Mixed Motives and Ethical Decisions in Business

Discerning the motives that lead businesspeople to make ethical decisions in economic contexts is important, for it aids the moral evaluation of such decisions. But conventional economic theory has for too long assumed an egoist model of motivation, to which many contrast an altruist view of ethical choices. The result is to see business decision making as implying dilemmas. On the other hand, we argue, if one assumes multiple motives, economic and ethical, in ordinary business decisions, a more fruitful model of ethical motivation in such decisions emerges. In this paper multiple motives are assumed to be the norm in a world of large organizations, complex decisions and stakeholder management. An example of a technology acquisition decision, with environmental overtones is presented in illustration of this approach. A method for discerning motives, primarily in terms of behavioural efficacy is presented. On this basis a two step approach to morally evaluating mixed motives in business decisions is proposed. First, the fit of motives with substantive ethical values should be ascertained, and then the efficacy of moral motives in yielding ethical behaviour and outcomes should be determined. This approach, we conclude, offers a much more concrete model of the actual role of moral motives in business decision making. It also signals the importance of moral learning in organizations.     

Characteristics of Ethical Business Cultures

The purpose of this study was to identify general characteristics attributed to ethical business cultures by executives from a variety of industries. Our research identified five clusters of characteristics: Mission- and Values-Driven, Stakeholder Balance, Leadership Effectiveness, Process Integrity, and Long-term Perspective. We propose that these characteristics be used as a foundation of a comprehensive model that can be engaged to influence operational practices in creating and sustaining an ethical business culture.     

The Relationship of Ethical Decision-Making to Business Ethics and Performance in Taiwan

This paper examines the relationship of ethical decision-making by individuals to corporate business ethics and organizational performance of three groups: (i) SMEs (small and medium enterprises), (ii) Outstanding SMEs (the Key Stone Award winners) and (iii) Large Enterprises, in order to provide a reference for Taiwanese entrepreneurs to practice better business ethics. The survey method involved random sampling of 132 enterprises within three groups. Some 524 out of 1320 questionnaires were valid. The survey results demonstrated that ethical decision-making by individuals, corporate business ethics and organizational performance are highly related. In summary, then, high levels of organizational performance were directly attributable to high levels of applied corporate and individual ethics. Furthermore, there is a demonstrable tendency for Outstanding SMEs to reject ethically unsound practices such as padded expense accounts, tax evasion and misleading advertising. The measurement criteria used to assess organizational performance, however, did not include an objective evaluation of financial performance.     

The Effects of Organizational and Ethical Climates on Misconduct at Work

Questionnaire data obtained from 97 supervisory and nonsupervisory employees representing the Production, Production Services, Marketing, and Administration departments of an Israeli metal production plant were used to test the relationship between selected personal and organizational attributes and work related misbehavior. Following Vardi and Wiener's (1996) framework, Organizational Misbehavior (OMB) was defined as intentional acts that violate formal core organizational rules. We found that there was a significant negative relationship between Organizational Climate and OMB, and between the Organizational Climate dimensions (Warmth and Support, and Reward), and OMB. Also, the activities of misbehavior reported by both managers and employees were negatively related to the Rules, Instrumental and Caring dimensions of Ethical Climates as defined by Victor and Cullen (1988).     

Workplace Spirituality and Business Ethics: Insights from an Eastern Spiritual Tradition

The author extends theory on the relationship between workplace spirituality and business ethics by integrating the “yamas” from yoga, a venerable Eastern spiritual tradition, with existing literature. The yamas are five practices for harmonizing and deepening social connections that can be applied in the workplace. A theoretical framework is developed and two sets of propositions are forwarded. One set emanates from the yamas and another one conjectures relationships between spirituality and business ethics surfaced by the application of these spiritual practices from yoga.     

Balancing Ethical Responsibility among Multiple Organizational Stakeholders: The Islamic Perspective

In spite of a renewed interest in the relationship between spirituality and managerial thinking, the literature covering the link between Islam and management has been sparse – especially in the area of ethics. One potential reason may be the cultural diversity of nearly 1.3 billion Muslims globally. Yet, one common element binding Muslim individuals and countries is normative Islam. Using all four sources of this religion’s teachings, we outline the parameters of an Islamic model of normative business ethics. We explain how this ethics model seeks to balance the needs of multiple stakeholders, and discuss its enforcement mechanisms. This Islamic approach to business ethics is centered around criteria that are in common with stakeholder theory such as justice and balance, and includes unique additional criteria such as trust and benevolence.     

