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    The Ethics of Managerial Subjectivity

    Eduardo Ibarra-ColadoStewart R. CleggCarl Rhodes

    Martin Kornberger

    ABSTRACT. This paper examines ethics in organiza-

    tions in relation to the subjectivity of managers. Drawingon the work of Michel Foucault we seek to theorize

    ethics in terms of the meaning of being a manager who is

    an active ethical subject. Such a manager is so in relation

    to the organizational structures and norms that govern the

    conduct of ethics. Our approach locates ethics in the

    relation between individual morality and organizationally

    prescribed principles assumed to guide personal action. In

    this way we see ethics as a practice that is powerfullyintertwined in an individuals freedom to make choices

    about what to do and who to be, and the organizational

    context in which those choices are situated, framed and

    governed.

    KEY WORDS: ethics, Foucault, power, subjectivity

    Eduardo Ibarra-Colado is Head of the Department of Institutional

    Studies at the Autonomous Metropolitan University, Campus

    Cuajimalpa and professor of Management and Organization

    Studies. He obtained his Ph.D in Sociology with Honors at the

    Universidad Nacional Autonomade Mexico. He is a NationalResearcher of theMexican National System of Research-

    ers, and regular member of the Mexican Academy of Sci-

    ences. One of his best recognized books is La universidad en

    Mexico hoy: gubernamentalidad y modernizacion [The

    Mexican University Today: Governmentality and

    Modernization], which won theAutonomous Metropol-

    itan UniversityAnnual Research Competitionfor the best

    research in Social Sciences and Humanities in 2003. He has

    published a large number of contributions in the fields of

    Organization Studies and Higher Education Studies in

    Mexico and Internationally. He is currently working on a re-

    search Project on Corporate Ethics, Corruption andGovernance,paying particular attention to the case of Mexico.

    Stewart R. Clegg completed a first degreeat theUniversity of Aston

    (1971) and a Doctorate at Bradford University (1974).

    Stewart is currently a Professor at the University of Technology,

    Sydney, and Director of ICAN Research (Innovative Col-

    laborations, Alliances and Networks Research), a Key Uni-

    versity Research Centre. He also holds Chairs at Aston

    University, University of Maastricht and Vrije Universiteit,

    Amsterdam. He has published extensively in many journals

    and has contributed a large number of books to the literature,

    including the award-winning Handbook of Organization

    Studies (London: Sage, second edition 2006, co-edited with

    Cynthia Hardy, Walter Nord and Tom Lawrence). His most

    recent book is Managing and Organizations: an intro-

    duction to theory and practice (London: Sage, 2005, with

    Martin Kornberger and Tyrone Pitsis), and he has a number of

    volumes in press at present.

    Carl Rhodes is Associate Professor in the School of Management atthe University of Technology Sydney (UTS). He has

    researched andwritten widely on issuesrelated to ethics, learning

    and culture in organizations. Within this he has explored at

    length research methodologies based on narrative and discourse

    approaches. Current research projects focus on the practice of

    ethics in management, and the relationship between organiza-

    tions in popular culture. Carl is author of Writing Organi-

    zation: (Re)presentation and Control in Narratives at

    Work (Benjamins, 2001), co-author of Reconstructing

    the Lifelong Learner (Routledge, 2003) and co-editor of

    Research and Knowledge at Work (Routledge, 2000).

    His next book Management Ethics-ContemporaryContexts (co-edited with Stewart Clegg) will appear in 2006.

    He has published in journals such as Organization,

    Organization Studies, The Leadership Quarterly, and

    Qualitative Inquiry.

    Martin Kornberger received hisPhD from theUniversity of Vienna

    and the University of Innsbruck. After enjoying two years as

    postdoctoral research fellow he is currently working at the

    University of Technology as Senior Lecturer in the School of

    Management and the School of Design. He is also a lecturer at

    the School of Management at the University of St Andrews,

    Scotland. His current research interests include business ethics as

    practice, strategy, and creative professions such as architecture,

    design, and digital production.

