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Ethics and Health Care

Published August 7, 2013 by Mayrbear's Lair

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A majority of US citizens are concerned about their health care. Spinks and Wells (1996) contend that many issues, including rising costs, have prompted a closer investigation into the behavior of health care providers and institutions from an ethical perspective (Spinks & Wells, 1996). The major challenges we as Americans face, are implementing effective methods to maintain and monitor our health and well-being in partnership with our medical practitioners and insurance systems that support overall care. Americans are looking to tackle such problems as: (a) poorly or inadequately equipped facilities, (b) long waiting times, (c) substandard conditions, (d) misconduct from practitioners, and (e) exorbitant medical, hospital, and pharmaceutical costs. In addition, the dilemma most people face is that health care costs consume large portions of a family income, while the majority of health care practitioners enjoy lifestyles and salaries extensively higher than most of the patients they care for. To add insult to injury, most high ranking government officials and politicians selected by the people they serve, are provided with lifelong health care benefits while vast portions of the constituents they represent have none. Many people feel that because the representatives they elected to serve them are provided with health care, that the public should also be entitled to the same health care benefits and privileges. After all, the tax paying citizens are the stakeholders that hired these government officials to serve their interests.

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Everyone in society has a right to be healthy and enjoy the highest quality health care system of their choice, however because of ever changing conditions in modern society, this ideal has been a difficult outcome for many to achieve. Ferrell et al. (2012) suggest that the ever changing global market also contributes to health care issues. For example, because of global health care fraud, businesses and governments are depriving individuals the resources to receive quality products and health care (Ferrell, Fraedrich, & Ferrell, 2013). For example, many corporate bosses take advantage of countries that export products with substandard oversight systems in place. This atmosphere allows them to engage in short cut practices that result with products that provide less medicine in their packaging. The falsification of insurance claims is another problem that arises and often results in higher insurance rates. In addition, some companies provide incentives for referrals while others compensate doctors and hospitals for buying their products. Until the playing field is leveled in the global market place and these various conditions exist from country to county, closer scrutiny is required to detect and deter ethical misconduct.

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In the meantime, many people debate on whether or not health care is a universal right that should be provided by governments. A large population believes that because good health supports productivity that governments should provide citizens with health care systems that support their well-being. Countries like Germany for example, consider health care a right every citizen is entitled to and provides high-quality health care services. Others who believe health care is a privilege tend to be the corporations who stand to profit from health care systems, in which case becomes a matter of ethics. Where ever corporate giants produce systems that place profits ahead of the welfare of their stakeholders it’s only a matter of time before the contamination is exposed and changes are introduced. Furlong and Morrison (2014) contend that one must have a solid foundation in theory and principles of ethics to make the most effective professional decisions. Leaders who abide and comprehend the knowledge of ethics and understanding, particularly of alternative views, create an environment of cultural competence (Furlong & Morrison, 2014). In conclusion, there are no easy answers. First and foremost, each citizen should take responsibility, educate themselves in preventative care and work in partnership with their government and medical institutions to come up with the most effective methods to create a health care system that everyone can benefit from. In short, it is the citizens that make up society. It is the citizens that protect and support their governments and the institutions that provide services and goods. In turn these institutions should not question whether it is their duty or right to protect those that support them. In return for their support and loyalty, these institutions should show appreciation and gratitude to their stakeholders. It is their obligation to do what they can to protect the hands that support them which includes access to the same quality health care they are entitled to. It is the right of each individual to live life to their fullest potential with systems in place that include support for prevention education and maintenance of the public’s health and well-being. The bottom line is, without the continual support of their stakeholders, these institutions will find it extremely difficult to experience longevity and success.

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References:

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

Furlong, B., & Morrison, E. (2014). Health care ethics. Burlington, MA: Jones and Bartlett Learning.

