Free Essay

Business Organization and Management Ethics

In: Business and Management

Submitted By talsdurf
Words 1481
Pages 6
Abstract

The assignment/paper is an ethics exercise with two different cases to analyze and determines what direction/decision I would take in each case. The first case is to justify my decision to allow a top performing staff member, Kay, to apply for a different position within the company. Kay and I both are aware that I would not be allowed to replace her due to budget cut and a friend of the boss is also applying for the position. The second case is Marty has miss applied an expense for a local community development committee dinner meeting.

Case 1: Stephanie Lyncheski, after careful consideration and working through the Checklist for Making Ethical Decisions matrix (Schermerhorn Jr., 2010), I have made my decision to allow Kay Smith to apply for a new position within the company. I know that I would not be allowed to replace Kay due to budget cuts and she is a high performer for my group. The decision is what is best for the company and Kay. I want to walk you through my decision process to provide you an understanding of why I believe it is the best decision to allow Kay to apply for the new position within the company. I utilized the Checklist for Making Ethical Decisions matrix with the steps below: • Step 1: Recognize the ethical dilemma. • Step 2: Get the facts. • Step 3: Identify your options. • Step 4: Test each option: Is it legal? Is it right? Is it beneficial? • Step 5: Decide which option to follow. • Step 6: Double-check your decision by asking these two follow-up questions: o “How would I feel if my family finds out about my decision?” o “How would I feel if my decision is printed in the local newspaper?” • Step 7: Take action. Step 1: Recognizing the ethical dilemma: Which ethic view should I take, the utilitarian, individualism, moral rights or justice view? The utilitarian view delivers the greatest good for the most people. The individualism view advances long-term self-interests. The moral rights view respects and protects the fundamental rights of people. And the justice view treats people impartially and fairly. The utilitarian, moral rights and justice views would require I approve Kay’s request to apply for the new position because she is deemed to be a long term employee for the company and is a high performer which in the long term is best for Kay’s growth within the company. On the other hand, the individualism view would require I do not let Kay apply for the position because I need Kay for two main reasons. 1. Kay is a high performer, which helps me look good to my management and 2. I cannot replace anyone who leaves for quite some time due to the budget cuts, which will put additional stress on the my team and myself if she leaves the team. Step 2: Get the facts: 1. Kay knows my situation that I cannot replace her and she is the top performer within my team. 2. By asking my permission to submit an application for the new position in a different division of the company, tells me she wants to stay with the company but is looking for advancement and more challenging work. Step 3: Identify your options: Option 1: I can tell her no with an explanation of how much she is needed in my team. Option 2: I can give her permission to apply for the position. Option 3: I can give her permission and request the hiring manager not to consider her due to my team’s needs. Option 4: I could tell the hiring manager about the boss’s friend’s son, to make sure the son gets extra consideration which should keep Kay from being hired for the new position. Step 4: Test each option: Is it legal? Is it right? Is it beneficial?: Option 1 is legal and beneficial but I do not believe it is right because Kay has worked hard to have the qualification required for the new position and she is a high performer. Option 2 is legal, right and beneficial. Kay is a high performer and has the potential to rise within the company which could help me later because she would appreciate me letting her apply for the position. Option 3 is not legal or right but is beneficial. The benefit is it allows Kay to go through the application process and she will think I am a good manager so when she does not receive the position she will stay with my team. Option 4 is not legal or right but could be beneficial. The possible benefit is Kay would not receive the position and stay with the team. Step 5: Decide which option to follow: I chose option 2, to give her permission to apply for the position. I know from personal experience, when a manager holds an employee back for their own team’s benefit. it can back fire on the manager. The employee usually will leave the company so the manager is still short an employee and the company did not retain a good employee. It is better to take the high road and help people progress and not hold them back. Step 6: Double-check your decision by asking these two follow-up questions: 1. “How would I feel if my family finds out about my decision?” I believe my family would be proud to know I made the right decision for Kay and the company. 2. “How would I feel if my decision is printed in the local newspaper?” I would feel proud to let anyone know that I did what was right for Kay and the company. Step 7: Take action: I have scheduled a meeting with Kay, to give her my decision to let her post for the position within the company. I also will be discussing with my direct management, what I can do as an incentive, for Kay, if she is not selected for the new position to help her want to stay with my team. The incentive option might be to move her to a higher grade with a pay increase or spot award for to recognize her performance and look for ways to make her current position more challenging and rewarding. I believe this would be necessary to keep her within the team if she is not selected for the new position. In conclusion, the best decision for the company is to allow Kay to apply for the new position within the company. This allows Kay to know that she is a valued member of the company and will not be held back when opportunities present themselves.

