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Summary
Summary
Collin's Business Ethics: An Organization Systems Approach to Designing Ethical Organizations provides theoretical and practical information to help create organizations of high integrity and superior performance. The text offers ways to design organizations that reinforce ethical behavior and reduce risks. It's organized based on an "Optimal Ethics Systems Model" which includes ethical job candidates, decision making, training, officers and hotlines, leadership, work goals and performance appraisals, environmental management, and community outreach.
Early chapters present types of ethical issues organizations face, history of government regulation, the importance and extent of codes of ethics and conduct, an ethical decision-making framework, and the importance and extent of managing the natural environment and being a good corporate citizen - as well as new ideas and models. In addition, Collins provides a much broader array of best practices in business ethics to immediately implement many of the management techniques.
Table of Contents
Part 1 Background | p. 1 |
Chapter 1 Unethical Behaviors in Organizations and Human Nature | p. 3 |
Daily Occurrence of Ethical Dilemmas | p. 5 |
Unethical Behaviors at Work | p. 6 |
Extent | p. 6 |
Managers as Victims | p. 7 |
Profession and Industry Issues | p. 8 |
Operation Areas | p. 10 |
Costs Associated with Unethical Behaviors | p. 10 |
Legal Costs | p. 11 |
Employee Theft | p. 12 |
Monitoring Costs | p. 13 |
Reputation Costs | p. 13 |
Abusive Treatment Costs | p. 13 |
Recruitment and Turnover Costs | p. 14 |
Competitive Advantages of Ethical Organizations | p. 14 |
Tips and Techniques | p. 16 |
Best Practice in Use | p. 17 |
Let's Build a Building | p. 18 |
Human Nature | p. 18 |
Born with Prior Knowledge of Right and Wrong | p. 19 |
Born Good | p. 19 |
Born with Inherited Sin | p. 19 |
Born Morally Neutral | p. 20 |
Cognitive Development | p. 20 |
Stages of Moral Development | p. 21 |
Lies and Cheating | p. 24 |
Why Do Good People Behave Unethically? | p. 26 |
Unintended Unethical Behaviors | p. 27 |
Choosing Between Competing Values | p. 27 |
Intentional Unethical Behaviors | p. 28 |
Failure to Report Unethical Behaviors | p. 30 |
Summary | p. 31 |
Key Words | p. 31 |
Chapter Questions | p. 31 |
In the Real World: Enron | p. 31 |
Ancillary Materials | p. 32 |
Notes | p. 33 |
Chapter 2 An Historical Perspective on Business Ethics | p. 39 |
Economic Growth and Business Ethics in Precapitalist America | p. 41 |
Christopher Columbus's Arrival | p. 41 |
Roanoke and Jamestown Settlements | p. 42 |
Plymouth Settlement | p. 42 |
Buildup to the Revolutionary War | p. 43 |
Freedom, Rights, and the Ethics of Capitalism | p. 44 |
Adam Smith's Capitalism | p. 45 |
Smith on Labor Issues | p. 46 |
Economic Growth under Capitalism | p. 47 |
The Industrial Revolution | p. 47 |
New Laws: Antitrust, Charters, and Liabilities | p. 48 |
Labor Issues | p. 49 |
Slavery | p. 49 |
Strikes and Labor Unions | p. 50 |
Let's Build a Building | p. 52 |
Wages and Compensation | p. 53 |
Best Practice in Use | p. 56 |
Further Expansion of Stakeholder Rights | p. 57 |
Federal Sentencing Guidelines | p. 58 |
B Corporation | p. 60 |
The Optimal Ethics Systems Model | p. 62 |
Tips and Techniques | p. 63 |
Summary | p. 64 |
Key Words | p. 65 |
Chapter Questions | p. 65 |
In the Real World: Enron | p. 65 |
Ancillary Materials | p. 66 |
Notes | p. 66 |
Part 2 Getting Everyone on Board | p. 71 |
Chapter 3 Hiring Ethical People | p. 73 |
Importance of an Ethics Screen | p. 74 |
The Six-Step Ethics Job Screen Process | p. 75 |
Step 1 Ethics Screen Notice | p. 76 |
Best Practice in Use | p. 76 |
Step 2 Legal Ground Rules | p. 77 |
Title VII of the Civil Rights Act | p. 78 |
Disparate Impacts | p. 78 |
Affi rmative Action | p. 79 |
Other Legal Issues | p. 80 |
Step 3 Behavioral Information | p. 81 |
Resumes | p. 81 |