Spinks, N., & Wells, B. (1996). The context of ethics in the health care industry. Health Manpower Management. Keele, England, United Kingdom: Emerald Group Publishing, Ltd. Retrieved July 21, 2013, from http://search.proquest.com/docview/206620783?accountid=32521

Ethics in the Global Marketplace

Published August 5, 2013 by Mayrbear's Lair

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The global marketplace continues to expand because of the increasing number of organizations that are now engaged in commerce outside of their own jurisdiction. Boatright (2009) purports that as large multinational corporations (MNC) cross their own boundaries intense competition is at the core for the elevated levels of ethical problems that arise because in most cases, leaders and managers are unprepared to address them (Boatright, 2009). For example, many MNCs often engage in practices that exploit inexpensive labor and natural resources from less developed countries (LDC) and most do so without making investments in them that would help advance their economic development. Corporate leaders, for example,  find themselves in situations where they are forced to make unethical choices because they are being asked to place the procurement of profits as their primary goal disregarding the health and welfare of the consumers that support them. Leaders in one case study were asked to provide products that contained harmful substances and export them to other markets outside the US where little restrictions apply. The fact that managers even have to consider this as an option personally is appalling and at heart of why we are seeing so many examples of corporate misconduct exposed in the headlines like a pharmaceutical manufacturing plant that shipped contaminated vaccinations, or a peanut farm that was exported products contaminated with salmonella. When corporate leaders are faced with issues like these, profit is usually at the forefront of their decisions over safety.

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Corporate leaders are driven and have a duty to make sure their organization is run efficiently to achieve successful outcomes. Byron (2006) suggests that with the guidance of corporate leaders, a company’s purpose is to articulate their dominant values, translate those values into their principals and allow those principals to influence corporate culture. For example, the old version of corporate culture was characterized by such values like freedom, individuality, competition, loyalty, efficiency, self-reliance, power, stability, contractual obligations, and profit. If these values are not regulated and controlled, unworthy values like greed and the motive to dominate rather than serve can propel individuals and organizations to engage in ethical misconduct. In the new corporate climate however, leaders are embracing and learning to comprehend the ethical connection between the organization and a broader picture of its stakeholders which include employees, supplies, consumers, the community and the environment (Byron, 2006). Regardless of the situation an individual find themselves in, the final decision should reflect good judgment and the right choice, which in my view, does not include bringing harm to stakeholders. This in the long term, is a best practice choice.

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Unfortunately, many leaders are forced to make a decision between profits and the welfare of their consumers.  Some are aware of how other companies handle similar situations and feel immense pressure to adapt those industry practices to save their own hide and remain competitive in their market, or as Ferrell et al. (2013) describe, “When in Rome, do as the Romans do” (Ferrell, Fraedrich, & Ferrell, 2013). Leaders face a multitude of pressures because (a) their organization is showing signs of eroding market share, (b) unethical supervisors put pressure on team leaders to cut costs or layoffs would result, and (c) they are usually under a time restriction to yield results. In addition, rather than work in partnership with colleagues to find the best solution, sometimes supervisors make it clear the weight of the decision is on one person’s shoulders. In a case like this, the decision could yield a positive outcome and everyone is victorious. However, if the decision should prove disastrous, that manager is on their own.  In conclusion, many organizational leaders find themselves facing similar issues because they have not established an ethical culture and instead created a climate that is vulnerable to ethical misconduct.

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References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Byron, W. (2006). The power of principles: Ethics for the new corporate culture. Maryknoll, NY: Orbis Books.

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

Cultivating an Ethical Corporate Climate

Published July 31, 2013 by Mayrbear's Lair

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The corruption and scandalous behavior of organizational leaders has prompted corporations to set up more effective policies to reduce ethical misconduct. In fact, as a result, many organizations have taken a proactive approach when it comes to cultivating an ethical climate. Recent studies suggest that 90% of fortune 500 companies now employ codes of conduct and new laws require CEOs to sign off on documents that state they have no conflict of interest financially or personally that may cause unethical operations. These are some of the measures corporate leaders take to maintain the trust of their stakeholders. Boatright (2009) posits that there are three kinds of codes of ethics. The most common specify rules for various situations and are identified as codes of conduct or statements of business standards and practices. Another kind of statement addresses core values or the vision of an organization. This is referred to as a mission statement or company credo. These include affirmations of the commitments an organization makes to key stakeholders. The third form is the corporate philosophy which describes the beliefs that guide the company. Philosophy statements are usually written by the founders of new industries, like when innovative technology is developed that introduces new ways of doing business. In addition, there are some companies that develop an aspiration statement which describes the kind of company they aspire to evolve into (Boatright, 2009). These various codes of ethics provide the stakeholders an explanation of the organization’s values and ethical principles that guide their actions.

