... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Nowadays, the current global business culture requires the making of critical decisions by employees at every level of a firm’s hierarchy. Since ethical standards are not codified, these business decisions will often involve dilemmas or disagreements that are bound to ethical or moral nature and such decision making is also essential to almost all business activities and functions that a company determines to take on. The focal point of mostly every ethical dilemma that an employee may come across in the course of daily business tasks usually includes choosing an option which will benefit the organisation (or the society) or selecting an option which will be beneficial to the individual only. Inflating expense accounts is considered as one of these difficult decisions that an employee may encounter during their career. Being in this situation, one must evaluate his individual moral development and the cultural values of the organization in order to make the final decision. Because it is impossible to codify ethical standards into practical and meaningful policies, it is necessary to understand the ethical decision making process in order to prevent misconduct. The two important components that affect these processes are individual factors and organisational culture....
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...COVER SHEET Vee, C. and Skitmore, R.M. (2003) Professional ethics in the construction industry. Engineering Construction and Architectural Management 10(2):pp. 117-127. Copyright 2003 Emerald. Accessed from: http://eprints.qut.edu.au/archive/00004119 PROFESSIONAL ETHICS IN THE CONSTRUCTION INDUSTRY Charles Vee and Martin Skitmore School of Construction Management and Property Queensland University of Technology Gardens Point Brisbane Q4001 Australia For Engineering, Construction and Architectural Management Corresponding Author: Professor Martin Skitmore School of Construction Management and Property Queensland University of Technology Gardens Point Brisbane Q4001 Australia 14 June 2002 (version 2) PROFESSIONAL ETHICS IN THE CONSTRUCTION INDUSTRY ABSTRACT The results are provided of a small, but reprersentative, questionnaire survey of typical project managers, architects and building contractors concerning their views and experiences on a range of ethical issues surrounding construction industry activities. Most (90%) subscribed to a professional Code of Ethics and many (45%) had an Ethical Code of Conduct in their employing organisations, with the majority (84%) considering good ethical practice to be an important organisational goal. 93% of the respondents agreed that “Business Ethics” should be driven or governed by “Personal Ethics”, with 84% of respondents stating that a balance of both the requirements of the client and the impact on the public should...
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...Applying Ethics in Business Judy Blair-Jackson Kaplan University Ethics in Business Since the past decade more companies are focusing on incorporating ethical principles in business transactions and decision-making. One of the factors that have caused this shift on ethical focus is the financial crisis in the corporate world. Many reputable companies, CEO’s, CFO’s, and auditors have been implicated for fraudulent business activities. It is hoped that if businesses focus on building an ethical culture in the organization this may act as a deterrent to management and employees engaging in unethical business transactions and decision-making. Schein (1985) posits that the “organization’s culture is a cognitive framework, consisting of attitudes, values, behavioral norms, and expectations shared by organization members” (as cited in Brooks & Dunn, 2012, p. 254). Organizational culture can positively or negatively affect employees’ behavior. Where there is no focus of management on ethical behavior, employees may get the wrong message about the company’s stance on ethical principles. On the other hand where management displays and discusses ethics with employees, this shows a commitment from them that the company’s values ethical principles and behaviors. Management’s commitment and support to ethical standards must be evident through their actions. Brooks & Dunn (2012) stated that “it is vital that organizations create an environment culture where appropriate shared...
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...suppliers. These savings passed onto the consumers has not come without a price! Where some see a discount or a job opportunity, others see an empire that pulls the rug out of existing businesses. For years, Wal-Mart has been accused of a number of criminal actions and questionable ethical practices. Many people, from all walks of life, find themselves discussing (and some even arguing) the topic: “Is Wal-Mart good for America?” Many blame this modern trend of globalism, the outsourcing of manufacturing, the closing of mom & pop stores and independent grocers on Wal-Mart. But the question that must be asked is as follows: Is Wal-Mart really to blame for all the things that they are being accused of? After all, aren’t the consumers fueling Wal-Mart’s position as the number one retailer in the world by their constant search for the lowest possible price? And don’t we have a choice as to where we should shop and isn’t it our responsibility to avoid businesses that we deem are unethical? Is Wal-Mart unethical or are they just misunderstood? Background Wal-Mart has been forced to defend itself against several lawsuits that were filed against them. In the case; Cynthia Haddad vs. Wal-Mart stores, Inc. Wal-Mart was found liable for unequal compensation and wrongful termination of employment based on gender. (This was just one of several lawsuits filed against Wal-Mart for discrimination). On December 23, 2008, Wal-Mart settled 63 wage and hour action lawsuits...