    Journal of Business Ethics (2006) 64: 4555 Springer 2006

    DOI 10.1007/s10551-005-3325-z

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    Introduction

    Being ethical has emerged in the early 21st centuryas one of the major challenges for organizations. In

    addressing this challenge, for researchers and man-

    agers alike, it is important to understand the way that

    ethics are constituted in organizations. There is a

    relationship between the actions of individuals and

    the ethicality of organizations. Sometimes this rela-

    tionship is understood in terms of ethical norms and

    rules (formal and informal) and the way that the

    members of the organization adhere to them. Seen

    this way being an ethical individual means acting in a

    way that is detached from personal privileges, pas-sions, and emotions (du Gay, 2000) and adhering to

    agreed ethical standards that can be managed.

    Such an ethics focuses on how prescriptions (should)

    govern everyday actions (see Beyer and Nino, 1999;

    Jackson, 2000; Stevens, 1994; Warren, 1993). Other

    writers see management that uses ethical rules and

    norms as, perversely, antithetical to the possibility of

    business ethics (Barker, 1993; Sims and Brinkmann,

    2003; Thorne and Saunders, 2002). Instead, ethical

    conduct is seen in such situations to emerge directly

    from the individual (Soares, 2003). Here, being eth-

    ical requires being a person whose individual moralresponsibility leads one to be morally assertive so

    as to mediate corporate priorities (Watson, 2003).

    The individual is responsible for ethical behaviour

    and so organizations should avoid restricting indi-

    viduality through rules and instead create an

    empowering ethics that enable people to realize

    and meet their ethical responsibilities (Kjonstad and

    Willmott, 1995; Styhre, 2001).

    In this paper, we turn to the ethical theorizing of

    Michel Foucault and relate it to a consideration of

    ethics in organizations. Specifically, we use Fou-caults work in order to develop an understanding of

    ethics and management in a way that mediates

    between an understanding of ethics as an individual

    responsibility and ethics as organizationally deter-

    mined. The means through which a manager acts in

    relation to both ethics and organizations are the

    central issue. Thus, in this perspective, the subjectivity

    of managers is located at the centre stage of ethical

    discussion. Subjectivity is a means through which to

    think of individual people not as being distinct or

    self-contained but as necessarily social; however a

    person might consider themself to be an individ-

    ual, such a consideration is always done in relation

    to others (Mansfield, 2000) and to social institutions,

    such as organizations. It is in this sense that we seekto theorize ethics in terms of what it means for a

    manager to be an active ethical subject. Being active

    entails managing subjectivity as an ethical enterprise

    in relation to organizational structures and norms.

    Thus, ethics are not the property of the individual,

    despite the organization, nor something that orga-

    nizations control either formally or informally

    instead they are a complex and mutually constituting

    relationship between the two.

    Foucaults work is valuable because his concern for

    ethics is principally about how people constitutethemselves as moral subjects of their actions (Fou-

    cault 1984d) while, at the same time, being disci-

    plined by institutions into being particular types of

    people (Foucault, 1975). For Foucault ethics is a

    conscious practice of freedom (1984a: 284)

    through which people develop a notion of self that

    can be considered ethical. Such practice, however, is

    not free in the sense that it is done in the absence of

    constraint, but rather in the sense that the ethical self

    emerges in relation to (or even against) those social

    and organizational rules and norms which seek to

    determine or dictate what a person should or shouldnot be. On this basis, our approach seeks to locate

    ethics in the relation between individual morality and

    organizationally prescribed principles assumed to

    guide individual action (Chan and Garrick, 2002;

    Kelemen and Peltonen, 2001). We argue that a

    complex interaction exists between these elements

    an interaction through which individual managers

    must negotiate their own ethical conduct. The paper

    examines the manager as a moral subject in relation to

    subjectivity at work. Such an ethics involves re-

    imagining and re-inventing the different ways inwhich people are self-constituted in relation to the

    institutions and procedures within which they

    operate (OLeary, 2002).

    Foucaults ethics

    In turning to Foucault as a means to understand

    ethics and organizations, it is worth noting the

    intellectual context and lineage in which his work is

    situated. In this sense, Foucaults work can be

    regarded as a response to the traditions of Marxism

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    and phenomenology that dominated French intel-

    lectual life in the immediate post Second World War

    period. In relation to Marxism, this was a response toa teleological conception of history unfolding to a

    predetermined outcome. In terms of phenomenol-

    ogy, it was a response to a notion of truth as existing

    prior to the human subject (Danaher et al., 2000). In

    this context Foucaults work, following the philo-

    sophical lineage of Nietzsche and the methodologi-

    cal/historical legacy of Bloch, (Delacampagne,

    1999), provides a historical critique of the presumed

    objectivity of scientific truth, and examines how

    subjectivity is created through the relations between

    language and power (Mansfield, 2000).Foucault is also part of an intellectual lineage back

    to Kant while he breaks from Kantian transcen-

    dentalism, he retains a privileging of critique in

    relation to knowledge. As he puts it: criticism is no

    longer going to be practiced in the search for formal

    structures with universal value, but rather as a his-

    torical investigation in to the events that have led us

    to constitute ourselves and to recognize ourselves as

    subjects of what we are doing, thinking, saying.