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The institution examined for this blog post is The Chopra Center for Well-being. Deepak Chopra and David Simon, two highly esteemed medical doctors, created the Center for Well-being to offer a medical facility that integrates both eastern and western medicine to help people experience physical and emotional healing (Chopra & Simon, 2013). Organizations that manage public health and welfare have a responsibility to their clients and a higher need to establish codes of conduct because errors and ethical misconduct in this industry can result in the loss of life. Because of this, stakeholders require assurances of an effective ethics program to detect and prevent criminal conduct. The Chopra Center’s homepage clearly states their goal which is to guide guests and provide tools and healing principles that nurture health and restore balance to help them live a more joyful life. These statements clearly communicate their organizational goals and  the methods they employ as ethical medical practitioners.

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It is important that stakeholders trust the leaders that run a corporation. Ferrell et al. (2013) postulate that the development of an effective business ethics program outlines an organization’s objectives and devise systems to manage, evaluate, and monitor their operations (Ferrell, Fraedrich, & Ferrell, 2013). Stakeholders want to feel confident that leaders are engaged in actions that do not include abuse of power or misuse of organizational resources. For example, in addition to stating their goals on the homepage, The Chopra Center website also has a link to their mission statement which professes they exist to serve as a global source for healing and transformation. By clearly publishing their mission statement, their goals, their history, media information, a FAQs page to address questions and other information to address concerns, the Chopra Center website helps minimize risk and manages stakeholder fears by providing a wealth of information with openness and transparency. The information provided on their website displays a formal control of input that indicates is supported by a strong support staff whose shared values help establish a sturdy structural system. In conclusion, the Chopra Center team clearly seems to comprehend the importance of establishing an effective ethical culture because as an organization in the health care industry, it helps them avoid legal issues that could end up with disastrous consequences.

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References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Chopra, D., & Simon, D. (2013). The Chopra Center for Well-Being. Retrieved July 14, 2013, from The Chopra Center for Well-Being: http://www.chopra.com/welcome-chopra-center

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

Ethics Audit Programs

Published July 29, 2013 by Mayrbear's Lair

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Most organizations incorporate some form of ethics system regardless of whether it is formally established or informally understood. Campbell and Houghton (2005) contend that ethical behavior does not simply translate to complying with legal and professional regulations; it is a state of mind in which individuals follow unwritten tenets and exist in a culture of making choices that does not bring harm to others or the environment (Campbell & Houghton, 2005). For example, leaders of ethics audit programs should require that individuals that manage them should  have adequate training to run ethical compliance programs. In other words, they should make sure the individual appointed to this position is sufficiently qualified. For example, one company that appointed an employee to manage the ethics committee for their organization was appointed merely because he was conveniently located near the office, not because of his experience in ethical or legal matters. In addition, he was reluctant to take the position unless he was substantially compensated for his time. This means his motives were driven by a reward system not by his moral values or principles. This component changes the dynamic of his role as an authoritative figure.

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Rules and policies in an organization are made to include the culture and values of a company. Boatright (2009) posits that these guidelines are outlined in a company’s formal documentation which includes their mission statement, a code of ethics policy, personnel manuals, training material and management directives. Orientation training, compensation, promotion, auditing and monitoring systems serve as various devices that help support a company’s rules and regulations (Boatright, 2009). In another  case study, the organization conducted its own ethics auditing report and concluded it was doing a good job of monitoring ethical issues and even complied with the report’s recommendations to establish a confidential hotline for employees to report legal concerns. However, one of the organizations top executives discovered another reality actually existed. One where: (a) employees are violating operational procedures, making unauthorized short cuts to meet deadlines that have resulted in harm to employees and the environment, (b) an inequality and glass ceiling situation that exists with respect to the compensation between male and female employees, and (c) discrimination issues in targeting a specific ethnic group and taking advantage of their unfamiliarity with labor laws. In addition without organizations like the EPA and OSHA monitoring their activities it is easier for them to engage in practices that violate regulations. Now that the leader is cognizant of these issues if he does nothing to change the situation or report it, when it is eventually discovered, he will find himself in dire need of an ethical crisis management and recovery plan to save his hide.

