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Organizational Justice, Ethics, and Corporate Social Responsibility

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CHAPTER 2 • ORGANIZATIONAL JUSTICE, ETHICS, AND CORPORATE SOCIAL RESPONSIBILITY 55<br />

ethics<br />

St<strong>and</strong>ards of conduct that guide<br />

people’s decisions <strong>and</strong> behavior<br />

(e.g., not stealing from others).<br />

wrong, good or bad. One of the most important sources of moral values is the religious<br />

background, beliefs, <strong>and</strong> training we receive. Although people’s moral values may differ,<br />

several are widely accepted. For example, most people believe that being charitable to<br />

someone in need is right whereas killing an innocent person is wrong. Based on these<br />

beliefs, people are guided in ways that influence the decisions they make <strong>and</strong> the actions in<br />

which they engage. These st<strong>and</strong>ards are referred to as ethics. Thus, ethics refers to st<strong>and</strong>ards<br />

of conduct that guide people’s decisions <strong>and</strong> behavior (e.g., not stealing from others). 28 For<br />

a summary of the distinction between moral values <strong>and</strong> ethics, see Figure 2.8.<br />

When looking at Figure 2.8 please note the row of rounded boxes at the bottom. These<br />

identify some of the factors affecting moral values, ethics, decisions, <strong>and</strong> behavior. The<br />

ones corresponding to ethics <strong>and</strong> values are described in this section of the chapter.<br />

However, as indicated in the box in the lower right corner, the decisions people make <strong>and</strong><br />

the behavior in which they engage are determined by a wide variety of considerations<br />

beyond ethics. Accordingly, these are discussed elsewhere throughout this book (note the<br />

references to other chapters throughout this book).<br />

Most organizational scientists acknowledge that it is not a company’s place to teach<br />

employees moral values. After all, these come with people as they enter the workplace.<br />

However, it is a company’s responsibility to set clear st<strong>and</strong>ards of behavior <strong>and</strong> to train employees<br />

in recognizing <strong>and</strong> following them. 29 Just as organizations prescribe other kinds of behavior<br />

that are expected in the workplace (e.g., when to arrive <strong>and</strong> leave), so too should they prescribe<br />

appropriate ethical behavior (e.g., how to complete expense reports <strong>and</strong> what precisely is considered<br />

a bribe). Not surprisingly, most top business leaders recognize that clearly prescribing<br />

ethical behavior is a fundamental part of good management. After all, says Kent Druyversteyn,<br />

former vice president of ethics at General Dynamics, “<strong>Ethics</strong> is about conduct.” 30<br />

The Epidemic of Ethical Sc<strong>and</strong>als<br />

Pick up any newspaper today <strong>and</strong> you’re bound to find a story or two about some sort of<br />

ethically questionable act alleged to have occurred in the world of business. Consider just<br />

the following now-classic examples from recent years. 31<br />

Moral Values<br />

<strong>Ethics</strong><br />

Decision<br />

Behavior<br />

(fundamental<br />

beliefs about what<br />

is good or bad,<br />

right or wrong)<br />

Example: It is wrong<br />

to harm<br />

another person<br />

(st<strong>and</strong>ards of<br />

conduct in keeping<br />

with one’s moral<br />

values)<br />

Example: I should<br />

not steal<br />

(plan for behaving in<br />

an ethical fashion)<br />

Example: I decide<br />

not to steal money<br />

from a coworker<br />

even though I<br />

need the money<br />

(action taken<br />

following from<br />

the decision<br />

made)<br />

Example: I do<br />

not steal<br />

• Religious<br />

background,<br />

beliefs,<br />

training<br />

• Level of<br />

cognitive moral<br />

development<br />

• Clearly articulated<br />

ethical st<strong>and</strong>ards<br />

• Training in<br />

recognizing <strong>and</strong><br />

applying ethical<br />

st<strong>and</strong>ards<br />

• <strong>Organizational</strong> <strong>and</strong> group norms (Chapter 8)<br />

• Culture of the organization (Chapter 14)<br />

• Observations of leaders’ behavior (Chapter 13)<br />

• Work attitudes <strong>and</strong> motives (Chapters 6 <strong>and</strong> 7)<br />

• External stressors (Chapter 5)<br />

FIGURE 2.8<br />

Moral Values Versus <strong>Ethics</strong><br />

As summarized here, moral values (which reside within an individual) provide the basis for ethics<br />

(which are st<strong>and</strong>ards of behavior that can be regulated by organizations). Ethical st<strong>and</strong>ards<br />

influence both decisions <strong>and</strong> behavior in the workplace, which also are affected by a host of other<br />

variables identified throughout this book.

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