    (Foucault, 1986: 46)1. It is in Foucaults later work

    that this concern with critique and subjectivity

    emerged in relation to the analysis of the self for-mation of an ethical subject (Rabinow, 2000). In

    this context, that Foucaults work can be brought to

    bear on a consideration of business ethics, because he

    provides a way of thinking about the very means

    through which people at work constitute them-

    selves, as subjects, in relation to ethics.

    For Foucault, ethics is centrally about what it

    means to be a person in the world it is understood

    in terms of how we constitute ourselves as moral

    subjects of our own actions (Davidson, 1994: 118).

    As Foucault himself defined it, ethics is:

    a process in which the individual delimits that

    part of himself that will form the object of his

    moral practice, defines his position relative to

    the precept he will follow, and decides on a

    certain mode of being that will serve as his

    moral goal. And this requires him to act upon

    himself, to monitor, test, improve, and trans-

    form himself. There is no specific moral action

    that does not refer to a unified moral conduct;

    no moral conduct that does not call for the

    forming of oneself as an ethical subject; and no

    forming of the ethical subject without modes

    of subjectivation and an ascetics or prac-

    tices of the self that support them (Foucault,1984b: 28)

    Following such a definition, we can see a close

    relationship between ethics and being a person in the

    world. Foucault alerts us to ethics as an active process

    through which people assert particular moral prin-

    ciples and then act to follow them. The important

    distinction that Foucault makes is that moral action

    requires a person to regard themself as a particular

    type of ethical subject whom s/he wishes to

    become and is free to try to become. As Foucault

    explains: For what is ethics, if not the practice of

    freedom, the conscious practice of freedom? ...

    Freedom is the ontological condition of ethics. But

    ethics is the considered form that freedom takes

    when it is informed by reflection (Foucault, 1984a:

    284). Foucaults ethics provides an invitation to a

    practice of freedom that seeks to open possibilities

    for new relations to self and events in the world

    (Bernauer and Mahon, 1994: 154).

    Foucault concern with freedom is not in relation

    to a self-contained individual who can do as s/he

    pleases, but rather a subject whose freedom is bothlocated and constituted in relations of power. It is this

    focus on power that enables a relation to be estab-

    lished between individual morality and organiza-

    tional ethics. Foucaults work has been concerned

    with how particular social discourses (including

    ethical ones) discipline the self into particular modes

    of being. To this end, one of the significant effects of

    Foucaults work has been a consideration of how, in

    late modern times, we can still consider ourselves to

    be free beings in a world that, despite its dominant

    rhetoric, seems on close and lucid inspection so often

    to deny the reality of that freedom (Fillion, 2004:

    115). Reading Foucault this way suggests a need to

    contribute to the creation and construction of

    spaces where we can be free within and against the

    constraints of the particular regimes of truth we

    inhabit (ibid, p. 122). In Foucaults own words,

    these regimes can be understood as the systems of

    ordered procedures for the production, regulation,

    distribution, circulation, and operation of state-

    ments (Foucault, 1980a: 132). Such procedures

    provide the discursive architecture through which

    different ways of understandings the world are

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    sanctioned through statements which include

    ethical positioning. Thus, while persons necessarily

    operate within powerfully determining and institu-tionalized regimes of truth, Foucault concerns him-

    self with the possibilities of freedom, not outside of

    those regimes, but rather in relation to them and in

    relation to their intersections (Dumm, 1996).

    By drawing on Foucault, we suggest that an

    important issue for a consideration of ethics and

    management is how managers constitute themselves

    as the moral subjects of their own actions within

    those regimes of truth in which they find them-

    selves at work (Foucault, 1980a). Management, as a

    practice, has built-in moral technologies (Foucault,1975) that attempt to govern the dispositions making

    up managerial identity (Chan and Garrick, 2002).