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Organizations that do have an ethical program or implement an ethics auditing system will face challenges that can result in legal and ethical misconduct. Ferrell et al. (2013) suggest that to help prevent a crisis from erupting, the development and implementation of a crisis management plan can serve to help leaders respond and recover faster from unethical and scandalous events that may occur (Ferrell, Fraedrich, & Ferrell, 2013). Although executives are not responsible for the events of the past, they are charge of guiding the organization’s future. If they are not able to manage ethical issues they face, he and the organization could face substantial legal and financial ramifications which will in turn disrupt company operations, prevent employees from performing their duties, slow production, damage the institution’s reputation, and lose the confidence of their stakeholders. If leaders avoid these issues they will only escalate until they reach the tipping point and at that juncture, it may be too late to recover. In the meantime, the executive’s job and reputation will be on the line because investigators will look to them for answers. It is recommended therefore, that leaders work on developing a crisis management plan because executives that cultivate an unethical environment steer organizations straight into the maelstrom of a managerial catastrophe.

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References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Campbell, T., & Houghton, K. (2005). Ethics and Auditing. Canberra, Australia: ANU E Press.

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

Corporate Social Responsibility

Published July 22, 2013 by Mayrbear's Lair

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Companies are in the business of making a profit for the benefit of their stakeholders.  This in turn means they have a responsibility to the employees, customers, suppliers, communities and society at large. Boatright (2009) posits that most organizations are cognizant of their responsibilities. They seek strategies to reach desired outcomes and initiate directives that adhere to corporate social responsibility (CSR). In fact, evidence suggests it is becoming more difficult for companies to gain sufficient competitive advantage in today’s cut throat marketplace without CSR. Together with regulations that are in place, more corporations are engaged in practices that monitor such things as fair prices, fair labor conditions, direct trade, democratic and transparent organizational behavior, community development and environmental sustainability (Boatright, 2009).  Top managers, however, are not always in the best position to make ethical choices because of various components. In one case study for example, a manager was thrust into a situation that required decisions and judgments based upon the organizational culture. In addition, as an expectant parent, the leader’s financial status changed temporarily because his wife was on unpaid maternity leave. This now left him as the sole breadwinner. In short, the supervisor’s new situation made it difficult for him  to make the best choices that were in alignment with his personal moral views because of the external pressures from his job and the internal pressures of a husband and an expectant father. He was feeling stressed from being in a position where he had to contemplate choices that could ultimately result in his termination.

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The legal issue he contemplated were having to conform to new policies that lead to behavior in violation of federal trade commission laws and mandates. Upper management was pressuring him to engage in practices that encouraged using information from trusted clients to give them an advantage in the market. This in turn created unfair competition. In addition, he did not have the support of many of his departmental staff members. In fact, many voiced  loudly their objection to the new direction the firm was taking. Ferrell et al. (2012) suggest that a company’s history consists of the unwritten rules that become part of its culture. Leaders at the helm are considered responsible for their behavior as well as that of their subordinates.  Corporations that follow the guidelines set forth in the Sarbanes-Oxley Act define parameters that institutions are expected to comply with, which includes systems that monitor and assess the internal and external auditing of financial statements (Ferrell, Fraedrich, & Ferrell, 2013). By adopting these new practices proposed from upper management, their company was in a unique situation to utilize information from trusted client relationships in order to profit over other organizations. This is a serious offense that raises the alarm for stakeholders.

