Module: Introduction to Management Module Code: MAN1006

Tutorial Session 5

Ethics and Corporate Social Responsibility

True or False

1. _______ Ethics, found between the domains of law and free choice, is the code of

moral principles that governs any individual or groups.

2. _______ Free choice lies between the domains of codified law and ethics.

3. _______ An ethical dilemma arises in a situation when each alternative choice or behavior is undesirable because of potentially harmful ethical consequences.

4. _______ Objective dualism is the ethical concept that argues that moral behaviors produce the greatest good for the greatest number of people

5. _______ The ethical concept that acts are moral when they promote the individual's best long term interests, which ultimately leads to the greater good, is known as the moral rights approach.

6. _______ In the individualism approach, the right of free speech must be considered.

7. _______ Individuals, at the preconvention level, are concerned with external rewards and punishments and obey authority to avoid detrimental personal consequences.

8. _______ Social responsibility is management's obligation to make choices and take actions that will contribute to the welfare and interests of society as well as the organization

9. _______ A formal statement of the organization's values regarding moral principles and governing its response to social values is called a code of ethics.

10. _______ A stakeholder is any group outside the organization that has a stake in the organization's performance.

Review Questions

1. Define ethics and explain how the domain of ethics relates to law and free choice.

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2. List the four approaches that are used to describe values for guiding ethical decision making. Briefly describe each. Which is more applicable to the Business sector?

3. Briefly explain the justice approach to ethics and then explain the three types of justice.

4. List and define the stages of moral development. According to your text, which level do most managers fall? Where would you put Jamaican managers?

5. What is social responsibility? Why is it considered a difficult concept to grasp?

6. List and define the criteria of corporate social responsibility. Why do some companies engage in corporate social responsibility?

7. Imagine yourself in a situation in the business industry being encouraged to inflate your clients’ cost for a building project. Do you think your choice would be most affected by your individual moral development or by the cultural values of the company for which you work? Explain.

8. Compare and contrast the utilitarian approach with the moral-rights approach to ethical decision making. In the business industry, which do you believe is best for managers to follow? Why?

9. The utilitarian approach to describing values for guiding ethical decision making is the best approach for businesses as it is more applicable. Discuss.

10. Briefly explain the justice approach to ethics and then explain the three types of justice. Give examples from the Jamaican context.

11. People’s response to ethics is based on their stage of moral development. In your own words, explain these stages. Which level do most managers fall and why? Where would you put Jamaican managers? Why?

12. What is corporate social responsibility? Socially responsible to whom? Why do some companies engage in corporate social responsibility more than others?

Discussion Questions

1. “No one has any moral rights to anything; moreover, whose moral rights?” Respond to

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this statement using the Jamaica business industry.

2. To what extent has the individualism approach to ethical decision-making beeneffective in managing ethics in Jamaican businesses? Give at least two (2) examples.

3. Explain the criteria for evaluating the total corporate social responsibility performanceof a company.

4. How would you go about creating an ethical organization?

5. It is impossible to always be ethical in today’s changing world. Defend this point.

6. What are the potential effects to the Jamaica Business Environment from a globalperspective having been placed (87th) by Transparency International in their 2010Corruption Perception Index (CPI). What was the 2011 placement? Discuss.

7. Dr. Martin Luther King, Jr., said “as long as there is poverty in the world, I cannever be rich……As long as diseases are rampant, I can never be healthy ……..I can never be what I ought to be until you are what you ought to be.” Discuss thisquote with respect to the lecture on ethics. Would this idea be true for Jamaicancompanies, too?

8. Do you believe that it is ethical for companies to compile portfolios of personalinformation about their Web site visitors without informing them? What aboutemployers monitoring their employees’ use of the Web? Discuss.

9. What are some of the potential sociological and economical impacts of unethicalpractices to an organization?

10. What are some of the potential psychological and political impacts of unethicalpractices to an organization?

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