    Such a conception does not involve grand claims

    about business ethics or corporate morality, but in-

    stead concerns itself with how a manager defines

    their ethical position in relation to everyday practice

    (Bernauer and Mahon, 1994; Chan and Garrick,

    2002; Keleman and Peltonen, 2001). The moral

    predicament that managers face concerns the way

    that they bring morality to bear on their interaction

    with organizational rules and requirements (ten Bos

    1997). The processes of self formation at work showhow the identity of the manager might be ethically

    constituted. Indeed, one interpretation would have

    Foucault saying that by actively seeking to control

    the ethical behaviour of individual managers, orga-

    nizations unwittingly restrict freedom and hence the

    possibilities for ethics.

    Following Foucault (1984d, see also Davidson,

    1994), the ethics of management emerges through

    four interrelated questions the answers to which

    can be thought of as forming the basis of ethical

    subjectivity.

    Ethical Substance Which aspects of manage-

    rial behaviour are considered to be con-

    cerned with ethical judgement?

    Mode of Subjection In what ways do manag-

    ers establish their relationships to ethical rules

    and obligations?

    Practices of the Self In what practices do

    managers engage in order to consider them-

    selves ethical?

    Aspirations for the Self What are the ethics of

    the idealised managerial that managers aspire to?

    How such questions might relate to a particular

    manager can be expected to vary just as they will

    between organizations. Further, one might expectthat in the name of ethics, organizations will seek to

    answer these questions on behalf of managers. In this

    sense, when ethics is invoked in organizations as an

    attempt to govern the behaviour, comportment, or

    even attitudes of employees, such an invocation is

    less about ethics and more about attempts to deter-

    mine (or at least limit) individual opportunities to

    think and act. Or, to put it differently, individual

    ethical action is undertaken in relation to power as it

    is instantiated in the relations between people. These

    issues of the relationship between organizationalattempts to govern ethics and their effects on indi-

    vidual ethical conduct are central to understanding

    how ethical conduct gets played out. Such rela-

    tionships can best be understood in terms of Fou-

    caults concept of governmentality (Foucault,

    1978; Chan and Garrick, 2002, 1981, 1984a).

    [...] governmentality implies the relationship of

    the self to itself, and I intend this concept of

    governmentality to cover the whole range of

    practices that constitute, define, organize, and

    instrumentalize the strategies that individuals intheir freedom can use in dealing with each

    other. Those who try to control, determine, and

    limit the freedom of others are themselves free

    individuals who have at their disposal certain

    instruments they can use to govern others.

    Thus, the basis for all this is freedom, the rela-

    tionship of the self to itself and the relationship

    to the other. [...] the concept of governmentali-

    ty makes it possible to bring out the freedom of

    the subject and its relationship to others

    which constitutes the very stuff [matiere] of eth-ics (Foucault, 1984a: 300).

    The value of the concept of governmentality lies in

    the possibilities it offers for examining the connec-

    tions between power and ethics, which enable a

    connection between a political component (the

    governing of others, i.e. management) and a sub-

    jective component (the governing of oneself).

    Governmentality concerns the government of the

    self by oneself in its articulation with relations to

    others (Foucault, 1981: 88) it breaks the com-

    promise that is set up in the proposed duality

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    between individual and organizational ethics. This

    concern with governmentality is contrasted with

    that of sovereignty that is the juridical right toexercise legal authority over a particular state or

    territory. With governmentality, the focus shifts

    towards how thought operates within our

    organized way of doing things, our regimes of

    practice, and with its ambitions and effects (Dean,

    1999: 18). Importantly this proposes a mode of

    governing that exceeds formal authority. In terms of

    organizations it also suggests that the ethical conduct

    of people at work is not limited to formal regulatory

    regimes, but is also governed by particular knowl-

    edge structures which seek to define moral characterand conduct in particular ways. Thus, it is through

    governmentality that we can anlyse the politico-

    cultural relations woven by individuals, groups,

    organizations, systems of organizations and institu-

    tions in order to produce these spaces of practices

    and mentalities under certain modes of rationality.