Reference Checks | p. 82 |
Tips and Techniques | p. 83 |
Background Checks | p. 84 |
Integrity Tests | p. 85 |
Let's Build a Building | p. 86 |
Step 4 Personality Traits and Related Characteristics | p. 87 |
Conscientiousness | p. 88 |
Organizational Citizenship Behavior | p. 89 |
Social Dominance Orientation and Bullying | p. 91 |
Mental Disability Tests | p. 92 |
Step 5 Interview Questions | p. 93 |
Previous Ethical Dilemmas | p. 93 |
Visual Lie Detection | p. 94 |
Realistic Job Previews | p. 94 |
Step 6 Post-Interview Tests | p. 94 |
Drug Testing | p. 95 |
Polygraphs | p. 95 |
Summary | p. 98 |
Key Words | p. 98 |
Chapter Questions | p. 99 |
In the Real World: Enron | p. 99 |
Ancillary Materials | p. 99 |
Notes | p. 100 |
Chapter 4 Codes of Ethics and Codes of Conduct | p. 105 |
Difference between a Code of Ethics and a Code of Conduct | p. 107 |
Purpose and Importance of Codes | p. 107 |
Demonstrate Managerial Concern for Ethics | p. 108 |
Convey a Particular Set of Values and Obligations | p. 109 |
Meet Legal Requirements and Industry Trends | p. 110 |
Positive Impact on Employee Behaviors | p. 111 |
Code of Ethics Content | p. 111 |
International Codes | p. 112 |
Creating a Code of Ethics | p. 115 |
Let's Build a Building | p. 117 |
Connecting Code of Ethics to Strategic Planning | p. 117 |
Code of Conduct Content | p. 120 |
Tips and Techniques | p. 121 |
Code of Conduct Relevancy | p. 121 |
Business Gratuities | p. 122 |
p. 122 | |
Best Practice in Use | p. 123 |
Implementing an Effective Code Communication Strategy | p. 124 |
Annual Code of Ethics Assessment | p. 125 |
Summary | p. 128 |
Key Words | p. 129 |
Chapter Questions | p. 129 |
In the Real World: Enron | p. 129 |
Ancillary Materials | p. 130 |
Notes | p. 131 |
Chapter 5 Ethical Decision Making | p. 135 |
Ethical Behavior Model | p. 136 |
Individual Characteristics (A) | p. 139 |
Ethical Beliefs and Sensitivities (B) | p. 140 |
Ethical Intuitions (C) | p. 140 |
Theory of Planned Behavior (D) | p. 142 |
Issue's Moral Intensity (E) | p. 143 |
Organization Characteristics (F) | p. 144 |
Ethical Intentions (G) | p. 144 |
Rational Ethical Decision Making (H) | p. 145 |
Rotary International's Four-Way Test | p. 146 |
Raytheon's Ethics Quick Test | p. 146 |
Best Practice in Use | p. 147 |
A Systematic Rational Ethical Decision-Making Framework | p. 147 |
The Six Ethical Theories | p. 149 |
Let's Build a Building | p. 150 |
Reaching a Moral Conclusion | p. 158 |
Persuading Others | p. 161 |
Tips and Techniques | p. 162 |
Ten "Ethical Hazard Approaching" Signs | p. 163 |
Summary | p. 164 |
Key Words | p. 164 |
Chapter Questions | p. 164 |
In the Real World: Enron | p. 164 |
Ancillary Materials | p. 165 |
Notes | p. 166 |
Chapter 6 Ethics Training | p. 169 |
Building Trust and an Ethical Culture | p. 170 |
Extent of Ethics Training | p. 171 |
Who to Train | p. 172 |
Web-Based Ethics Training | p. 172 |
The Workshop Facilitator | p. 173 |
Framing the Training Workshop | p. 174 |
Ethics Training Options | p. 175 |
Ethical Culture Assessment | p. 176 |
Code of Conduct Analysis | p. 178 |
Code of Conduct Content | p. 178 |
Applying the Code of Conduct to Specifi c Situations | p. 179 |
Best Practice in Use | p. 179 |
Outcome of Code of Conduct Violations | p. 180 |
Typical Behaviors Experienced | p. 180 |
Let's Build a Building | p. 181 |
Apply the Systematic Rational Ethical Decision-Making Framework | p. 182 |
Tips and Techniques | p. 182 |
Create Business Ethics Scenarios for Discussion | p. 184 |
Fraud and Theft Exploration | p. 185 |
Level of Moral Development Analysis | p. 187 |
Ethics Personality Measures | p. 187 |
Benchmark to an Ideal Employee | p. 189 |
Work as a Calling | p. 192 |
Assessing the Ethics Training Workshops | p. 192 |
Summary | p. 193 |
Key Words | p. 194 |
Chapter Questions | p. 194 |
In the Real World: Enron | p. 194 |
Ancillary Materials | p. 195 |
Notes | p. 196 |
Chapter 7 Respecting Employee Diversity | p. 201 |