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There are advantages and disadvantages to the manager’s situation. The advantages are huge capital gains, status, recognition, and other enticing benefits. The disadvantage is conducting business unethically and illegally which can result in termination and incarceration. To incorporate these new practices, it encourages employees to chase monetary rewards based on commissions and fees on mutual funds that are risky, can go sour, and damage the credibility of the firm and its representatives. In short, chasing high profits unethically, will inevitably lead to the organization’s demise and the downfall of many respected careers. Because of the added pressures to provide for his expectant partner, the pressures from his superiors to engage in questionable practices, and the threat from one of his biggest clients, this leader had to face some very serious choices which could have long term negative outcomes. McGraw (2012) contends that surrounding yourself with the right people helps you learn the right actions to make the right decisions (McGraw, 2012). The financial industry tends to attract individuals that are drawn by power, which can turn to greed and corruption contingent upon personality traits. Many top executives find themselves in situations where they are called to participate in ethical misconduct from pressures like this leader faced. Their choices are: (a) comply and go with the directive of their superiors taking the risks that are involved with misconduct, (b) choose not to participate, which could ultimately cost them their job, or (c) find a solution that does not involve the exploitation of trusted client information to achieve similar positive outcomes. The last choice requires presenting a strong argument to upper management however, that supports changing the view of the superiors with reasons that urge them to engage in more ethical practices to achieve their goals. Ultimately it is up to each individual to come up with a strategy they can support and embrace with a healthy conscience.

References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

McGraw, P. (2012). Life code. Los Angeles, CA, USA: Bird Street Books.

Ethical Training Programs

Published July 17, 2013 by Mayrbear's Lair

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Ethical training programs equip employees with strong reasoning abilities and intellectual skills that can help them comprehend and find more effective solutions to complex ethical challenges. Ferrell et al. (2013) identify six stages of moral development based on Kohlberg’s model of philosophy. They are: (a) punishment and obedience, (b) purpose and exchange, (c) interpersonal expectations, relationships and conformity, (d) social system and conscience maintenance, (e) prior rights, social contract or utility, and (f) universal ethical principles. Kohlberg’s studies also suggest that individuals continue to evolve and reshape their morals and ethical behavior based on training, education and experiences (Ferrell, Fraedrich, & Ferrell, 2013). For example, an ethical dilemma in one case, was created by an employee that works in customer service. In this situation, the employee received a gift from a customer as a small token of their appreciation. However, accepting gifts from clients goes against the company’s code of conduct policies. According to Ferrell et al., experts may identify this dilemma as stage one in Kohlberg’s cognitive moral development model. Identifying this stage, can help a supervisor address the nature of his moral dilemma to help find the best solution. In this stage of development individuals respond to obedience and punishment, where rules dictate the terms of right and wrong, and good and bad conduct, that help determine outcomes. Because the organization has clearly defined policies forbidding salespeople from accepting gifts from consumers and identifies what is acceptable business behavior, a supervisor may send the following email in response to the situation:

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By composing this letter, the supervisor is immediately taking responsibility of the seriousness of the matter and addresses the situation with recommendations to the employee for a swift resolution. The leader analyzes the issue, acknowledges the situation intensity, and identifies the matter as unethical behavior. By addressing these components, it is easier to decide on the appropriate action required to reach a mutually beneficial and ethical solution. These actions portray a skilled leader whose direct approach is sharp and swift while remaining sensitive to a valued employee’s unmitigated circumstances. There is nothing wrong with employees or clients showing appreciation for outstanding performances. However, this situation dictates that employees and clients follow the parameters of company policies to avoid situations where a staff member may lose their job by inadvertently participating in ethical misconduct by innocently receiving a reward. Boatright (2009) reminds us that justice requires that everyone has the right of equal opportunity to succeed in life (Boatright, 2009). However, receiving favors and rewards from certain clients is not fair to other employees who work just as hard and are not acknowledged for their excellent performances. Policies can change over time, however in order to do so, it must be done on a corporate wide level and implemented into the company’s culture and code of ethics throughout the organization so that employees have clearly defined parameters of what is right and wrong behavior. In conclusion, arming employees with strong reasoning abilities and intellectual skills can help them better comprehend ethical challenges and find more effective solutions to complex issues that are in alignment with corporate procedures and policies.

References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.