Factors Affecting Individual Decisions Based on Business Legitimacy

In this paper, we study customer's legitimacy preferences from the perspective of individual social profiles. By doing this, we aim to determine the influence of the social context on decision-making processes that derive from organizational legitimacy perceptions. Through data collected from a sample of 258 individuals, we relate five individual characteristics to four business legitimacy typologies using regression analysis techniques. Results show that individuals with higher social consciousness are prone to make decisions about organizations that take into account moral and regulatory legitimacy perceptions. However, low-trust customers and customers with high decision visibility are more likely to assess organizations based on cognitive and pragmatic legitimacy considerations.     

The Relevance of Organization Theory to the Field of Business and Information Systems Engineering

Information and communication systems (ICS) impact their organizational environment in significant ways; hence, the design, implementation, and use of ICS are inseparably linked to fundamental issues of organizational design and behavior. Current research in the field of business and information systems engineering (BISE), however, is primarily technology- or practice-oriented and concerned with the construction and validation of prototypes, whereas little attention is paid to theoretical insights into organizational phenomena and relationships. In this paper, we argue that paying more attention to organization theory would provide valuable guidance in addressing the close links between ICS on the one hand, and organizational systems on the other. To support our argument, we refer to selected theoretical perspectives and highlight their potential relevance to the BISE field.

Responsibility, Taint, and Ethical Distance in Business Ethics

Much light can be shed on events which characterize or underlie scandals at firms such as Enron, Arthur Andersen, Worldcom, ImClone, and Tyco by appealing to the notion of ethical distance. Various inquiries have highlighted the difficulties in finding or identifying particular individuals to blame for particular events, and in the context of situations as complex as these it can sometimes be helpful to investigate the comparative ethical distance of various participants in these events. In this essay I offer a characterization of ethical distance in terms of moral responsibility, and in doing so I describe and illustrate the rough inverse correlation between moral distance and degrees of moral responsibility. I urge that the concept of ethical distance is capable of shedding light upon situations in which several people are involved in bringing about a state of affairs. I then argue that moral responsibility cannot do justice to all situations involving ethical distance. When the distance between a person and a state of affairs grows sufficiently large, a different type of treatment is called for, and I introduce the notion of moral taint to describe the moral status of agents in these situations.     

The Positive Ethical Organization: Enacting a Living Code of Ethics and Ethical Organizational Identity

A vision of a living code of ethics is proposed to counter the emphasis on negative phenomena in the study of organizational ethics. The living code results from the harmonious interaction of authentic leadership, five key organizational processes (attraction–selection–attrition, socialization, reward systems, decision-making and organizational learning), and an ethical organizational culture (characterized by heightened levels of ethical awareness and a positive climate regarding ethics). The living code is the cognitive, affective, and behavioral manifestation of an ethical organizational identity. We draw on business ethics literature, positive organizational scholarship, and management literature to outline the elements of positive ethical organizations as those exemplary organizations consistently practicing the highest levels of organizational ethics. In a positive ethical organization, the right thing to do is the only thing to do. Amy Klemm Verbos is a Ph.D. candidate at the Sheldon B. Lubar School of Business, University of Wisconsin-Milwaukee, where she received a Chancellor’s Fellowship, Graduate Fellowship, Dissertation Fellowship, and C. Edward Weber Research Award. She co-authored ‚Positive Relationships in Action: Relational Mentoring and Mentoring Schemas in the Workplace’ in the forthcoming edited book, Positive Relationships at Work. Her work on positive organizing also has been presented at the Academy of Management Conference. Joseph A. Gerard is a Ph.D. student at the Sheldon B. Lubar School of Business at the University of Wisconsin-Milwaukee. He is a lecturer at the University of Wisconsin-Whitewater teaching organizational behavior, strategy, and accounting. He is a founding member of Ascent Organization Development LLC, which provides management consulting services to for-profit organizations in the areas of effectiveness and performance enhancement. Paul R. Forshey is a Ph.D. student in Organizations and Strategic Management at the Sheldon B. Lubar School of Business, University of Wisconsin-Milwaukee. His research interests include startup firms and firms in transition. Charles S. Harding is a Ph.D. student in Organizations and Strategic Management at the Sheldon B. Lubar School of Business at the University of Wisconsin-Milwaukee. Awarded a Chancellor’s Fellowship, his research interests include strategic decision-making and the role of value creation in strategy. Janice S. Miller is an Associate Professor at the Sheldon B. Lubar School of Business at the University of Wisconsin-Milwaukee where she has received the Business Advisory Council Award for Teaching Excellence. Her published work has appeared in Academy of Management Journal, Journal of Organizational Behavior, and Journal of Business Ethics among others. She received her Ph.D. in Human Resources Management from Arizona State University.     