Four Dimensions of Diversity | p. 202 |
Permanent Dimension | p. 203 |
Evolving Dimension | p. 204 |
Personality Dimension | p. 204 |
Organizational Dimension | p. 204 |
History of Ethnic and Religious Diversity and Discrimination | p. 205 |
Population Diversity Growth | p. 205 |
Discriminatory Employment Practices | p. 206 |
Illegal (Undocumented) Immigrants | p. 206 |
Self-Categorization | p. 207 |
Workplace Discrimination | p. 207 |
Gender Discrimination Issues | p. 208 |
Race and Ethnicity Discrimination Issues | p. 211 |
Religious Discrimination Issues | p. 212 |
Age Discrimination Issues | p. 212 |
Disability Discrimination Issues | p. 213 |
Sexual Orientation Discrimination Issues | p. 214 |
Harassment | p. 215 |
Dating, Sexual Harassment, and Hostile Work Environment | p. 215 |
Let's Build a Building | p. 216 |
Retaliation for Discrimination Claim | p. 217 |
Competitive Advantages of Diversity Management | p. 217 |
Best Operational Practices for Managing Diversity | p. 218 |
Best Practice in Use | p. 219 |
Implementing a Diversity Initiative | p. 220 |
Diversity Training | p. 221 |
Diversity Discussion Guidelines | p. 222 |
Tips and Techniques | p. 223 |
Diversity Training Exercises | p. 223 |
Who Are You? | p. 224 |
Dominant Group and Subordinate Group Awareness | p. 224 |
The Dominant Group's Status | p. 225 |
Implicit Attitude Test (IAT) | p. 226 |
Experiences Being Prejudged | p. 227 |
Individual Uniqueness and Commonalities | p. 227 |
Sexual Harassment | p. 227 |
Communication Style | p. 228 |
Summary | p. 230 |
Key Words | p. 230 |
Chapter Questions | p. 230 |
Ancillary Materials | p. 230 |
In the Real World: Enron | p. 231 |
Notes | p. 232 |
Part 3 Daily Internal Operations | p. 237 |
Chapter 8 Ethics Reporting Systems | p. 239 |
Employee Silence on Ethical Misconduct | p. 240 |
Extent of Employee Silence | p. 241 |
Reasons for Employee Silence | p. 242 |
Ethically Approachable Managers | p. 245 |
Ethics & Compliance Offi cer | p. 247 |
ECO Duties and Skills | p. 247 |
Tips and Techniques | p. 248 |
Managing an Internal Reporting System | p. 249 |
Ombudsperson | p. 250 |
Best Practice in Use | p. 251 |
Chaplains | p. 251 |
Let's Build a Building | p. 252 |
Assist Lines | p. 252 |
Types of Inquiries | p. 253 |
Effective Assist Lines | p. 253 |
How an Assist Line Works | p. 254 |
Whistle-blowing | p. 255 |
When to Blow the Whistle | p. 255 |
The False Claims Act | p. 256 |
Reporting Tax Fraud | p. 258 |
Whistle-blower Protection Laws | p. 258 |
Sarbanes-Oxley Act of 2002 (SOX) | p. 259 |
Negative Outcomes for Whistle-blowers | p. 260 |
Summary | p. 260 |
Key Words | p. 261 |
Chapter Questions | p. 261 |
In the Real World: Enron | p. 261 |
Ancillary Materials | p. 262 |
Notes | p. 263 |
Chapter 9 Managers as Ethical Leaders and Role Models | p. 267 |
Managers as Ethical Role Models | p. 269 |
Role Modeling | p. 269 |
Stage of Moral Development and Ethical Role Models | p. 270 |
Personal Integrity | p. 271 |
Managerial Power and Leadership Styles | p. 272 |
Exercise of Power | p. 272 |
Authoritarian Leadership Style | p. 272 |
Participatory Leadership Style | p. 273 |
Ethical Leadership | p. 274 |
Ethical Leadership Survey | p. 275 |
Tips and Techniques | p. 276 |
Virtue Ethics Survey | p. 276 |
Servant Leadership | p. 278 |
Best Practice in Use | p. 279 |
Employee Feedback | p. 279 |
A Great Place to Work | p. 280 |
Let's Build a Building | p. 281 |
Organization and Work Goals | p. 282 |
Holistic Organizational Goals | p. 282 |
Stretch Goals | p. 282 |
Goal Setting | p. 283 |
Stress Management | p. 284 |
Employee Performance Appraisals | p. 285 |
Unethical Behaviors | p. 286 |
Living Up to the Code of Ethics Performance Appraisals | p. 287 |
Ideal Employee Attitudes and Behaviors Performance Appraisals | p. 288 |
Collection and Evaluation Issues | p. 289 |
Performance Appraisal Feedback | p. 290 |
Disciplining Work Rule Violations | p. 291 |
