BA 310 Chapter 4
Social media
What is an example of technologies that create new ethical dilemmas requiring new ethical guidelines?
Interview questions
What is the fifth step in the ethics screen process?
Ethics screen notice. Inform potential job applicants about the organization's ethics job screen
What is the first step in the ethics screen process?
Personality traits and related characteristics
What is the fourth step in the ethics screen process?
Integrity Tests
- Also referred to as honesty tests, typically gather information about the job candidate's behaviors and attitudes toward unethical workplace activities, such as theft - Can ask specific questions or opinions about honesty
Fair labor standards act
- Established 40 hour work week - Provided for overtime pay - Established a minimum wage - Established child labor laws
Wealth of Nations
- Formed today's understanding of capitalism - Is morally and ethically superior to other types of economic systems - "Invisible hand"
hiring ethical job applicants
What is the most important factor for developing and reinforcing a high-integrity work culture?
Plymouth settlement
- In 1620, the Pilgrims settled a trading colony in modern day Massachusetts - Pilgrims left England for religious and economic reasons - In exchange for trip to America, the Pilgrims had to export goods back to England
Theory of Moral Sentiments
- Individuals typically exercise free will within confines of morality - Difference between self interest and selfishness - A judicial system will step in when self regulating moral mechanisms fail
Sherman Antitrust Act of 1890
- Outlawed monopolies - Growth beyond a certain extent was illegal
Slavery
- The worst ethical violation and worst form of labor exploitation - Can be found in almost every ancient civilization
Code of Conduct
- extensively describes acceptable behaviors for specific situations that are likely to arise - It is often developed by an employee with legal expertise, provides substance to the Code of Ethics and is usually several pages long
Affirmative Action
- plans remedy past discriminatory behaviors by actively seeking, hiring, and promoting minority group members and women to equalize opportunities previously limited to Caucasian males - Race and gender can be a factor, but not the only factor - Quotas are illegal
Facilitating payments
expedite performance of "routine governmental action"
Vision
general purpose of company/organization. More inspiration
Mission
how the vision will be implemented.
strategic planning
integrates an organization's mission with its vision and provides clear direction on how the organization will progress from its current situation to a highly desired future situation
Business gratuity
is a present, gift, hospitality, or favor for which fair market value is not paid by the recipient
Social Dominance Orientation and Bullying
is the belief that an individual's particular group membership (defined in terms of race, gender, religion, or ethnicity) is superior to membership in other groups
bodily tendencies of lying
less eye contact, increased blinking, pupil dilation, fidgeting, shaking knee, tapping fingers
Foreign Corrupt Practices Act (FCPA)
makes it illegal for U.S. businesses to directly pay bribes in other nations
Conscientiousness
measures responsibility, dependability, and work ethic. Is the best predictor of ethics and job performance.
Taft Hartley Act
passed to curb strikes and prohibited Communist Party members from holding office in unions
Boston Tea Party
protest of the Tea Act, which allowed the East India Company to sell tea to only a few colonial merchants.
Bribe
providing someone with a monetary incentive to do something contrary to his or her job description
- Conflicts of Interest - Corporate Opportunities - Confidentiality - Fair Dealing - Protection and Proper Use of - Assets - Compliance with Laws, Rules, and Regulations - Encouraging the Reporting of Any Illegal or Unethical Behavior
The New York Stock Exchange recommends what topics to be included in the Code of Conduct?
- Trains - Cars
What are examples of transportation?
- Connect the code to the organization's strategy - Mention the Code of Ethics in job announcements - Introduce the code during employee orientation - Annually distribute the Code of Ethics with a letter signed by a high-level executive emphasizing the importance of applying the code on a daily basis - Display the Code of Ethics in newsletters, highly traveled areas, and on stationary and websites - Discuss the code during ethics training workshops - Mention the Code of Ethics in correspondences with suppliers and customers - Evaluate employees on code adherence in performance appraisals - Link code adherence to promotions and merit raises Annually assess how well the organization embodies the code
What are some elements of an effective code communication strategy?
- Trustworthiness - Respect - Responsibility - Fairness - Caring - Citizenship
What are the 6 values that are continually expressed within a code of ethics?