    Self creation

    Freedom, in the context of governmentality, is

    important to the Foucaldian notion of what it meansto be a self in the world. For Foucault, ones relation

    with oneself, and thus to the operations carried out

    in relation to ones body and soul, is a practice of

    conscience and knowledge as secularized practices of

    self-knowledge (Foucault, 1976, 1981, 1982a); in

    other words, the modes through which one acts

    upon oneself to carry out transformations in ones

    behaviour, with the aim of situating oneself and

    achieving ones personal realization. Foucault writes

    of the forms and transformations of morality and

    the moral practices that lead to the arts of existence.These assume the establishment of certain modes of

    conduct through which individuals become partic-

    ular types of people by assuming certain ways of

    life (Foucault, 1984b, 1984c). Foucault refers to

    these processes as the technologies of self that enable

    individuals to produce themselves, govern their own

    behaviour and that of others. It is in this way that

    governmental regimes are not necessarily restrictive,

    but can also enable the emergence of particular types

    of self.

    For Foucault, technologies of self determine ways

    of being, both in the individual sphere as well as at

    the level of work, politics and society (Foucault,

    1982b). Among these ways of being, there are two

    that are especially relevant for understanding thegovernance of conducts in modern times: first, self-

    examination, as an effort at self-acknowledgement

    and the objectification of oneself in relation to

    oneself; second, the confession that, supported by the

    will to know as expressed in the first, assumes the

    obligation of verbalizing to others the truth regard-

    ing oneself (Foucault, 1980b; 1982c). For instance,

    the role of confession in organizations has been

    operated by personnel counseling and group

    dynamics technologies that facilitate the re-fabrica-

    tion of identities. It is by considering such practicesthat Foucault is able to consider the self not as being

    singular and determined but rather as something that

    is actively and creatively produced in a reflexive

    relation to one-self, to others and to society.

    Foucaults notion of the selfs relation to the self

    can be seen in the contemporary spread of consul-

    tation practices, best represented as psy[sci]ences

    (Rose, 1989, 1996) psychology, psychiatry, psy-

    chotherapy and so forth. Foucault argues that the

    development of these disciplines provide practical

    advice to guide oneself, achieve success and find

    happiness. Such texts are certainly a key part ofmanagement theory and practice from its early

    inception as a science of engineering design, oriented

    to the new men of modernity, the disciplined factory

    workers (e.g. Foucault, 1982b, 1984b; Taylor, 1911).

    As Foucault pointed out, these are

    [...] texts written for the purpose of offering rules,

    opinions, and advice on how to behave as one

    should: practical texts, which are themselves

    objects of a practice in that they were designed

    to be read, learned, reflected upon, and tested out,and they were intended to constitute the eventual

    framework of everyday conduct. These texts thus

    served as functional devices that would enable

    individuals to question their own conduct, to

    watch over and give shape to it, and to shape

    themselves as ethical subjects... (Foucault, 1984b:

    1213)

    The selfs relation to itself is one whereby people are

    able to reflexively consider themselves as selves

    that can be modified or even improved. In this sense,

    various forms of self-reflection are geared to enable a

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    person to define both who s/he is and who s/he

    aspires to be. In this sense, the individual is consti-

    tuted as a moral subject on the basis of self-orderingknowledge that permits one to discover oneself as

    responsible for ones own acts, and consequently, as

    a free individual that may shift the limits that define

    ones being, modifying certain behaviours in order

    to constitute oneself in another way. Such a form of

    self-subjection is also assisted by highly diverse

    expert knowledges, especially those centring their

    attention on individual behaviour and interior con-

    duct. Their recommendations assist individuals to

    find themselves, providing rules of conduct with

    which to act as they should. Without the existenceof such knowledge outside of the individual, no

    notion of self would be possible. Conduct is guided

    through a certain moral code that establishes basic

    norms for judging ones vocation and aptitude, and

    for understanding intentions and actions.

    In terms of the notion of subjectivity described

    above, contemporary management practices, such as

    teamwork and empowerment, are illustrative cases

    in point (Styhre, 2001). Teamwork, for example, is

    not commonly considered to be a mechanism of

    power, although, recent theory has suggested the

    contrary (Barker, 1993; Sewell, 1998). As Sewellnotes, teamwork is usually associated with the

    rhetoric of empowerment, trust and enhanced dis-

    cretion and sometimes it is thought of as giving

    away power. There is, indeed, a flood of popular

    management books whose message is cast in terms of

    this normative rhetoric, as analysis by Barley and

    Kunda (1992) demonstrates, texts often espousing

    single-answer solutions for harried managers. These

    include TQM (Total Quality Management), BPR

    (Business Process Reengineering), kaizen, organiza-

    tional learning and lean production. What all ofthese methods have in common, Sewell (1998)

    suggests, is a reversal of the highly individualistic

    approach to the employee that earlier perspectives

    such as scientific management had championed.

