The Good Manager – A Moral Manager?

In this article two problems with the recently developed "practice or virtue approach" to business ethics are discussed. The first problem concerns an alleged harmony between common demands of morality (generally understood) and the internal goods of actual business practice. The claimed harmony is strong in essence since it holds that the role expectations a good manager has to live up to, do in fact coincide with what morality demands. The second problem is related to the first and concerns the alleged relevance of a virtue perspective for business ethics. According to the virtue perspective discussed in this article, moral reasoning should take actual practice, and only actual practice, as a point of departure. In so doing ethics is claimed to become insulated from e.g. putting irrelevant demands on practitioners. Such demands are understood as based on abstract principles alien to the practice in question. The thesis of this article is that neither of the above mentioned two claims are plausible. This is so basically because one needs to turn elsewhere than to actual business practice in order to detect a morally laden notion of managerial goodness.     

On Energy,China Moves!

Energy is an essential material basis for human survival and development.In the long history of human being,every step of energy utilization has enormously boosted the world economy and human society.Over more than 100 years in the past,developed countries have completed their,industrialization process, consuming an enormous quantity of natural resources,especially energy resources.Today,raising developing countries as fol- lowers are ushering in their own era of industrialization and an increase of energy consump-     

For the Good or the Bad? Interactive Effects of Transformational Leadership with Moral and Authoritarian Leadership Behaviors

Although the ethical aspects of transformational leadership have attracted considerable attention, very little is known about followers’ reactions to the moral and immoral conduct of transformational leaders. Against this background, this study examined whether and how transformational leadership interacts with moral and authoritarian leadership behaviors in predicting followers’ in-role and extra-role efforts. Building on attribution theory, we hypothesized that the positive and negative effects of these leadership behaviors would be particularly pronounced for highly transformational leaders given that this leadership style elicits strong attention and sense-making efforts among followers. We tested our model in a sample of 228 individuals comprising 114 leader–follower dyads from a wide range of organizations and industries. In line with our hypotheses, results revealed that for highly transformational leaders, moral leadership behaviors related positively to employees’ in-role and extra-role efforts whereas authoritarian leadership behaviors related negatively to employees’ in-role and extra-role efforts. In contrast, moral and authoritarian leadership behaviors did not significantly affect followers’ reactions to leaders low in transformational leadership. Taken together, these findings suggest that transformational leadership, contrary to its largely positive perception in the literature, can be a rather mixed blessing. Implications for theory, future research, and managerial practice are discussed.     

Satisfying Individual Desires or Moral Standards? Preferential Treatment and Group Members’ Self-Worth, Affect, and Behavior

We investigate how social comparison processes in leader treatment quality impact group members’ self-worth, affect, and behavior. Evidences from the field and the laboratory suggest that employees who are treated kinder and more considerate than their fellow group members experience more self-worth and positive affect. Moreover, the greater positive self-implications of preferentially treated group members motivate them more strongly to comply with norms and to engage in tasks that benefit the group. These findings suggest that leaders face an ethical trade-off between satisfying the moral standard of treating everybody equally well and satisfying individual group members’ desire to be treated better than others.     

Agents or Stewards? Linking Managerial Behavior and Moral Development

The goal of this paper is to connect managerial behavior on the “agent-steward” scale to managerial moral development and motivation. I introduce agent- and steward-like behavior: the former is self-serving while the latter is others-serving. I suggest that managerial moral development and motivation may be two of the factors that may predict the tendency of managers to behave in a self-serving way (like agents) or to serve the interests of the organization (like stewards). Managers at low levels of moral development are more likely to behave like agents, while managers at higher levels of moral development are more likely to behave like stewards. I also argue that managers at the highest level of moral development may serve the interests of people other than the firm’s owners and thereby transfer wealth from the firm’s owners to third parties. Moral motivation is likely to be a factor that moderates the proposed relationships. Finally, I develop propositions that address the role of material incentives in controlling behavior of managers at different levels of moral development.     

Is Confucianism Good for Business Ethics in China?

This article examines whether and to what extent Confucianism as a resilient Chinese cultural tradition can be used as a sound basis of business practice and management model for Chinese corporations in the twenty-first century. Using the core elements of Confucianism, the article constructs a notion of a Confucian Firm with its concepts of the moral person (Junzi), core human morality (ren, yi, li) and relationships (guanxi), as well as benign social structure (harmony), articulated in corporate and organizational terms. The basic character of the Confucian Firm is described, and its philosophical and cultural foundation is critically assessed with respect to its moral legitimacy and relevant to today’s China. China’s recent Corporate Social Responsibility (CSR) development is a high profile response to global business ethics concerns. Efforts have been made to emulate and develop good business practice fashioned in CSR norms and visions. The so-called “human-based” and “virtue-based” business practices rooted in local cultural heritage have been touted as a Chinese response to this problem. This investigation is particularly relevant in the context of the increasingly prominence of the Chinese corporations (China Inc.) in the wake of the rise of China as a global power. How relevant is Confucianism to the building of a modern Chinese corporation that is willing and able to practice reasonable norms of business ethics? The findings of this discussion, which include the organizational implications of the Confucian familial collectivism, have implications for other Chinese communities (Taiwan, Hong Kong, and Singapore) where Confucian tradition is endorsed and practiced.     