- Employee loyalty increases - Questionable behavior decreases - Competitive position improves - Managers become more confidant - Employee relations improve - Customer relationships improve
What are the benefits of having codes?
- Resumes - Reference checks - Background checks - Integrity tests
What are the four recruiting tools that provide useful behavioral information about a job candidate's ethics?
- Demonstrate managerial concern for ethics - Convey a particular set of values and obligations - Meet legal requirements and trends - Positively impact employee behaviors
What are the main reasons for adopting codes?
- Slavery - Terrible working conditions - Wage inequality
What are the most significant ethical problems caused by capitalism?
- Step 1-Obtain approval - Step 2-Create a code-writing team - Step 3-Gather list of ethical issues from relevant stakeholders - Step 4-Define a "Code of Ethics" - Step 5-Gather a list of ethical behaviors from participants - Step 6-Determine common themes - Step 7-Draft a Code of Ethics - Step 8-Compare to other codes and modify - Step 9-Compare to other groups - Step 10-Code alignment - Step 11-Code review - Step 12-Code communication strategy - Step 13-Code revision
What are the steps to create a code of ethics?
#5 - Myanmar #4- Sudan #3- Afghanistan #2- North Korea #1- Somalia
What are the top 5 least ethical countries?
#5- Singapore #4- Sweden #3- Finland #2- Denmark #1- New Zealand
What are the top 5 most ethical countries?
- Spinning mule - Cotton gin - Sewing machines
What are the uses of machines instead of hands?
- Water - Steam - Coal
What are the uses of power?
Theory of Moral Sentiments and Wealth of Nations
What books did Adam Smith write?
- Freedom of speech - Freedom of the press - Freedom of religion - Freedom to petition the government - Freedom to keep and bear arms - Freedom from unreasonable search and seizure - No cruel or unusual punishment
What did the Bill of Rights include?
Respect stakeholders beyond shareholders Contribute to Economic, Social, and Environmental Development Respect the Letter and the Spirit of the Law Respect Rules and Conventions Support Responsible Globalization Respect the Environment Avoid Illicit Activities
What do the Caux Principles consist of?
People, Profit, Planet
What does Triple Bottom Line reporting consist of?
Organizational citizenship behavior
work-related helping behaviors that go beyond normal job requirements, such as aiding others with job-related problems
- Morgan - Rockefeller - Vanderbilt - Carnegie - Astor
Who are some wealthy families that created monopolies?
The Equal Employment Opportunity Commission
Who enforces the Title VII of the 1964 Civil Rights Act
George H. W. Bush
Who issued new Federal Sentencing Guidelines?
christopher columbus
Who sailed in 1492 to find the new world and to find gold?
Lyndon B. Johnson
Who signed the Title VII of the 1964 Civil Rights Act
The Caux Round Table
Who spearheaded a collaborative effort to develop the Caux Principles for Responsible Business?
Interstate Commerce Commission in 1886
Set reasonable railway rates
Limited Liability
Shareholders only responsible for the amount they invested and not the corporation's debt
Code of Ethics
- A Code of Ethics briefly describes broad ethical aspirations - It is sometimes referred to as a Values Statement - It contains general principles to guide behavior
Adam Smith
a prominent member of the Scottish enlightenment, applied the concepts "reason" and "liberty" to a wide range of endeavors, including philosophy, politics, economics, and law
executive compensation
Average compensation for a fortune 500 CEO in 2010 was approximately $11.5 million
polygraph
Also known as lie detectors, can be used as a job screen by federal, state, and local government agencies, as well as businesses, engaged in national security issues
Title VII of the 1964 Civil Rights Act
Prohibits businesses from discriminating among job applicants based on the person's race, color, religion, gender, or national origin Was passed in response to rampant inequality for racial minorities and women in the workplace
Americans with Disabilities Act of 1990
Cannot discriminate against an individual with a qualifying condition who can do the essential functions of his/her job with or without a reasonable accommodation
Lilly Ledbetter Fair Pay (2009)
Cannot pay anyone less money based on a protected class
13th Amendment to the U.S. Constitution
Ratified in 1865 Made slavery illegal in all of the United States
Disparate Impact
Disparate impact occurs when members of a protected class rarely make it through all the job -screening filters, suggesting that one of the decision rules could be unintentionally discriminatory
National labor relations act
Required employers to negotiate with duly elected unions
mercantilism
Economic system where foreign trade is government controlled and is paramount to the security of the country
communism
Economic system where property and assets are commonly owned and not privately held. Production of goods and services are determined by a central government.
