ch 3 mgt3201 business ethics

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  • 8/3/2019 Ch 3 Mgt3201 Business Ethics

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    AN OVERVIEW

    This lecture continues with the discussion onnormative theories emphasizing on

    nonconsequentialist theories and several other ethicalapproaches. It elaborates on the application andcriticism of these theories and consequences to moraldecision making.

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    LEARNING OBJECTIVESStudents should be able to

    y elaborate on Kants ethicsy discuss other nonconsequentialist normative theories,

    such as duties, moral rights and prima facie principles

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    NONCONSEQUENTIALIST

    THEORIES(a) KANTS ETHICS

    y Only when we act from duty that our actions have moralworth.

    y Good will will human capacity to act from principle.

    y When we act out of feeling, inclination, or self-interest, ouractions do not have moral worth.

    Example: Act of shopkeeper returning the extra cash.

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    The Categorical Imperative

    yAn act is morally right only if we can willthe principleof our action to become a universal law.

    Example: A law that allowed promise breaking wouldcontradict the very nature of a promise.

    A law that allowed lying would contradict the very

    nature of serious communication.

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    (i) Universal Acceptability

    y The moral rules that we obey are not imposed on us from the outside.

    They are self-imposed and self-recognized, fully internalisedprinciples.

    y To see whether a rule or principle is a moral law ask if the rule wouldbe acceptable to all rational beings acting rationally.

    y The test of the morality of a rule is not whether people in fact accept itbut whether all rational beings thinking rationally would accept itregardless of whether they are the doers or the receivers of the actions.

    (ii) Humanity as an End, Never as Merely a Means

    y Every human being should treat everyone the way they themselveswould want to be treated.

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    Kant in an Organizational Context

    Application for organization:

    (1) Categorical imperative provides firm rules to follow in moraldecision-making, rules that do not depend on circumstances or resultsand do not permit individual exceptions.

    Example: Lying. Exposing uninformed workers to the risk of lungdisease could not be justified to advance medical knowledge.

    (2) Kant introduces a humanistic dimension into business decisions business organizations involve human beings working to providegoods and services

    (3) It stresses the importance of motivation and ofacting onprinciple.

    Sometimes when individuals and organizations believe that an actionpromotes not only their own interests but those of others as well, theyare actually rationalizing doing what is best for themselves and onlyimagining that somehow it will promote happiness in general.

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    Critical Inquiries of Kants Ethics

    (1) What has moral worth?

    y Kants view is too restrictive - emphasize on the sense ofduty.

    Example: A clerk returns RM10.00 extra change to acustomer.

    y If motivated by self-interest, to show that he or she ishonest No moral worth

    y If out of habit or sympathy No moral worth

    y If out of a sense of duty Has moral worth

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    (2) Is the categorical imperative an adequate test of right?

    y Kant said that a moral rule must function without exception.

    y Kant universalization formula can be interpreted flexibly enough tomeet commonsense objections.

    Example: Never steal except starvingStealing is wrong EXCEPT when hungry is all right.

    (3) What does it mean to treat people as means?

    y Individuals considered as ends not as means.

    Example: Prostitution is immoral because, by selling their sexualservices, prostitutes allow themselves to be treated as means.

    Anyone who work for a wage treated as a means

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    (b) PRIMA FACIE PRINCIPLES

    yA prima facie obligation is an obligation that can beoverridden by a more important obligation.

    Example: Keeping of promises is morally important.

    However, under certain circumstances, for example,when a life is at stake it would be morally permissibleto break a promise.

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    y Prima facie obligations could be divided into seven

    basic types:

    Duties of fidelity

    Duties of compensation (for previous wrongful acts)

    Duties of gratitudeDuties of justice

    Duty of beneficence (that is, to make conditions ofothers better)

    Duties of self-improvementDuties not to injure others

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    (c) ASSISTING OTHERS

    y We have a stronger duty not to violate peoples right orinjure them than we do to assist people.

    yAssisting others is good, such as volunteering at theorphanage bring many children happiness but do wehave time for this.

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    (d) MORAL RIGHTS

    y A right is an entitlement to act or have others act in acertain way.Example: If you claim a right to drive, others have aduty to permit you to drive.

    y Moral rights, which are not the results of specialrelationship, are called human rights.

    y Characteristics of human rights:

    (1) Universal

    (2) Equal rights

    (3) Not transferable

    (4) Natural rights

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    Nonconsequentialism in an OrganizationalContext

    (1) Moral decision-making involves the weighing ofdifferent moral factors and considerations.

    (2) Acknowledges that the organization has its own

    legitimate goals to pursue there are limits to thedemands of morality and an organization that fulfilsits morally free to advance whatever ends it has.

    (3) Organization must consider carefully how itsactions will impinge on the rights of individuals notjust the rights of its members, such as stockholdersand employees, but also the rights of others, such asconsumers.

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    Critical Inquiries of Nonconsequentialism

    (1) How well justified are these nonconsequentialistprinciples and moral rights?

    (2) Can nonconsequentials satisfactorily handle

    conflicting rights and principles?

    Example: Medical care and taxes in a welfare state

    Limiting property rights

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    UTILITARIANISM ONCE MORE

    Rule Utilitarianism

    y Maintains that the proper principles of right andwrong are those that would maximize happiness ifsociety adopted them.

    y The adoption of moral principles that guide individualaction.

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    MORAL DECISION MAKING:

    TOWARD A SYNTHESISConcerns common to most ethical systems:

    (a) Obligations

    y Every significant human action personal and professional arises in the context of human relationships.

    y These relationships can be the source of specific duties andrights obligated to respect peoples human rights

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    (b) Ideals

    yAn ideal is some morally important goal, virtue, ornotion of excellence worth striving for.

    y

    Different cultures impart different idealsExample: tolerance, loyalty, fairness

    (c) Effects of actions

    y When reflecting on a possible course of action, oneneeds to take into account its likely results.

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    y Guidelines when handling cases of conflictingobligations, ideals, and effects:

    (1) When two or more moral obligations conflict,choose the stronger one.

    (2)W

    hen two or more ideals conflict, honor the moreimportant one.

    (3) When rival actions will have different results,

    choose the action that produces the greater good.

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    y Discussion Questions

    (1) Discuss briefly Kants Categorical Imperative.

    (2)

    (a) What do you understand about Kants Ethics?

    (b) Discuss the application of Kants for organization and theweaknesses of this theory. Illustrate your answer with examples.

    (3) In determining the rightness of a moral act, one has to considerthe theory of utilitarianism and Kants theory of CategoricalImperative.Discuss these two theories together with thecriticisms.

    (4) Discuss the application of Kants Categorical Imperative in theorganizational context.

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    (5)

    (a) Besides Kants Ethics, the other nonconsequentialist approachesalso have important implications for moral decision-making in

    business and non business organizations.Discuss theseimplications with regard to the respective nonconsequentialists.

    (b) Elaborate on the criticisms of nonconsequentialism approaches.

    (6) A clerical worker in the personnel department learns that hercompany has authorized hirings that violate the firmsantinepotism rules and neglect its affirmative actioncommitments. What should she do about it?

    (a) Discuss the conflicting obligations, ideals and effects the clericalworker should take into considertation when making a soundmoral decision to promote societys well-being.

    (b) How would you argue the conflicting decisions undertake by the

    clerical worker from the viewpoint of prudential reason andmoral reason?