Case 2: Marty Jose has applied charges incorrectly to the advertising budget. I am meeting with Marty to discuss what actions need to be taken since all internal audit discoveries are reported to me for resolution. Marty expensed a dinner for several hundreds of dollars for a local community development committee dinner in which Marty is the firm’s representative. The entertainment budget has been eliminated so Marty chose to apply the expense to the advertising budget. Before meeting with Marty, I have had a meeting with the last person that held the position for the firm. I was told the dinner expense, for the local community development committee, was always covered by the firm’s representative in the past. Also the firm values the committee members and is committed to the local community development. Then I will make sure I have read and evaluate the expense policies and have determined the expense is covered and applicable. I have also reviewed my findings with the head of the finance department and have received finance’s preferred option on where the expense should be applied. My next step would be to meet with Marty’s manager to have an understanding of his knowledge of the expense and if he had preapproved Marty’s actions. In my meeting with Marty, I first explain why we are meeting and request her to provide her explanation of the events. I am hoping this would provide me an idea if this is a common practice among the employees and if additional training is warranted for this department. I would next explain to Marty that she should have approached her manager with the expense with an explanation of the expense and apply the expense to the wrong account is not acceptable and in the future stronger action would be taken for any reoccurrence of this type of action. I would in conclusion of the meeting inform Marty that should would be receiving an email from her manager on how to correct the expense in the system.

References

Schermerhorn, J.R. (2012). Management (11th Edition). Wiley, John & Sons, Inc.
Ross, Judith A. (2007), Managing Teams for High Performance, Harvard Business School Publishing Corporation.…...

Similar Documents

Free Essay

Ethics in Business and Management

...or a business should only act according to their own perceived interest. In this case, for Barrick, it is to maximize profit. The original purpose of opening the mines in Tazania is to utilize natural resources and cheap labour to gain a competitive advantage and make profit. So if Barrick’s management team tries to resolve the problems by sacrificing shareholders’ self-interests and taking care of the community; then, it is going against egoism principle and put the interest of the shareholders at risk with these expenses. Let us turn to option 2. Using Milton Friedman CSR business concept, Milton would agree with this option. In his view, a corporation’s only social responsibility is “to make as much money as possible while conforming to the basic rules of the society” (Textbook, p. 42). Clearly, in this case, Barrick has complied to all the laws and ethical customs. Specifically, when relocating families around the mine to different locations, critics criticize the company for giving penny compensation; however, it is due to “the socialist-era law that deemed all land to be owned by the state” (York, p.2) and Barrick just follows it. In addition, in attempting to be beneficial to the community, Barrick has joined a number of associations such as “International Council on Mining and Metals, International Cyanide Management Code and Voluntary Principles on Security and Human Rights” (Regent, p.2) to show their friendly intentions. Having said that, based this CSR business......

Words: 2126 - Pages: 9

Premium Essay

Ethics in the Workplace or Organization

...My presentation is on Ethics. First of all we should know what is ethics?? Ethics is the inner guiding moral principles, values, and beliefs that people use to analyze or interpret a situation and then decide what is the “right” and or appropriate way to behave. (Contemporary Management, 3rd edition, Jones and Geroge) Ethics is knowing the difference between the what you have a right to do and what right thing you have to do. It is a general practice throughout the world. It is not just the part of the business world. If follow the certain ethics, we will have better chance of survival. And if we do not follow the rules of ethics even than we will end up somewhere higher, but we will not have the good will, reputation or for sure we will not in the good books of a lot of people. It does not tell you to follow the society, but to research what really is right. Ethics refers to standards of right and wrong that is people are supposed to do, like moral obligations, fairness, benefits to society, honesty, loyalty, virtues, back off or hold back somebody to fraud, rape, stealing, bullying. A business is not just about money making at all costs.  There are considerations to be made outside traditional money making and ethical and moral considerations..  Every organization has a written codes of ethics Codes of ethics: A written set of guidelines issued by an organization to its workers and management to help them conduct their actions in accordance with its primary......

