Scribd
Upload
5 views12 pages

Ethical Decision Making in Business

Ethical decision making in business involves considering the interests of all stakeholders affected by the decision. It requires gathering facts, generating multiple solutions, and evaluating alternatives based on both costs and benefits while upholding moral principles. Pressures like competition can tempt managers to prioritize short-term goals over ethics. However, a structured process including clarifying the problem, evaluating options, deciding, implementing, and monitoring outcomes can help managers make ethical choices. Both situational context and individual characteristics influence decision making but following guidelines and considering how decisions affect others can guide ethical behavior.

Uploaded by

abhi7219
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 PPT, PDF, TXT or read online on Scribd
5 views12 pages

Ethical Decision Making in Business

Ethical decision making in business involves considering the interests of all stakeholders affected by the decision. It requires gathering facts, generating multiple solutions, and evaluating alternatives based on both costs and benefits while upholding moral principles. Pressures like competition can tempt managers to prioritize short-term goals over ethics. However, a structured process including clarifying the problem, evaluating options, deciding, implementing, and monitoring outcomes can help managers make ethical choices. Both situational context and individual characteristics influence decision making but following guidelines and considering how decisions affect others can guide ethical behavior.

Uploaded by

abhi7219
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 PPT, PDF, TXT or read online on Scribd

Chapter 8

Making Decision In Business Ethics

What is mean by decision making?

Reaching at conclusion Finding the solution based on facts and figure, So decision making is based on Facts & Figure.

What is mean by Ethical Decision Making?

Maintaining the moral principle and providing benefits to each and every party involved in decision making.

Ethical Decision should be good, practical, and stand moral test.


Ethical Decision Making Steps for manager Study Many solution Check past cases Final solution

Decision Process In competitive pressure


Market adopt the unethical practices in competitive pressure as competition demands cut the head to go ahead. Competitive pressure makes to take decision considering only short term goals so decision making process is limited to collecting the competitor data finding the opportunity or creating it.

Structure Of Ethical Decision Making


Identify the problem Generate the alternate solution Evaluate alternatives using cost- benefit relation Select the solution Implement the solution Impact of SEZ on the farmer and their land.

Guidelines for manager for ethical decision making


Understand Individual code of conduct Understand Industrial code of conduct Collect the facts

Problems in ethical decision making


Globalization Goal Congruence Financial burdens Competitive pressure

Individual Effect on decision making


Individual:- A Person Each person have its own personality based on Moral values Belief Way of thinking Knowledge Ability of handling the pressure Each of above characteristic affect the decision making process

Moral Values:A judgment about right & Wrong Taking bribe Belief:Pray to the god is based on belief of individual Way of thinking:A glass contain half amount of water Positive way of thinking & Negative of thinking Knowledge:A person with experience and without experience Ability of handling the pressure Success or Suicide

Situational Effect on decision making


Organization surrounded by external and internal environment. A situation affect the decision making process Example:Growth of Business Delineation of Business These are two different situation and in each situation we will find different decision making process.

Nokia makes the decision to introduce the mobile phones of lower rate in Indian market Based on season or festival price of product goes up or down ManMohan Sing analyzed the situation in 1991 and take the decision to introduce LPG policy

Model For Ethical Decision Making


1. Clarify 2. Evaluate

3. Decide 4. Implement 5. Monitor and modify

Model For Ethical Decision Making


Clarify. Determine precisely what must be decided. Evaluate. Distinguish solid facts from beliefs, desires, theories, suppositions, unsupported conclusions, opinions, and rationalizations. With regard to each alternative, carefully consider the benefits, burdens and risks to each stakeholder. Decide. Make a judgment about what is not true and what consequences are most likely to occur. Evaluate the viable alternatives according to personal conscience. Implement. Develop a plan of how to implement the decision. Maximize the benefits and minimize the costs and risks Monitor and modify. Monitor the effects of decisions. Be prepared and willing to revise a plan, or take a different course of action.

You might also like