Ethical Decision Making

Published July 15, 2013 by Mayrbear's Lair

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Making difficult decisions in a corporate arena is a complicated process for leaders, especially if they lack sufficient skills to make effective ones. Ferrell et al. (2013) suggest there are a variety of components leaders take into consideration when making decisions. They include identifying: (a) the ethical issue intensity, (b) the individual factors, and (c) the organizational factors and opportunities. These are integral elements that influence the decision making process (Ferrell, Fraedrich, & Ferrell, 2013). When making decisions, leaders must comprehend that there are both advantages and disadvantages in each decision they make. For example, standing by their moral values, a loan officer may decline approval for a $10 million dollar loan to a subsidiary of a tobacco company because of their personal views on promoting deadly products. The advantage of this decision is that it supports that individual’s moral principles. This decision portrays an individual that has adopted an idealistic kind of approach in the way they conduct business, in that they have embraced special idealist values and applies them to help make decisions that reflect a socially responsible form of business practice. Because their views are not part of corporate policy, the disadvantage of this decision is that the client went to competitors instead and secured a loan. In short, the choices were ethical to the individual, but resulted in a huge profit loss for the corporation.

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When leaders engage in important decisions, they must also consider both the ethical and legal aspects of the situation to make the most effective decisions. Ferrell et al. (2013) suggest that an individual’s locus of control influences their behavior. Their studies deduced that people who believe their destiny is controlled by others are usually not as ethical as those who believe they control their own destiny (Ferrell, Fraedrich, & Ferrell, 2013). For example, CEO’s and other top level executives are in a position of power and control for both the short and long term destiny of the company. Each want to make the best decision that is in alignment with the ethical culture of the corporation as well as their own. Ethical decisions include such things as deciding who to conduct business with and whether profits are more significant than outcomes and social responsibilities. By choosing to do business with people that are distributing and manufacturing products or services that bring harm and death to others, leaders must not only face the ethical issues involved but the legal ramifications as well. For example, by selling tobacco products outside the US where restrictions are less binding, a manager is essentially supporting profits over the welfare of innocent people. Corporations are entities and therefore do not experience feelings for people, however, the leaders and managers with families of their own, tend to feel a sense of moral obligation to protect humanity regardless of color or race. Even though a corporation is an entity that does not have feelings, it can still feel the ramifications should legal action be taken against the corporation in the future by victims for intentionally selling merchandise that causes harm from the addictive and toxic additives that are included in their products.

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Most people rely on their own principles to resolve moral issues on a day to day basis. Every leader has significant ethical and legal issues to consider that rely on the organizational culture and the moral philosophies they adapt to help in the decision making process. For example, leaders whose decisions are based on a philosophy known as virtue ethics can make decisions that turn down large profits because their choices are dictated in accordance with that individual’s ideals and the sense of morality that individual develops from their own character which tend to consist of good morals and mature perspectives. Other executives reject deals to sell products that harm consumers because of a deontological moral philosophy which is based on preserving individual rights and the intent to remain steadfast to those beliefs. A corporation on the other hand, is an entity and only interested in end results: profits. Therefore, corporations tend to fall under the teleological view of moral philosophy with focus on achieving end results that benefits all. Regardless of moral philosophy, all decision makers must carefully consider the legal parameters involved as well to avoid violations and harsh penalties.

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In conclusion, leaders want to perform at optimum levels and corporations want to enjoy success. However, as the global market continues to expand, executives, together with their corporations, are taking more measures to incorporate commitment to product integrity and social responsibility. Boatright (2009) contend that a distinguishing aspect of business is its economic character because relationships are based on economics and profit (Boatright, 2009). The bottom line is that leaders have discovered making decisions that are socially responsible is just a good way of doing business in the modern era. Corporations that behave as a tool for change, hire leaders that are motivated to make decisions in alignment with ethical policies. They are conscious of making decisions that do not create harmful outcomes to their stakeholders or the environment. Leaders and corporations whose basic tenets display socially responsible practices like recycling, adopting environmentally conscious policies, incorporate transparency in their operations, and are mindful of how their business generates profits, build trust and confidence from primary and secondary stakeholders which ultimately contributes to the overall success of that organization.

References:

Boatright, J. (2009). Ethics and the Conduct of Business (Sixth ed.). Upper Saddle River, NJ: Pearson Education, Inc.

Ferrell, Fraedrich, & Ferrell. (2013). Business ethics and social responsibility (9th ed.). Mason, OH: Cengage Learning.