    Rather than isolate, observe, and individually mea-

    sure the times taken by individuals for doing stan-

    dardized tasks and discouraging them from

    communicating with others while doing so, the new

    approach encourages communication and sociability.

    In so doing, teamwork does not abolish politics but

    relies on what Barker (1993) terms concertive

    control a horizontal mode of surveillance.

    Following Foucault, this new form of govern-

    mentality constitutes subjectivity in different ways

    (Foucault, 1983; Knights and Vurdubakis, 1994;Townley, 1993, 1994), and frames possible ethics

    differently. According to Sthyre (2001) such man-

    agement techniques represent technologies of the

    self that shape individuals striving to be empowered,

    intelligent and creative employees. Such govern-

    mental techniques do two things: they constitute

    subjectivity and they frame the limits in which ethics

    is discussed and enacted. Thus, while such practices

    are not a form of domination from which workers

    might be liberated, they still enact forms of gov-

    ernmental power that no longer involve a coercivepractice, but a practice of self-formation of the

    subject (Foucault, 1984a/1997: 282). As Sthyre

    (2001) shows, kaizen, for example, triggers a work

    ethic that values creativity, flexibility and coopera-

    tion. Whether individual conduct is ethical or not is

    a question that can only be answered within the

    (discursive) frame developed by empowering man-

    agement techniques. A bureaucratically ethical

    subject (see du Gay, 2000) adhering to rules would

    look unethical in this new context. Thus, it is

    power relations and their embeddedness in man-

    agement techniques (including techniques to resistthem) that first frame possible ethical positions for an

    individual. For a manager operating in such a con-

    text, the possibilities for them to be regarded as (and

    to regard themselves as) ethical are circumscribed by

    the practices and relationships that they find them-

    selves in organizationally even when those prac-

    tices might be resisted or subverted.

    Culture and ethics

    To be a person imbued with subjectivity means

    relating ones self to some form of self-knowledge

    as well as knowledge by and of others. As we have

    illustrated in our discussion so far, a key part of this

    concerns how a person comes to regard themself as

    a subject. Importantly, however, being able to

    think of oneself as a subject is not done indepen-

    dently, but in relation to others who also have a

    self-regard as subjects and who might seek to

    influence ones own subjectivity. In this sense,

    power is extremely important for clarifying the

    ethical relations between different people. Such

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    relations are typically associated with behaviour in

    the workplace, a field of force delimited by the

    rules of calculation and the procedures that governthe behaviour of individuals and delimit their col-

    lective action in such contexts. Power is exercised

    over subjects in order to manage their conduct and

    govern their action within an organized space. But

    its focus is not so much on the individual subjec-

    tivity as on the relation between people and how

    to shape these relations. In other words, ethics not

    only constitutes the subject in relation to itself but

    also through governing possible relations between

    subjects.

    In contemporary times, a key way in whichorganizations have sought to govern relationships

    between members is through culture. Peters and

    Waterman (1982), for example suggested that

    organizations should be governed by a shared, clear

    and compelling normative order that they referred

    to as a strong culture. Such an approach, how-

    ever, is problematic because it does not account for

    the possibility of an active ethical subjectivity, in-

    stead always assuming that individual action is

    (over)determined by the organization. Thus the

    language of corporate culture programmes appears as

    a means of controlling the choices and identitiesopen to employees (Willmott, 1993). At one ex-

    treme, this suggests that everything must be subor-

    dinated to the greater good of the corporate culture

    and that only within its frame can organization

    members find freedom and value. Despite such

    claims of what organizational power might aspire to

    be, in practice, the relationships between people and

    organizations are more complex. Chan (2003), for

    example, stresses the contingent character of power

    relations in which there is no place for determinism

    because history is written daily by the relations,events, and accidents that characterize everyday life

    activities. Thought of in this way, strong culture are

    not easily engineered, and function mainly as an

    argument(the power of saying) to question actions of

    the other, those abnormals who do not accept the

    values of the organization. In practice, culture

    consists of loosely negotiated, tacit ways of making

    sense that are embedded in specific situations in the

    organization rather than an all enveloping structure

    that somehow contains all who are members. Being

    a member doesnt necessarily mean accepting the

    formal rhetoric of an organization; indeed, one can

    imagine few people whose acceptance of organiza-

    tionally sanctioned cultural values is complete and

    unquestioning as empirical case studies of dividedmangers have shown (Knights and Murray, 1994).