Virtue and Commerce in Domingo de Soto’s Thought: Commercial Practices, Character, and the Common Good

This paper draws from the work of sixteenth century theologian, philosopher, and ethicist Domingo de Soto and considers his virtue-based approach to the ethical evaluation of commerce within an Aristotelian–Thomistic framework for the articulation of business and the common good. Particular attention is given to the fundamental emphasis placed by Soto in distinguishing between commerce as an activity and the specific conduct of persons engaging in commercial activity. The distinction between the material and the formal parts of the common good is then employed to shed light on the way Soto articulates commercial practices, virtuous character, and the common good. It is concluded that Soto’s major contribution for business ethics is clarifying that the key element for the ethical evaluation of commerce is the embodiment of virtuous personal conduct in the exercise of commercial activity. In this framework, the fulfillment of commerce’s potential to contribute to the common good is thus fundamentally interconnected with putting virtues into practice.     

Does Economics and Business Education Wash Away Moral Judgment Competence?

In view of the numerous accounting and corporate scandals associated with various forms of moral misconduct and the recent financial crisis, economics and business programs are often accused of actively contributing to the amoral decision making of their graduates. It is argued that theories and ideas taught at universities engender moral misbehavior among some managers, as these theories mainly focus on the primacy of profit-maximization and typically neglect the ethical and moral dimensions of decision making. To investigate this criticism, two overlapping effects must be disentangled: the self-selection effect and the treatment effect. Drawing on the concept of moral judgment competence, we empirically examine this question with a sample of 1773 bachelor’s and 501 master’s students. Our results reveal that there is neither a self-selection nor a treatment effect for economics and business studies. Moreover, our results indicate that—regardless of the course of studies—university education in general does not seem to foster students’ moral development.     

Siri,Siri, in my hand: Who’s the fairest in the land? On the interpretations,illustrations, and implications of artificial intelligence

Artificial intelligence (AI)—defined as a system’s ability to correctly interpret external data, to learn from such data, and to use those learnings to achieve specific goals and tasks through flexible adaptation—is a topic in nearly every boardroom and at many dinner tables. Yet, despite this prominence, AI is still a surprisingly fuzzy concept and a lot of questions surrounding it are still open. In this article, we analyze how AI is different from related concepts, such as the Internet of Things and big data, and suggest that AI is not one monolithic term but instead needs to be seen in a more nuanced way. This can either be achieved by looking at AI through the lens of evolutionary stages (artificial narrow intelligence, artificial general intelligence, and artificial super intelligence) or by focusing on different types of AI systems (analytical AI, human-inspired AI, and humanized AI). Based on this classification, we show the potential and risk of AI using a series of case studies regarding universities, corporations, and governments. Finally, we present a framework that helps organizations think about the internal and external implications of AI, which we label the Three C Model of Confidence, Change, and Control.     

Are Choice Rationality and Social Consistency Two Sides of a Same Coin?

This paper aims at proving that a society cannot be consistent if it is constituted of decision-makers who are not rational. For that purpose, we propose to justify social interactions by means of individual preferences. More precisely, we establish that individual choice rationality is logically equivalent, i.e. is a necessary and sufficient condition, to social consistency—when individual rationality means that preferences are completely ordered (as in standard microeconomics) and social consistency that there is a one-to-one mapping from the list of actual communities to the underlying particular interaction (unique, reflexive and symmetric) between all individuals of the society.     

What in the World is Going On?

Advertisers grappling with the vagaries of a global marketplace require a perspective that is comprehensive of the issues affecting their craft. The trade press is one information source that is commonly mined by agency researchers seeking to remain current on the international front. This article attempts to transform impressions gained from such casual reading into a more systematic and useful framework for interpreting the global marketplace. Drawing on a content analysis of information presented in the pages of the "International" section of the trade paper Advertising Age, a perspective of international marketing is advanced, the utility of that perspective to advertising researchers is explored, and the implications of that perspective for international advertising strategy are examined.     

Business's environmental responsibility in Taiwan — Moral,legal or negotiated

This study explores both the negotiating styles and moral reasoning processes of business people and governmental officials in Taiwan, so as to provide a footing for outsiders when negotiating with Taiwanese over environmental concerns. Findings imply that Taiwanese business people and governmental officials can and will reason both at the conventional level and at the postconventional level of moral judgment. But, results of this study also indicate that Taiwanese negotiating styles do not necessarily match their levels of moral reasoning. With respect to pollution concerns, Taiwanese seem unwillingly to accept responsibility as autonomous individuals. Instead, responsibility is accepted when mandated by the law.Peihua Sheng teaches marketing and marketing research at the American College for the Applied Art, Atlanta Campus. She has taught marketing at the university level in Chinese for several years. Her research interests include business ethics, equity, and international marketing strategy.Linda Chang is a financial analyst on OTSUKA America. A native of Taiwan, she has an MBA. Her research interests are in the areas of planning and negotiation.Warren French is a professor of Marketing and the I. W. Cousins Professor of Business Ethics at the University of Georgia. His research interests include business ethics, aging, and international business. His articles have appeared in a variety of scholarly and practitioner-oriented journals.     

