attached to the Erasmus University, Rotterdam at the Business School, as well as MERIT, University Maastricht. He is currently fellow at the Netherlands Institute for Advanced Study. He is corresponding editor of the Review of Social Economy (Routledge). He has co-edited Globalization Social Capital and Inequality (2003, with Charlie Dannreuther), Understanding the Knowledge Economy (2006, with Luc Soete) and Ethics and the Market (2006, with Jane Clary and Deborah M. Figart).