Values and Beliefs Related to Ethical Decisions

Although there is reason to suspect thatpeople's values and beliefs influenceintegrity-related decisions, few studies haveexamined the values and beliefs related tomanagerial integrity. In the present study,197 students were asked to complete measures ofvalues and beliefs as manifest in theirpreferred courses of action when confrontedwith ambiguous situations. Subsequently, theywere asked to work on a managerial ``in-basket'task where the decisions made might result inharm to others or harm to the organization. Itwas found that values and beliefs were relatedto both types of decisions producing multiplecorrelations in the 0.40s. People whose valuesstressed growth and contributions to others, asopposed to personal gain, and believed actionswere under their control, as opposed toexternal control, exhibited greater integrity. The implications of these findings forunderstanding leader integrity are discussed.     

企业社会责任对员工角色外行为的影响机制

文章旨在揭示企业社会责任对内部利益相关者的行为的影响效果及影响机制,为此,把员工角色外行为作为结果变量,把员工关于企业社会责任的共享知觉(企业社会责任)作为自变量,把员工对组织的信任(组织信任)作为中介变量,探讨企业社会责任对员工角色外行为的直接影响,以及组织信任在两者之间的中介效应。通过对80家企业的696名在职员工进行问卷调查,采用多层线性模型技术对样本数据进行统计分析,文章研究发现,员工关于企业自发责任(针对社会和非社会组织、消费者和员工的责任)的共享知觉对员工角色外行为有显著的影响,而且组织信任在两者关系中起部分中介作用,相反,员工关于企业基本责任(对政府的责任)的共享知觉对员工角色外行为的影响不显著,对组织信任的影响也不显著。基于研究结论,文章提出了相应的管理建议和未来的研究方向。     

对企业流程再造的再认识

本文首先阐述了企业流程再造的概念,在此基础上以福特汽车公司的流程再造为案例,对流程再造进行研究,提出了对流程再造的再认识。即流程再造并不一定追求流程的彻底性变革,企业流程再造应与职能型组织相互融合。     

The Role of Ethical Ideology in Workplace Deviance

Ethical ideology is predicted to play a role in the occurrence of workplace deviance. Forsyths (1980) Ethics Position Questionnaire measures two dimensions of ethical ideology: idealism and relativism. It is hypothesized that idealism will be negatively correlated with employee deviance while relativism will be positively related. Further, it is predicted that idealism and relativism will interact in such a way that there will only be a relationship between idealism and deviance when relativism is higher. Results supported the hypothesized correlations and idealism and relativism interacted to predict organizational deviance. Idealism was a significant predictor of interpersonal deviance, but no interaction was found.Christine (Chris) A. Henle, Ph.D. is an assistant professor of Management at the University of North Carolina at Charlotte. Her research interests include counterproductive employee behaviors, employment law, and organizational justice. Her current research focuses on cyberloafing at work, religious discrimination in employment, and the role of supervisor and coworker norms in predicting counterproductive work behaviors. She has provided consulting services in the areas of job analysis, recruiting, selection, and performance management.Robert A. Giacalone, Ph.D. (State Univeristy of New York-Albany) is Professor of Human Resource Management at the Fox School of Business and Management, Temple University, in Philadelphia, Pennsylvania. Dr. Giacalone is coeditor of five books, co-author of two books and has authored over 90 articles on ethics, employee sabotage, impression management and exit interviewing, appearing in journals such as Human Relations, Business and Society Review, Journal of Business Ethics, Journal of the Organizational Behavior, and the Journal of Social Psychology. His current research focuses on the impact of materialism/postmaterialism and workplace spirituality on business ethics.Carole L. Jurkiewicz, Ph.D. is the John W. Dupuy Endowed Professor and the Womens Hospital Distinguished Professor of Healthcare Ethics at Louisiana State University. Her publications include a wide array of scholarly articles, books, and the general press. She maintains an active consulting practice in the areas of organizational psychology, ethics, and leadership.     