    Despite the constraints that organizations might

    place on peoples ethical conduct, these never totally

    determine an individuals personal stance. As Bevir

    (1999) explains, because different people adopt

    different beliefs and perform different actions against

    the background of the same social structure, there

    must be an undecided space in front of these struc-

    tures where individual subjects decide what beliefs to

    hold and what actions to perform for reasons of their

    own (p. 358). Ethics are located within such aspace, we suggest. In this sense we each regulate a

    position within the cultural spaces created for and

    around us. Because culture is overwhelmingly situ-

    ational, it will usually be quite fragmentary, forming

    around certain emergent issues and then dissolving,

    unfolding in process. Ethical judgements are always

    situated, and, as such, rarely accord with either

    formal rules or strong cultures as their surrogate,

    except perhaps in ideological or values inspired

    organizations, such as those with faith-based reli-

    gious values or sectarian political ideologies. Orga-

    nizations present people with boundless opportunities toreinvent themselves ethically (Schwartz, 1999), even if

    the accomplishment is somewhat more difficult. In

    organizations, the power exercised through net-

    works of relations among people is not something

    separate from the ability to fashion oneself as an

    ethical subject.

    Seeing people as active and ethical subjects

    operating through power and governmentality,

    rather than as being at the mercy of organizationally

    dictated ethics, enables a consideration of organiza-

    tional ethics in relation to both individuality andorganizational control. The ability of a person to be

    regarded, and to regard themselves as an ethical

    subject depends on their relationship to others as

    well as the ways in which regimes of governmen-

    tality constitutes these relations in organizations. For

    instance, Taylorism produced subjects who saw

    themselves as possessive individuals vying against

    others regarded the same, competing to maximize

    production bonuses. Thus, ethics is part of both the

    history of subjectivity and the history of govern-

    mentality (Davidson, 1994). On the basis of our

    discussion, we suggest that ethics cannot be con-

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    sidered as being either organizationally driven or

    individually driven; rather, the individual (regarded

    as such) is a result of the governmental conjunctureof self, others, and organizations. As such, ethics are

    not a result of the actions of a self-contained human

    essence that is restrained by organizations. Such a

    view would, itself, be an effect of a specific ethical

    constitution by a particular regime of governmen-

    tality. Instead, the ethical subject is one who seeks

    creative relations in the world (Bernauer and

    Mahon, 1994), especially those that enable them to

    be reflexive about their own and others constitution.

    Concluding comments

    The approach to Foucaults ethics we have discussed

    in this paper has important implications for the study

    of ethics in organizations. Ethics cannot be consid-

    ered only in terms of the organization but must be

    considered in terms of the relationship between

    governmental practices and the way they enable

    people to fashion themselves into being particular

    types of subjects. Further, understanding ethics is

    concerned with the ways that people exercise free-dom in relation to those practices. In this sense,

    business ethics becomes a practice of re-forming

    structures of recognition constitutive of subjectivity

    and uncovering new ways of acting and being ... [by]

    ... engaging with organizational realities of power

    (and possibly of change) (Chan and Garrick, 2002:

    693).

    Ethics are not something controlled by organiza-

    tions through rules, codes of conducts and govern-

    mental practices, because that control will always be

    mediated through at least a modicum of freedom tobe reflexive as one constitutes ones self as a governed

    subject. Conversely, relying solely on a notion of

    absolute or transcendental ethical freedom is no way

    to view ethics because individuality can only ever be

    achieved in relation to others and to the possible

    disciplinary and governmental regimes socially

    enacted. It is in the relationship between the indi-

    vidual and the organization that persons, as they are

    constituted organizationally, become organization-

    ally ethical. Of course, they may bring extra-

    organizational learning to the situation (Bible class,

    Koranic teaching, the Torah, or whatever). This

    situatedness of practice has important implications

    for understanding the ethics of organizational man-

    agement. Indeed, this suggests a research programthat abandons analyses of whether management and

    managers are ethical or unethical, per se, and that

    eschews a theory that uses ethics as a mechanism of

    power that passes judgment on the ethics of others.