Words: 1188 - Pages: 5

Premium Essay

The Human Element “Ethics” in Business Research Management

...Human Element “Ethics” in Business Research Management Kanak Tara*, Archana Yadav** and Ritesh Kumar*** *JRF, Indian School of Mines, Dhanbad **M. Ed., Xt. Xavier College, Patna; ***Scientist, Central Institute of Mining & Fuel Research, Dhanbad ABSTRACT India, like some of the other developed and developing countries in the world, is greatly facing problem of ethics in business research and its management. The large amount of new wealth creates incentive to cut corners to get rich. The pressure to succeed at all costs has created a ‘cheating culture’ that threatens to undermine academia as well as the social and economic fabric of society. However, good business ethics help a society as a whole, and some say that good ethics can be a source of competitive advantage for an organization. Steps can be taken to improve ethics in business research and its management at the societal level, at the individual level, and more importantly at the organizational and the governmental level. In addition to ethical leadership, we believe that one key to improving ethics at the organizational level is human resource management. Improvement can be made in the areas of recruitment, selection, performance appraisal, performance management, compensation and benefits. Personnel policies can help ensure ethical conduct within the organization. This paper outlines and discusses the ethics in general as well as in Business research. INTRODUCTION Today’s challenge to business......

Words: 3058 - Pages: 13

Premium Essay

Role of Managerial Accounting and the Management Accountant in a Business or Organization

...of managerial accounting -- The process of preparing management reports and accounts that provide accurate and timely financial and statistical information required by managers to make day-to-day and short-term decisions. Unlike financial accounting, which produces annual reports mainly for external stakeholders, management accounting generates monthly or weekly reports for an organization's internal audiences such as department managers and the chief executive officer. These reports typically show the amount of available cash, sales revenue generated, amount of orders in hand, state of accounts payable and accounts receivable, outstanding debts, raw material and inventory, and may also include trend charts, variance analysis, and other statistics. Also called managerial accounting. Management accounting is a profession that involves partnering in management decision making, devising planning and performance management systems, and providing expertise in financial reporting and control to assist manage- ment in the formulation and implemen- tation of an organization’s strategy. Management accounting’s essential compo- nent is the formulation and implementation of strategy to help an organization succeed. Role of managerial accounting and the management accountant in a business or organization --- Managerial accountants record financial information for their companies that is used by the organization’s management team to aid in the decision-making process.......

Words: 534 - Pages: 3

Free Essay

Business Ethics in Organization

...PRACTICE OF BUSINESS ETHICS MMUI J131 • Rotua Veronika Ariester • Sarah Afifah • Samuel Krissandi • Ronald • Eldhie Sya'banni • Reffit Gustaroska ORGANIZATIONAL ETHICS DEFINITIONS  Organizational Culture: The values, beliefs, and norms that all the employees of that organization share  Value Chain: The key functional inputs that an organization provides in the transformation of raw materials into a delivered product or service ASTRA CREDIT COMPANIES  Vision: Become the 1st Choice Financing Company with Total Solution  Mission: To Promote Credit for a better living VALUE CHAIN  Key functional inputs:  Research and Development Develops and creates new product designs  Manufacturing Sources the components and builds the product  Marketing (and Advertising)  Sales  Customer Service  Four Primary Line Functions     Human Resources Management Finance Information Systems Management A REPRESENTATIVE COMPANY VALUE CHAIN Supply Chain Management Operations Distributions Sales and Marketing Service Profit Margin Primary Activities and Costs Product R & D, Technology, and System Development Human Resources Management General Administration Support Activities and Costs EHTICAL CHALLENGES BY ORGANIZATIONAL FUNCTION ETHICS IN RESEARCH & DEVELOPMENT  Develop a product design that hopefully will allow the company to capture and maintain leading position. gather data from customer through market......