Cultural and Ethical Effects on Managerial Decisions: Examined in a Throughput Model

Financial and cost accounting information is processed by decision-makers guided by their particular need to support decisions. Recent technological advances impacting on information as well as organizations such as the European Community mandating financial reporting requirements for many countries is rapidly changing the landscape for decision making using accounting information. Hence, the importance of individuals' decision making is more important than it was previously. These decisions are also influenced by individuals' ethical beliefs. The Throughput Modeling approach to cultural and ethical concerns provides a way of dealing with accounting information processed through various pathways by decision-makers. This modeling approach captures different philosophical perspectives from which to understand what is involved in "thinking scientifically." In the Throughput Modeling approach, pathways highlight the importance of how different philosophical perspectives may be used by individuals in arriving at a decision. This paper highlights key concepts involved in rethinking the basis of moral decision making in terms of an underlying process, rather than focusing on the application of principles or the development of a virtuous character. Examples are provided from both English and Spanish settings to help emphasize the importance of modeling ethical decision making globally.     

Impact of Managerial Dependencies on Ethical Behavior

This study explores if managerial dependencies and organizational independence impact ethical behavior of employees. Survey data was collected from 203 employees working for three hospitals in Midwestern and Northwestern United States. Managerial dependencies like specialized expertise, political connections, and performance visibility significantly impacted ethical behavior. Organizational independence and ethical behavior of peers also had a significant impact on ethical behavior. Implications of this study for researchers and practitioners are discussed.     

试论审计政策与审计决策的相关性

审计政策决策过程中要发挥“企业家精神”,审计政策的制订要遵循审计规律和决策规律等“内在制序”。审计政策能够在全社会得到理解尊重并贯彻执行的逻辑力量在于：公共受托责任观念赋予了审计在国家制度中的道德合理性,而其合法性即人民授予的审计监督权完整的体现了人民或国家的意志。     

Influences Upon Organizational Ethical Subclimates: A Replication Study of a Single Firm at Two Points in Time

This research replicates Weber's 1995 study of a large financial services firm that found that ethical subclimates exist within multi-departmental organizations, are influenced by the function of the department and the stakeholders served, and are relatively stable over time. Relying upon theoretical models developed by Thompson (1967) and Victor and Cullen (1998), hypotheses are developed that predict the ethical subclimate decision-making dimensions and type for diverse departments within a large steel manufacturing firm and that these ethical subclimate types will be stable across the two periods of time when the data were collected. Employees were surveyed in 1995 and again in 1999 using Victor and Cullen's Ethical Climate Questionnaire. Response rates of 88 and 94 percent were achieved. Contrary to Weber's findings, our results imply that, in both samples, ethical subclimates may be determined by the strength of an organization's overall ethical climate, rather than the department's function. However, we did find support for Weber's earlier contention that these subclimates are relatively stable. Our results also suggest that differences may exist across industries, that is when comparing a large steel manufacturer, as we did in our study, with a large financial services organization, as Weber did in his 1995 study.     

Personal Characteristics Underlying Ethical Decisions in Marketing Situations: A Survey of Small Business Managers*

This study analyzes the marketing ethics decision‐making process of small business managers. In particular, it examines the relative influences of ethical perceptions, personal moral philosophies, and gender on ethical intentions of small business managers. The sample of this study consists of professional members of the American Marketing Association working in companies with 500 employees or fewer. The results reveal that perceived ethical problem is a positive factor of a small business manager's ethical intention. The results generally support our hypothesis that female managers tend to be more ethical in their intention than their male counterparts. However, the results indicate that neither dimension of personal moral philosophy—idealism and relativism—is a significant predictor of a manager's ethical intention.     

Modeling Ethical Business Culture: Development of the Ethical Business Culture Survey and Its Use to Validate the CEBC Model of Ethical Business Culture

This article reports the results of research to develop a survey instrument and its use to validate an ethical business culture construct (CEBC Model). The reported three-stage quantitative study builds on our previous qualitative work, aimed at identifying dimensions of ethical business cultures. The research resulted in a parsimonious construct, covering five dimensions of ethical business cultures, and a ten-question instrument, measuring this construct. In this article, we report results of exploratory and confirmatory factor analyses and convergent construct validity testing, discuss the potential applications of the construct and instrument in assessment and development of ethical business cultures, and provide recommendations for industry practitioners and for further research.