Unit 8
Life-Cycle Analysis (LCA)
A process of analyzing all inputs and outputs, through the entire "cradle-to-grave" life of a product, to determine total environmental impact.
Ethical Issue
Situation, problem, or opportunity in which an individual must choose among several actions that must be evaluated as morally right or wrong.
Philanthropic Responsibilities
Additional behaviors and activities that society finds desirable and that the values of the business support
Sarbanes-Oxley Act
An act passed into law by Congress in 2002 to establish strict accounting and reporting rules in order to make senior managers more accountable and to improve and maintain investor confidence.
Transcendent Education
An education with five higher goals that balance self0interest with responsibility to others.
Egoism
An ethical system defining acceptable behavior as those actions which maximize consequences for the individual.
Utilitarianism
An ethical system stating that the greatest good for the greatest number should be the overriding concern of decision makers.
Monolithic Organization
An organization that has a low degree of structural integration - employing few women, minorities, or other groups that differ from the majority - and thus has a highly homogeneous employee population
Pluralistic Organization
An organization that has a relatively diverse employee population and makes an effort to involve employees from different gender, racial, or cultural backgrounds.
Multicultural Organization
An organization that values cultural diversity and seeks to utilize and encourage it.
Affirmative Action
Special efforts to recruit and hire qualified members of groups that have been discriminated against in the past.
Virtue Ethics
Classification of people based on their level of moral judgment.
Integrity-Based Ethics Programs
Company mechanisms designed to instill in people a personal responsibility for ethical behavior
Compliance-Based Ethics Programs
Company mechanisms typically designed by corporate counsel to prevent, detect, and punish legal violations.
Sexual Harrassment
Conduct of a sexual nature that has negative consequences for employment
Sustainable Growth
Economic growth and development that meet present needs without harming the needs of future generations.
Caux Principles
Ethical principles established by international executives based in Caux, Switzerland, in collaboration with business leaders from Japan, Europe, and the United States
Mentors
Higher-level managers who help ensure that high-potential people are introduced to top management and socialized into the norms and values of the organization.
Ethical Climate
In an organization, the processes by which decision are evaluated and made on the basis of right and wrong.
Ecocentric Management
Its goal is the creation of sustainable economic development and improvement of quality of life worldwide for all organizational stakeholders.
Managing Diversity
Managing a culturally diverse workforce by recognizing the characteristics common to specific groups of employees while dealing with such employees as individuals and supporting, nurturing, and utilizing their differences to the organization's advantage.
Ethical Responsibilities
Meeting other social expectations, not written as law
Corporate Social Responsibility
Obligations toward society assumed by business.
Ethical Leader
One who is both a moral person and a moral manager influencing others to behave ethically
Kohlberg's Model of Cognitive Moral Developement
Perspective that what is moral comes from what a mature person with "good" moral character would deem right.
Relativism
Philosophy that bases ethical behavior on the opinions and behaviors of relevant other people.
Moral Philosophy
Principles, rules, and values people use in deciding what is right or wrong.
Universalism
The ethical system stating that all people should uphold certain values that society needs to function.
Business Ethics
The moral principles and standards that guide behavior in the world of business.
Ethics
The system of rules that governs the ordering of values
Legal Responsibilities
To obey local, state, federal, and relevant international laws.
Economic Responsibilities
To produce goods and services that society wants at a price that perpetuates the business and satisfies its obligations to investors.