Human Resource Management in a Compartmentalized World: Whither Moral Agency?

This article examines the potential for moral agency in human resource management practice. It draws on an ethnographic study of human resource managers in a global organization to provide a theorized account of situated moral agency. This account suggests that within contemporary organizations, institutional structures??particularly the structures of Anglo-American market capitalism??threaten and constrain the capacity of HR managers to exercise moral agency and hence engage in ethical behaviour. The contextualized explanation of HR management action directly addresses the question of whether HRM is inherently unethical. The discussion draws on MacIntyre??s (Philosophy 74:311?C329, 1999, After Virtue: A Study in Moral Theory, Duckworth, 2000) conceptualization of moral agency within contemporary social structures. In practice, HR managers embody roles that may not be wholly compartmentalized. Alternative institutional structures can provide HR managers with a vocabulary of motives for people-centred HRM and widen the scope for the exercising of moral agency, when enacted within reflective relational spaces that provide milieus for critical questioning of logics and values. This article aims to contribute to and extend debate on whether HRM can ever be ethical, and provide a means of reconnecting business ethics with longstanding concerns in critical management studies.     

Are Authentic Leaders Always Moral? The Role of Machiavellianism in the Relationship Between Authentic Leadership and Morality

Drawing on cognitive moral development and moral identity theories, this study empirically examines the moral antecedents and consequences of authentic leadership. Machiavellianism, an individual difference variable relating to the use of the ‘end justifies the means’ principle, is predicted to affect the link between morality and leadership. Analyses of multi-source, multi-method data comprised case studies, simulations, role-playing exercises, and survey questionnaires were completed by 70 managers in a large public agency, and provide support for our hypotheses. Our findings reveal that Machiavellianism offsets the positive relationship between moral reasoning and authentic leadership. Specifically, we show that when Machiavellianism is high, both the positive relationship between moral reasoning and authentic leadership, and the positive relationship between authentic leadership and moral actions, are reversed. This study offers new insights on the underlying processes contributing to the emergence of leaders’ authentic behavior and moral action. Implications for the moral development of leaders, and directions for improved leadership training are provided.     

What Sparks Ethical Decision Making? The Interplay Between Moral Intuition and Moral Reasoning: Lessons from the Scholastic Doctrine

There has been limited coverage of the corporate responsibility (CR) practices of small and medium-sized enterprises (SMEs) in the mainstream CR literature. Furthermore, there has been no systematic analysis of the responsibilities of the high value jewellery industry and jewellery SMEs in particular. This study explores the potential for harm and value creation by individual stakeholders in fine jewellery production. Using the harm chain and institutional theory to frame our investigation, we seek to understand how small businesses within the fine jewellery industry respond to the economic, social and environmental challenges associated with responsible jewellery production, and to investigate how they perceive and negotiate the tensions between responsibility and the resistance derived from the operational norms of secrecy and autonomy within the industry. Our exploratory research provides illustrative examples of how complex harm networks operate within and across the fine jewellery industry, and demonstrates the inter-relationships that exist across the different stages of the fine jewellery harm chain. Findings suggest that institutional forces are coalescing towards a more responsible agenda for the fine jewellery industry. Moreover, while CR is a tool to disrupt harmful institutional norms and practices within such an industry, it requires the co-creation of new transformative business models and multi-stakeholder involvement including firms (SMEs and MNEs), trade associations, non-governmental organisations and consumers. Solutions include national and international legislation, price adjusted certification routes for small firms, harmonisation of industry CR standards to reduce overlap in certification and regulation and gem and precious metal “track and trace” schemes.     

Do Corporate Social Performance Targets in Executive Compensation Contribute to Corporate Social Performance?

To deal with potential conflicts between the triple-bottom-line expectations of investors and the performance of executives, firms can use incentives by integrating corporate social performance (CSP) targets into executive compensation. No evidence yet exists that CSP targets in executive compensation actually lead to an improvement of CSP results. Using a panel data set of 400 firms for the years 2008–2012 leading to 1846 firm-year observations, the relationships between CSP targets and CSP results and CSP improvements are analyzed. The results show that (a) the level of CSP has no effect on the use of CSP targets, (b) the use of CSP targets in general does not automatically lead to better CSP results, and (c) the use of quantitative, hard CSP targets is an effective way to improve CSP results, especially to lower CSP weaknesses.     

Green and Good? The Investment Performance of US Environmental Mutual Funds

Increased concern for the environment has increased the number of investment opportunities in mutual funds specialized in promoting responsible environmental attitudes. This article examines the performance and risk sensitivities of US green mutual funds vis-à-vis their conventional peers. We also analyze and compare this performance relative to other socially responsible investing (SRI) mutual funds. In order to implement this analysis, we apply a CAPM-based methodology and find that in the 1987–2009 period, environ- mental funds had lower performance than conventional funds with similar characteristics. However, if we focus on a more recent period (2001–2009), green funds achieved adjusted returns not significantly different from the rest of SRI and conventional mutual funds.