Ethics: 13.1

Key Issues

Spiritual commitment in the workplace Growing ethical confusion Strong ethical leadership Josephson’s ethical principles

Ethics: 13.2

CEO of a Fortune 500 Company

“There is going to be a Day of Judgment. If there isn’t a day up there, it’s when you’re lying on your deathbed. And you’re going to say to yourself: ‘Well, what did I achieve in my life?’ It’s not how much money you’ve made, or how big a house you’ve got, or how many cars. It’s what you did for your fellow man. It’s ‘What did I do to make the world better?’ That’s what it’s going to come down to.”

Geoffrey C. Bible,Geoffrey C. Bible,Chairman and CEO of Philip MorrisChairman and CEO of Philip Morris

Ethics: 13.3

The StationRobert J. Hastings

Tucked away in our subconscious minds is an idyllic vision. We see ourselves on a long trip that spans the continent. We're traveling by passenger train, and out the windows we drink in the passing scene of cars on nearby highways, of children waving at a crossing, of cattle grazing on a distant hillside, of smoke pouring from a power plant, of row upon row of corn and wheat, of flatlands and valleys, of mountains and rolling hills, of biting winter and blazing summer and cavorting spring and docile fall.

Source: http://www.storybin.com/wisdom/wisdom104.shtmlSource: http://www.storybin.com/wisdom/wisdom104.shtml

Ethics: 13.4

But uppermost in our minds is the final destination. On a certain day at a certain hour we will pull into the station. There will be bands playing, and flags waving. And once we get there so many wonderful dreams will come true.

So many wishes will be fulfilled and so many pieces of our lives finally will be neatly fitted together like a completed jigsaw puzzle. How restlessly we pace the aisles ... waiting, waiting, waiting, for the station.

Ethics: 13.5

However, sooner or later we must realize there is no one station, no one place to arrive at. The true joy of life is the trip. The station is only a dream. It constantly outdistances us.“When we reach the station, that will be it!”

When I graduate, that will be it! When I get a real job! When I get married! When I have children! When I get that new BMW! When I win that promotion! Then … I shall live happily ever after!

Ethics: 13.6

President Hinckley

Anyone who imagines that bliss is normal is going to waste a lot of time running around shouting that he's been robbed.

The fact is that most [golf] putts don't drop, most beef is tough, most children grow up to be just people, most successful marriages require a high degree of mutual toleration, most jobs are more often dull than otherwise.

Life is like an old time rail journey ... delays, sidetracks, smoke, dust, cinders, and jolts, interspersed only occasionally by beautiful vistas, and thrilling bursts of speed. The trick is to thank the Lord for letting you have a ride.

Quoting Jenkins Lloyd Jones

Ethics: 13.7

Morally Difficult Situations

• Your biggest customer has asked that you, a mfr of fashion goods, “delay” shipment of a new product to competitors for a few weeks.

• You own a small metal plating co. & accidentally dumped some zinc solution into the city sewer system. The amount is small but could cause a few people to become temporarily ill.

• In real life, the "moral dilemma" we most often face is: I know what's right, but it's difficult, costly, unpopular, or inconvenient to do it. Do I have the determination to do it anyway?

Ethics: 13.8

What’s the value at which a gift from a supplier or client becomes troubling?

Is a $50 gift to a boss wrong?

Is a $50 gift from the boss wrong?

From a supplier, is it wrong to take …

- a $100 holiday food basket? - a $25 gift certificate?

Is it wrong to accept a $75 prize won at a raffle at a supplier’s conference?

Source: WSJ, 10/21/99

Wall Street Journal Ethics Quiz:How would you answer? Other people?

Yes No

Ethics: 13.9

Have you had occasion to talk about your religious faith in the workplace in the past 24 hours?

Does modern life leave you too busy to enjoy God or pray as you would like?

Do you feel the need in your life to experience spiritual growth?

Do you believe God exists and have no doubts about it?

Do you have absolute trust in God?

Source: Business Week, Nov 1, 1999, based onMcKinsey’s A Spiritual Audit of Corporate America

You Will Work With Good People!

Ethics: 13.10

Why the Lord has aWhy the Lord has abusiness schoolbusiness school

Firms’ Moral Development

The Amoral The Amoral CorporationCorporation

Pursues winning at any cost; views employees merely as economic units of production.

The Legalistic The Legalistic CorporationCorporation

Concerned with the letter of the law, but not its spirit; adopts codes of conduct that read like products of legal departments which they are.

The Responsive The Responsive CorporationCorporation

Interested in being a responsible corporate citizen because it is expedient; has codes of conduct that look more like codes of ethics.

The Emergent The Emergent Ethical Ethical

CorporationCorporation

Recognizes a social contract between business and society, and seeks to instill that attitude throughout the corporation.

The Ethical The Ethical CorporationCorporation

Balances profits and ethics throughout its culture.