capitalism
Economic systems where capital assets are privately owned and goods and services are brought to market in order to make a profit
verbal tendencies of lying
Hesitancy in responding, frequent speech disturbances, sighs, higher pitch, longer response before answering
- The Sarbanes-Oxley Act - Many industry associations and professional organizations develop codes as a self-regulating strategy that deflects government regulation - Most non profits have in their bylaws a requirement for a code of ethics/code of conduct
How do having codes meet legal requirements and industry trends?
economic growth generates more jobs and they are free to choose an occupation
How do laborers benefit from capitalism?
- Codes of Ethics clarifies appropriate behaviors and provides employees with clear and consistent moral guidance - It articulates and reinforce a moral consensus - It legitimizes dialogue about ethical issues when challenging situations arise
How does codes convey a particular set of values and obligations?
Researchers report that organizations with Codes of Ethics have higher levels of employee commitment and greater tolerance for diversity
How does having codes positively impact employee behaviors?
6
How many steps does it take for an ethics job screen process?
13
How many steps does it take to create a code of ethics?
- Discuss the organization's Codes of Ethics and Conduct with new employees to establish ethical expectations - New employees play a pivotal role in helping an organization achieve the highest standards for honesty and ethical behaviors
How should a company demonstrate that managers have a strong concern for ethics?
- conduct an annual assessment - get feedback from employees - survey both management and non-management
How should you reinforce the code of ethics and code of conduct?
No
Is a company required to have a code of ethics?
B Corporations
It is a certification process for branding a business as being ethical, sustainable, and socially responsible
Emancipation proclamation
January 1, 1863. Made slavery illegal in all Confederate states
Mental disability tests
Mental health and other medical tests for job candidates can be administered after a bona fide job offer has been made
Disparate Treatment
Occurs when an individual is intentionally discriminated against
Legal ground rules. Gather and use information in a way that does not discriminate against job candidates based on their race, color, religion, gender, national origin, age, or disability
What is the second step in the ethics screen process?
Post-interview tests. Ex: drug tests
What is the sixth step in the ethics screen process?
Behavioral information
What is the third step in the ethics screen process?
It must disclose that it does not have one and say why it does not have one.
What must a company due, according to Sarbanes Oxley, if they do not have a code of ethics?
Freedom and self-interest
What plays central roles in Smith's conception of capitalism?
list of prohibitions (things they should not do). Should say how employees SHOULD act.
What should a code of ethics entail?
Clearly note in the Code of Conduct that the employer's right to monitor email communications on company-owned computers and network systems supersedes employee privacy rights
What should you note about an employee's e-mail in the code of conduct?
If it has a code of ethics.
What will investors look at in a company before they buy stock?
when the object of value unduly influences buying decisions
When does gratuity evolve into a bribe?
Africa. Tobacco Plantations.
Where were slaves imported from in the 1600s and what were they used for?
Code of Conduct
addresses the wide range of legal expectations and ethical risks unique to an organization or profession
labor union
an association of employees that advances its members' interests, such as wages, benefits, work rules, and other conditions of employment, through collective bargaining with an employer
realistic job preview
an honest description of daily work activities that highlights both the exciting and tedious aspects of the job
living wage
refers to the amount of money a full-time employee needs to either afford the basic necessities in life or exceed the poverty threshold
Minimum wage
refers to the lowest wage an employer can legally pay an employee
The Sarbanes-Oxley Act
requires all publicly traded companies to disclose whether they have a Code of Ethics for senior financial officers
currency act
restricted power of colonies to issue money
Sugar Act
tax on Sugar
Ethical hypocrisy
the gap between an organization's formal ethical proclamations and its actual behavior, damages employee morale