    Instead, what can be imagined is a research agenda

    that is concerned with understanding the present,

    and with appreciating how people make sense of

    situations as ethically charged and to which spheres

    of knowledge they make reference to in so doing.

    The issue to be raised, we suggest, is powers

    constitutive effect on ethics. Thus, we argue thatpower be considered as central in any discussion of

    ethics in organizations; not in terms of whether

    powers exercise be judged as ethical or not, but

    rather in terms of how power enables different forms

    of ethics. Thus, power should not be regarded as

    something to which ethics can be analytically ap-

    plied, but rather ethics should be considered as being

    embedded in the power relations that constitute

    organizations. Here ethics is powerful in that it

    influences, and is influenced by, peoples sense of self

    and ethicality. We are not dealing with a meta-

    physical ethics that floats, transcendentally, highabove the mundane world of practice; instead,

    through Foucault, we suggest an approach that res-

    olutely sees ethics as a form of practice enacted by

    managers and embedded in organizations. We pro-

    pose that ethics resides in what people actually do

    when they engage with ethics and how that doing is

    manifested in relationships between self, others and

    organizations. Ethics are a socially constructed real-

    ity, and it is through an analysis of the process of

    construction that we might reveal the practice of

    ethics. By understanding ethics as practice we seek tounderstand how this ethical reality is actually fabri-

    cated.

    By way of conclusion, we suggest that Foucaults

    theorization of ethics vis-a-vis freedom and gov-

    ernmentality has the potential to open up new pos-

    sibilities for theory and research since it makes it

    possible to consider administration as an act of

    government, and organizations as spaces for relations

    between forces in which diverse modes of existence

    and ethical projects confront each other (Clegg et al.,

    2002; Pitsis et al., 2003). Rather than considering

    ethics as being locked in a confrontation between

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    individuals and organizations, it enables a consider-

    ation of ethics in terms of the mutually constitutive

    relationship between the two. Ethical practice, forFoucault, concerns an aesthetics of existence in

    this sense to be an ethical subject requires a practice

    of the self a procedure of self-creation and self-

    transformation. It is this shift of attention away from

    an ethics discourse grounded in maxims and

    practical reason (ethical saying) to an ethics discourse

    premised on human existence as an aesthetic phe-

    nomenon (ethical showing) (Chan and Garrick,

    2002: 695, italics in original) which is important. A

    person exercises critical judgment in relation to those

    beliefs and practices that s/he encounters includingthose beliefs and practices that others might claim as

    moral. As management practices in organizations

    have demonstrated so long, such claims have no

    transcendental basis, however.

    Acknowledgments

    This article is part of a larger research project into

    the nature of business ethics as practice that is part-

    ly funded by the Australia Research Council and

    the Austrian Science Fund FWF. Martin would

    like to thank Stephan Laske, Silke Seemann and

    other colleagues at the University of Innsbruck for

    their input on this project.

    Note

    1 Although not the specific focus of this paper, it is

    worth noting that numerous contemporary European

    thinkers other than Foucault have reflected on Kants

    critical philosophy and developed quite different projects

    as a result (e.g. Arendt, Lyotard and Habermas). Amongst

    these, it is Habermas Kantian notion of critique that ismost antithetical to that of Foucault. While Foucault

    develops a critical ontology of self-formation and self-

    legislation, Habermas takes on the Kantian project of cri-

    tique more wholeheartedly and uses it to develop his

    conception of critical theory (Hutchings, 1995).

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    Eduardo Ibarra-Colado

    Jefe del Departamento de Estudios Institucionales,

    UAM-Cuajimalpa,

    MexicoE-mail: [email protected]

    Stewart R. Clegg

    School of Management,

    University of Technology,

    Sydney,

    Australia

    E-mail: [email protected]

    Carl Rhodes

    School of Management,

    University of Technology,

    Sydney,

    Australia

    E-mail: [email protected]

    Martin Kornberger

    School of Management,

    University of Technology,

    Sydney,Australia

    E-mail: [email protected]

    The Ethics of Managerial Subjectivity 55