Words: 1901 - Pages: 8

Premium Essay

Business Organization and Management

...academic dismissal from the University. 5000 | Dr. Marguerite Barta | Business Organization and Management | MGT5000-2 | <Add student comments here> ------------------------------------------------- Faculty Use Only ------------------------------------------------- <Faculty comments here> ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- <Faculty Name> <Grade Earned> <Writing Score> The intention of this paper is to analyze the results of a confidential survey administered in the workplace regarding organizational cultures. All managers have antithetic organizational cultures and procedures unique to each organization, management team, and industry. When administering a survey to individuals within the organization, the most important aspect of governing the survey is maintaining confidentiality for both the employees and the organization. It is not uncommon for organizations to request their employees to complete anonymous surveys regarding the management, leadership, organizational culture, communication and the employee’s overall satisfaction. Surveys can greatly assist with understanding and becoming aware of the necessary changes that need be made in order to maintain happiness, more effective communication and growth among the employees and the organization as whole. Surveys can further provide insight into whether......

Words: 1719 - Pages: 7

Premium Essay

Business and Management Kantian Ethics

...Kantian Ethical Analysis Kantian ethics are perhaps one of the world most loved branch of ethical philosophy. It is to some extent the Eden lost of moral philosophy, for it argues that moral requirements are based on established standards of rationality, reason and dignity embedded in Categorical Imperative and whereas, immorality is somewhat a violation of moral philosophy and is not embedded in Categorical Imperative, which is self governing reason that each and every individual possess as a guiding factor in practical affairs, business decisions such as the failed merger of AT&T and TMobile merger. Reason, declared Kant, is the source and ultimate basis for morality (Cavico & Mujtaba, 2013). Meaning, morality is not based on the animalistic side of man, but, rather on a God given conscience weaved in the moral laws which are the opposite of intuition or utility. This moral law is binding on human beings, simply because they are rational (Cavico & Mujtaba, 2013), however; what makes man rational? Does the rationality of man only apply to personal matter not business matter? Does that rationality prevent business controversies? Rationality is a most desirable quality of man, however; such rationality does not always apply to business matter. The merger of the second and fourth largest telecommunications companies, AT&T and T-Mobile is a prime example of how far man will go in order to ignore his God given conscience. However, the same man that is often...

Words: 1704 - Pages: 7

Premium Essay

Discuss the Importance of Business Ethics in an Organization

...Discuss the importance of business ethics in an organization We hear about this word ‘Ethics” almost every day. We are all aware of the fact that there is a public consciousness which is related to ethics that is way much more important than it was few years back. It is obvious that business ethics are important throughout every area of the business. Most businesses are often more likely to become successful when they are known for dealing honestly with people from its employees and customers to shareholders and vendors. What does the word ‘business ethics’ really mean? Business ethics are nothing more than the code of values and principles that govern the actions of an individual, or a group of individual, regarding what is right and what is wrong. Business ethics are not just about the difference between right and wrong, but they are the actual application of that knowledge to business. Their absence in an organization can be harmful to the progress of any businesses or organizations. Every time a new business is launched, whether it is business of a sole trader or an enterprise, the owner or owners must first legally adopt a code of ethics. For small businesses, the code of ethics is usually unwritten and sometimes not even discussed and decided upon, but still it exists. Where as, for larger businesses such as a full-blown brick-and-mortar corporate enterprise, they often have written codes of ethics and employees are trained and required to adhere to it. It......