Linda Starke, The New Paradigm in Business -- Emerging Strategies for Leadership and Organizational Change

Ethics: 13.11

Model of Moral Response

Different Life ExperiencesDifferent Life Experiences

The mostThe mostethical pathethical path

Dif

ficu

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of

Mo

ral A

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iffi

cult

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f M

ora

l Act

ion

Magnitude

Magnitude

of our

of our uneth

ical

unethical

lapses

lapses

Our chosen pathOur chosen path

We must Close the Gap … We must Close the Gap … WhyWhy do we cheat? do we cheat?

Ethics: 13.12

The Fraud TriangleWhy We Behave Unethically

FraudTriangleO

ppor

tuni

ty Pressure

Rationalization

Bad NewsGood News

Steve Albrecht, 2005

Ethics: 13.13

Questionable State of Ethics

Did you cheat to get into graduate school? “Yes”

43% Liberal Arts 52% Education 63% Law and Medicine 75% Business

Source: Rutgers University survey of students

Ethics: 13.14

Questionable State of Ethics

Business School Graduates 76% were willing to understate expenses that cut

into their companies’ profits Nearly all believe shareholder value is more

important than customer service Convicts in 11 minimum security prisons had

higher scores on an ethical dilemma exam than MBAs

Steve Albrecht, 2005

Ethics: 13.15

Survey of Employees

65% don’t report ethical problems they observe

96% feared being accused of not being a team player

81% feared corrective action would not be taken anyway

68% feared retribution from their supervisors

Source: Society of Human Resource Management

Ethics: 13.16

Deterioration in Ethical Values

1940: 20%1983: 11%

1940: 20%1969: 34%

1969: 58%2000: 28%

Based on several different ethics studies,2003-2005

75-98%49%

88%68%

98%39%

College students whocheated in high school

Self-reported cheating

Believe cheating is commonUsed cheat sheets

Let others copy workWilling to lie to get job

Then Now

Ethics: 13.17

Why is Dishonesty Increasing?

ModelingModeling

HonestyHonestySteve Albrecht, 2005

PositivePositiveLabelingLabeling

Ethics: 13.18

Why Is Dishonesty Increasing?

Little Good Modeling Makes up our news —

more explicit than ever Focus of TV/movies Dishonest “leaders” Sports, business,

entertainment “heroes” Good models are rare

Little Positive Labeling Home … families spend 10

hours/week less together vs 20 years ago

Vocabulary of school children

Schools Churches

Steve Albrecht, 2005

Ethics: 13.19

Ethical LeadershipHelping Others be Ethical

Ethical CourageWillingness to Pay the Price for Doing the Right Thing

Application of Ethics to Business SituationsFraudulent Practices, Unfairness

You Must Prepare to Teach Ethical Values

Personal Ethical UnderstandingRight/wrong, Fairness, Honesty, Personal Integrity, Respect for Others

Steve Albrecht, 2005

Ethics: 13.20

Importance of Ethical Leadership

SwingGroupCould Go

EitherWay

DishonestEmployeesPolicies Won’t

Help Much

HonestEmployeesWill Alwaysbe Honest

Where do you want to be?Where do you want to be?

Steve Albrecht, 2005

Ethics: 13.21

SwingGroupCould Go

EitherWay

Importance of Ethical Leadership

HonestEmployeesWill Alwaysbe Honest

Strong Ethical LeadershipInduces the middle group to behave as

if they were the honest employees.

Where do you want to be?Where do you want to be?

Steve Albrecht, 2005

DishonestEmployeesPolicies Won’t

Help Much

Ethics: 13.22

SwingGroupCould Go

EitherWay

Importance of Ethical Leadership

DishonestEmployeesPolicies Won’t

Help Much

HonestEmployeesWill Alwaysbe Honest

Where do you want to be?Where do you want to be?

Steve Albrecht, 2005

Weak Ethical LeadershipPermits the middle group to behave as if they were the dishonest employees.

Ethics: 13.23

Ethical Principles

Fairness. Be fair & open-minded, be willing to admit error and to change positions and beliefs; show a commitment to justice, and tolerance for diversity.

Honesty. Be truthful, sincere, forthright, straightforward, frank, candid; do not cheat, steal, deceive, or act deviously.

Integrity. Be principled, honorable, upright, courageous and act on convictions, abide by the spirit as well as the letter.

Fidelity. Be faithful & loyal to family, friends, employers, and country; don’t use or disclose information learned in confidence.

I am only one, but still I am one. I cannot do everything, but I can do something. And, because I cannot do everything, I will not refuse to do what I can. --Edwin Hale

Source: Josephson, “Ethics & Decision Making,” Ethics Easier Said than Done, Winter 1988

Ethics: 13.24

Caring. Be caring, kind and compassionate; share, be giving, serve others; help those in need and avoid harming others.

Respect. Show respect for human dignity, privacy, and the right to self-determination of all people; be courteous, prompt, and decent.

Responsible Citizenship. Obey just laws if a law is unjust, openly protest it; exercise all democratic rights and privileges responsibly by participation, social consciousness and public service.

Accountability. Be accountable, accept responsibility for decisions and the consequences of actions and inactions; set an example for others.

Source: Josephson, “Ethics & Decision Making,” Ethics Easier Said than Done, Winter 1988