Major Infractions | p. 291 |
Minor Infractions | p. 292 |
Forgiveness | p. 293 |
Summary | p. 294 |
Key Words | p. 294 |
Chapter Questions | p. 294 |
In the Real World: Enron | p. 295 |
Ancillary Materials | p. 295 |
Notes | p. 296 |
Chapter 10 Engaging and Empowering Ethical Employees | p. 301 |
Extent of Employee Engagement | p. 303 |
Engaging Employees | p. 304 |
Human Needs | p. 304 |
Job Satisfaction | p. 306 |
Organizational Justice | p. 307 |
Unethical Bullies | p. 308 |
Meaningful Work | p. 309 |
Measuring Employee Engagement | p. 310 |
Employee Empowerment | p. 312 |
Best Practice in Use | p. 312 |
Who to Empower? | p. 312 |
Measuring a Manager's Empowerment Behaviors | p. 314 |
Let's Build a Building | p. 316 |
Empowering Through Teams | p. 316 |
Empowering Effective Teams | p. 316 |
Open Book Management | p. 319 |
Tips and Techniques | p. 320 |
Appreciative Inquiry | p. 320 |
Daily Performance Refl ections | p. 322 |
Empowering Through Group-Based Financial Incentives | p. 322 |
Scanlon-Type Gainsharing Plans | p. 322 |
Profit Sharing | p. 324 |
Stock Option and Stock Purchase Plans | p. 324 |
Employee Stock Option Plans (ESOPs) | p. 325 |
Cooperatives | p. 326 |
Summary | p. 327 |
Key Words | p. 327 |
Chapter Questions | p. 327 |
In the Real World: Enron | p. 327 |
Ancillary Materials | p. 328 |
Notes | p. 329 |
Part 4 Being a Good Citizen | p. 333 |
Chapter 11 Environmental Management | p. 335 |
Environmental Trends and Climate Change | p. 337 |
Environmental Trends | p. 337 |
Climate Change | p. 338 |
Climate Change Impacts | p. 339 |
Environmental Organizations | p. 340 |
Government and Market Responses | p. 341 |
Government Regulation | p. 341 |
International Agreements | p. 342 |
Cap and Trade and Climate Exchanges | p. 343 |
Other Efforts | p. 344 |
Competitive Advantages of Being Eco-Friendly | p. 345 |
Going Green Examples | p. 346 |
Walmart | p. 346 |
Green Business Parks | p. 347 |
Going Green Actions | p. 348 |
Tips and Techniques | p. 349 |
Let's Build a Building | p. 351 |
Managing the Environmental Change Process | p. 352 |
Green Mission Statement | p. 354 |
Green Suppliers | p. 355 |
Best Practice in Use | p. 356 |
Environmental Management System (EMS) | p. 357 |
Environmental Risk Assessment | p. 358 |
The Natural Step (TNS) Framework and Cost Reductions | p. 359 |
Product Packaging and Design | p. 361 |
Green Buildings | p. 361 |
Environmental Performance Indicators and Sustainability Reporting | p. 363 |
Carbon Offsets and Green Philanthropy | p. 364 |
Summary | p. 364 |
Key Words | p. 365 |
Chapter Questions | p. 365 |
In the Real World: Enron | p. 365 |
Ancillary Materials | p. 366 |
Notes | p. 367 |
Chapter 12 Community Outreach and Respect | p. 373 |
Extent of Social Responsibilities | p. 374 |
Work-Life Balance | p. 376 |
Business Case for Community Involvement | p. 377 |
International Corporate Citizenship | p. 379 |
Double Standards Problem | p. 379 |
United Nations Global Compact Principles | p. 380 |
Managing Stakeholders | p. 382 |
Interpenetrating Systems Model | p. 382 |
Multiple Stakeholder Demands | p. 384 |
Stakeholder Dialogues | p. 385 |
Philanthropy and Volunteerism | p. 387 |
Let's Build a Building | p. 388 |
What to Give | p. 388 |
Giving Money | p. 389 |
Giving Products or Services | p. 389 |
Tips and Techniques | p. 390 |
Giving Skills | p. 390 |
Giving Job Opportunities | p. 391 |
Social Entrepreneurship | p. 392 |
To Whom to Give | p. 392 |
Reactive Giving | p. 393 |
Outsource Giving | p. 393 |
Strategic Philanthropy | p. 394 |
Community Involvement Management Process | p. 398 |
Community Involvement as Employee Training | p. 399 |
Best Practice in Use | p. 400 |
Networking | p. 401 |
Community Reputation Assessment | p. 402 |
Social Performance Reporting | p. 403 |
Summary | p. 404 |
Key Words | p. 404 |
Chapter Questions | p. 404 |
In the Real World: Enron | p. 405 |
Ancillary Materials | p. 405 |
Notes | p. 406 |
Index | p. I-1 |