Words: 1994 - Pages: 8

Premium Essay

Organization Ethic

...Organizational Ethics Alejandra Ontiveros ETH/316 July 21,2014 Claudio Morales As a foodie and lover of bread I really got to this short five minute and 46-second video and thoroughly enjoyed it. The clip Avalon is definitely inspiring. The issues in the video clip involve the city of Detroit, but it is happening everywhere in towns and cities across the United States. The issues in this video are important because in order for the United States of America to bounce back we need people like these around that took the initiative to find a way to help out and improve their surroundings. Stuff like this is happening across the United States not just in Detroit. It gives people hope of ways to improve their lives. This was all started by the aspirations of two women embarked on an endeavored to start a new small business in the city of Detroit. Their business is baking breads for their community, but it has reached by word of mouth within the city limits not just their neighborhood. These ladies showed how daring they are and that healing a city can happen when mindsets are put ahead of personal gain. They demonstrated how to use ethical principles to address the organizational issues. The organizational ethics depicted in this short clip are astounding. The city of Detroit experienced a huge downfall that started decades before the crash of the economy in the late 2000s. When the auto companies started shuttering plants and moving jobs overseas for profit and......

Words: 822 - Pages: 4

Premium Essay

Ethics in Organizations

...Ethics is a broad term that people sometimes stretch to fit the way that is convenient to them, but in reality ethics is a strong sense of right and wrong. In our textbook Organization Behavior by Nelson and Quick, ethics is defined as “the study of moral values and moral behavior” (Nelson and Quick). Ethics are a very important aspect in an organization. Ethical behavior by an organization can set them apart from others and give an impression of a good, honest working company. Ethical behavior is defined as “acting in ways consistent with one’s personal values and commonly held values of the organization and society” (Nelson and Quick). This definition is a little more open ended because it gives the organization power to decide what is ethical. The key part of this definition is “values of the organization and society”. This aspect of the definition means that ethical behavior based off of societal values and not just personal beliefs. Unethical behavior in an organization can cost many companies. Things such as wrongful termination and other unethical behaviors can lead to lawsuits against a company. Organizations that have not abided by the codes of ethical behavior have had major consequences, which are shown in throughout this paper. A major question is should an absolutist view be taken towards ethics or should situations be judged at the time of the issue in order to apply the rules the way you see fit? When it comes to ethics any illegal actions are......

Words: 4327 - Pages: 18

Premium Essay

Practices and Ethics in Organizations

...Reporting Practices and Ethics Paper The most basic challenge of stewardship and integrity in health care is to continue the organization's core mission of healing patients and communities. One of the greatest dangers faced in health care today, especially as agencies struggle to survive in the most competitive market environment is to focus on the fiscal demands which may compromise the mission of the health care agency. Organizations are in crucial times and reports are imperative for its continued maintenance. According to Gerard Magill and Lawrence Prybil, state that stewardship and integrity is an approach that inspires the ethical decision making process in health care in financial reporting and ethical standards (2004). Crucial is the role organizational ethics play to regain lost trust and recover the confidence in communities, in the business or the health care community. “Organizations in health care need to win back the respect of skeptical customers, disheartened patients, and distrusting communities. But this task can be accomplished properly only when organizations and their business practices have a renewed commitment to ethics” (Magill, 2004, p 229). According to Richard Clarke on accountability it is “critical that these organizations use standards for good business practices and implement these sections that are within the capabilities of the organization” (Clarke, 2005 p 160). He continues to state that to ensure the right direction and to reduce......

Words: 1380 - Pages: 6

Premium Essay

Organization Ethics

...Organization Ethics Ethics are the principles and values an individual uses to govern his activities and decisions. In an organization, a code of ethics is a set of principles that guide the organization in its programs, policies, and decisions for the business. Every organization runs to earn profits but how it makes money is more important. Businesses should not depend on unfair practices to make money. One must understand that money is not the only important thing; pride and honour are more important. An individual’s first priority can be to make money but he should not stoop too illegal and unethical conduct for the sake of money. managementstudyguide.com First, external social pressure has become a major driver in business ethics. This is especially true for small businesses in smaller communities. Companies need to consider social expectations in the areas of general community involvement and environmental responsibility. The information age has contributed significantly to this increased importance of social pressure as word spreads quickly when companies fail to adhere to social standards. The emergence of the Internet in the 1990s helped spark social pressure on businesses to emphasize community involvement and socially responsible business practices. In the early 21st century, business could not afford to ignore external social pressure. If you say or do things that go against socially accepted norms, the Internet and other means of rapid......

