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Management Ethics and Social Responsibility

This document discusses the ethical and social context of management. It defines ethics as an individual's personal beliefs about right and wrong. There are three aspects of ethics - ethics apply to individuals, ethical behavior can vary between people, and ethics generally refer to socially accepted norms. Managers have special ethical concerns in three areas - how the organization treats employees, how employees treat the organization, and how the organization treats economic agents. Social responsibility refers to an organization's obligations to protect and enhance the society in which it operates. There are arguments both for and against organizations taking on social responsibilities.

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28 views9 pages

Management Ethics and Social Responsibility

This document discusses the ethical and social context of management. It defines ethics as an individual's personal beliefs about right and wrong. There are three aspects of ethics - ethics apply to individuals, ethical behavior can vary between people, and ethics generally refer to socially accepted norms. Managers have special ethical concerns in three areas - how the organization treats employees, how employees treat the organization, and how the organization treats economic agents. Social responsibility refers to an organization's obligations to protect and enhance the society in which it operates. There are arguments both for and against organizations taking on social responsibilities.

Uploaded by

zonayetgazi
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as RTF, PDF, TXT or read online on Scribd

The ethical and Social context of Management What is ethics?

lIndividuals

personal beliefs regarding what is Right and Wrong or Good and Bad

Three important aspect of Ethics


lEthics

are defined in the context of Individual-- people have ethics, organization do not lEthical behavior may vary from one person to another lUsually ethical behavior refers to the behavior that conforms to generally accepted social norms

Formation of Individual

Ethics
lFamily

Influence lPeer Influence lLife Experience lPersonal Values and Morals lSituational Factors

What is Managerial Ethics?


lStandards

or behavior that guide individual managers in their work

Three areas of special concern for managers


(1) How the Organization treats its employees -Hiring and firing -Wages and working condition -Privacy

Three areas of special concern

for managers
(2) How employees treat the organization -Conflict of interest -Secrecy -Honesty and expense account

Three areas of special concern for managers


(3) How the organization treats economic agents -Customers -Competitors -Stockholders -Suppliers -Dealers -Unions

Read!!
Ethics in an Organizational context Page.108

Social responsibility and Organization


lThe

set of obligations an organization has to protect and enhance the societal context in which it function

Areas of social responsibilities


constituents People and organizations who are directly affected by the behavior of an organization and who have a stake in its performance
lOrganizational

Stakeholders
Examples:

-Customers, -Local community, -Trade associates, -Suppliers, -Investors -Creditors Etc.

Areas of social responsibilities


Environment Land, river, streams, air, trees etc. are the part of the natural environment
lNatural

Areas of social responsibilities


Social Welfare Charities, Donations
lGeneral

Arguments for social responsibility

lOrganizations

create problems like-

-Water pollution -Air pollution -Resources depletion Therefore they should address those problems.

Arguments for social responsibility


lCorporations

are citizens in our

society lBusiness often has the resources necessary to solve the problem lBusiness is a partner in our society along with the Government and the general people

Arguments against social responsibility


lPurpose

of business is to generate profit for the owners

lInvolvement

in social programs gives business too much power lThere is potential for conflict of interest lBusiness lacks the expertise to manage social programs

Organizational Approaches to SR
lSocial

Obstruction lSocial Obligation lSocial Response lSocial Contribution

Government and Social Responsibility


How Government Influence Organization? lDirect Regulation lIndirect Regulation

Government and Social

Responsibility
How Organization influence Government? lPersonal Contact lLobby lFavors

Managing Social Responsibility


Formal Organizational dimension lLegal Compliance lEthical Compliance lPhilanthropic Giving

Managing Social Responsibility


Informal Organizational dimension lOrganizational leadership and culture

lWhistle

Blowing

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