Words: 862 - Pages: 4

Premium Essay

Values and Ethics in Organizations

...Human Behaviour in Organizations Submitted to: Prof. Radha Sharma Submitted by: Group 1 Abhinav Srivastava 15P181 Ashutosh Pandey 15P191 Aviral Jain 15P192 Divya Gulati 15P201 Rahul Kasera 15P221 Soumitra Joysula 15P231 Human Behaviour in Organizations Submitted to: Prof. Radha Sharma Submitted by: Group 1 Abhinav Srivastava 15P181 Ashutosh Pandey 15P191 Aviral Jain 15P192 Divya Gulati 15P201 Rahul Kasera 15P221 Soumitra Joysula 15P231 Values & Ethics in Organizations Values & Ethics in Organizations Contents 1. Background 1 2. The Concept of Ethics and Values 1 2.1. Values 1 2.2. Ethics 1 2.3. Role of Leadership in Organizational Ethics and Values formation 1 2.3.1 Moral Spill-over Effect 1 2.4. Organisational Ethics 1 2.4.1 Basic Elements of Organizational Ethics 1 3 Motivation theories for building ethical organisations 1 3.1 Stakeholder Theory 1 3.2 Intrinsic and Extrinsic Motivation 1 3.3 Incentive Theory 1 3.3.1 Reinforcements in Incentive Theory 1 3.4 Operant Conditioning Theory 1 3.4.1 Modifying Operant Behaviour: Reinforcements and Punishments 1 3.4.2 Operant conditioning for changing human behaviour 1 4 Industry Practices 1 5 Values & Ethics: A Cross-Cultural Perspective 1 5.1 Considerations for Evaluating Values of another Culture 1 5.2 Comparison of business cultures between China and USA 1 6 Case Analysis 1 6.1 NAICOM may sanction operators on......

Words: 9695 - Pages: 39

Premium Essay

Management and Organizations

...Chapter 1 Management and Organizations 1) A great manager makes a job more enjoyable and productive. 2) Managers play an important role in dealing with various challenges being faced by organizations today. 3) Today's managers are just as likely to be women as they are men. 4) A manager must coordinate and oversee the work of other people so that organizational goals can be accomplished. 5) A manager's job is all about personal achievement. 6) In traditionally structured organizations managers can be classified as first-line managers, middle managers, or top managers. 7) Middle managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization. 8) Effectiveness refers to getting the most output from the least amount of input. 9) Efficiency is described as "doing things right." 10) The four contemporary functions of management are planning, organizing, leading, and controlling. 11) Determining who reports to whom is part of the controlling function of management. 12) Directing and motivating are part of the controlling function of management. 13) When a manager performs the controlling function of management, he must monitor and evaluate performance. 14) Figurehead, leader, and liaison are all interpersonal managerial roles according to Mintzberg. 15) Disturbance handler is one of Mintzberg's interpersonal roles. 16) According to Robert L. Katz,......

Words: 11568 - Pages: 47

Premium Essay

Ethics in Organizations

...TERM PAPER Deteriorating Ethics and Values in Organizations: In the face of Indian Reality - VATSAL  DUSAD   2010TT10971 ”Integrity has no need of rules.” --Albert Camus Ethics  and  Values  in  the  context  of  organizational  culture  have  been  a  topic  of  intense  research  and   arguments  over  a  long  period  of  time,  and  it  has  also  been  recognized  as  a  very  important  aspect  of   organizational  behavior.  In  this  paper,  I  would  be  discussing  the  deteriorating  ethics  and  values  in   organizations.   I   would   begin   with   elaborating   what   ethical   culture   means,   then   taking   it   over   to   highlighting   its   need,   pondering   over   the   reasons   -­‐   so   as   to   why   unethical   culture   prevails   and   then   study   about   ethical   leadership.   I   would   like   to   conclude   by,   bringing   it   to   Indian   context   and   laying   down  a  discussion  -­‐  on  how  prominent  and  prevalent  is  this  issue  in  our  own  land.       There  has  been  a  sudden  rash  of  corporate  scandals  and ......

Words: 2639 - Pages: 11