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...ejemplarizar las virtudes que enseñarlas. (It is easier to exemplify values than teach them)“ REFLECCION • Demócrito: Es hermoso evitar que otro cometa injusticia, pero si no, también lo es no ser cómplice de la injusticia. • Felipe González Márquez: Al gobernar aprendí a pasar de la ética de los principios a la ética de las responsabilidades. • Confucio: Paga el bien con el bien , pero el mal con justicia STATEMENT OF ETHICAL PROFESSIONAL PRACTICE STATEMENT OF ETHICAL PROFESSIONAL PRACTICE Trasfondo Historico • INSTITUTO DE CONTADORES GERENCIALES: • FUNDADO HACE 90 AÑOS, (DESDE 1919) • POSEE MAS DE 60,000 MIEMBROS • 1983: EMITEN EL PRIMER CODIGO DE ETICA PARA LOS CONTADORES GERENCIALES EN LOS EEUU • HAN CREADO UN CENTRO ETICO CIBERNETICO STATEMENT OF ETHICAL PROFESSIONAL PRACTICE • CODIGO DE ETICA SE COMPONE DE: • PRINCIPIOS • NORMAS • RESOLUCION DE CONFLICTOS ETICOS STATEMENT OF ETHICAL PROFESSIONAL PRACTICE • CODIGO DE ETICA SE COMPONE DE: • PRINCIPIOS • HONESTIDAD • IMPARCIALIDAD • OBJETIVIDAD • RESPONSABILIDAD STATEMENT OF ETHICAL PROFESSIONAL PRACTICE • CODIGO DE ETICA SE COMPONE DE: • NORMAS • COMPETENCIA • CONFIDENCIALIDAD • INTEGRIDAD •...
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...Managers’ Ethical Evaluations of Earnings Management and Its Consequences* ERIC N. JOHNSON, University of Wyoming GARY M. FLEISCHMAN, University of Wyoming SEAN VALENTINE, University of North Dakota KENTON B. WALKER, University of Wyoming 1. Introduction and motivation The purpose of this study is to investigate, in an experimental setting, how favorable versus unfavorable organizational consequences influence managerial responses to an employee’s earnings management behavior. We focus on the following question: Do the ends of positive organizational consequences justify the means of earnings management? Earnings management is defined as ‘‘the choice by a manager of accounting policies so as to achieve specific objectives’’ (Scott 2003: 369). Earnings management can be fundamentally classified as either accounting related, involving the manipulation of accounting records through aggressive or fraudulent applications of accounting principles, or operating related, involving choices made by management regarding the timing of investment or operating activities, with the result that reported earnings are influenced by these choices (Lev 2003; Cohen, Dey, and Lys 2008; Roychowdhury 2006; Gunny 2010).1 The effect of earnings management on the value of the firm and the related issues of financial-based incentives for managing earnings has been widely examined in the accounting literature (e.g., Healy 1985; Dechow, Sloan, and Sweeney 1995, 1996; Healy and Wahlen 1999; Fields...
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...In this article “Folly of Outrage: Talk Radio's Unethical and Damaging Business Model” some of the focus is about on-air comments or discussion are ruin standard business model and new avenues becoming more acceptable. However nowadays talk radio behavior of becoming immoral and unethical being acceptable by management and ownership. This kind of talk radio is bringing in more listeners, attention, and revenue. In this article, it talks about the outrage of radio and some benefits in the change of moderate day radio. According, (pg.290 paragraph 3) it states “a radio consultant who works with stations around the world, says radio programmers are looking for people with creative expression, but it does not take much work to use profanity or cruel, simplistic ways to talk to people. “What I’m hearing is a lot of lazy radio, like banging on a drum. There is a lot of content without context” (personal communication, June 18, 2013)....
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... a. Levels of Management b. Managerial Performance c. Upside-down Pyramid 2. What is Intellectual Capital? 3. What is Workforce Diversity and what are its components? 4. What is an Organization and how can it be considered an Open System? d. Public Organizations vs. Not-For-Profit Organizations 5. How do Efficiency and Effectiveness impact the productivity of an organization? 6. What are the organizational trends and transitions that are relevant to your study of management? 7. CREST! 8. Who are Stakeholders and why are they important to managers? 9. What is Competitive Advantage, how can it be achieved and why is it important? 10. What is Environmental Uncertainty and why do managers want to avoid this? 11. Organizational Effectiveness – what is this and what are the ways it can be viewed and analyzed? 12. What are the Four Functions of Management? (Hint: POLC) 13. What are the 10 Managerial Roles? 14. What are the 3 Essential Managerial Skills and why are they important? e. How does a manager develop Managerial Competencies? 15. What is Quantitative Analysis and why do managers need to be able to do this? 16. How can an Organization be considered a System? 17. Why do managers need to be well versed in Contingency Thinking? 18. What is Quality Management and how has this affected management practices in general? 19. Knowledge Management and Organizational Learning...
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...as well as ethics, efficiency and the relationships of the business between the company executives and lower level employees. In such a competitive business market, companies place a large amount of pressure to employees to produce. Even as business students, we are wired to succeed, pass, win. We develop the mind frame of “by any means necessary” and that’s where the trouble begins. Once in that mind frame employees, management and even executives are tempted to break the rules, play dirty etc, all in order to not only reach the goals, but the fastest or the best. Companies have focused so much on the result, that the path there has been over looked. We called this “efficiency” if it was done fastest or cheapest. Meeting goals, and being profitable is a clear goal for mostly all businesses, but the question is how we go about doing this. We have all heard the saying “ time is money” and in trying to beat the clock, beat the competitor, beat each other, we occasionally cross the path of the ethical way to go or the fast way to go. To some these less than ethical avenues are often tempting because they either meet a goal fastest or meet the personal goals of the individual rather than those of the company. While the result may have been acquired, this is not considered “efficient’ simply because it was faster,...
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...Ethical Issues in Business: Ackerman vs. Coca Cola Coca Cola was brought under scrutiny and to court by Ackerman, filing in the United States District Court in the Eastern District of New York {Ackerman v. The Coca- Cola Company and Energy Brands Inc. (d/b/a Glaceau), Case No. 09-cv-0395) (Brison, 2012). The suit compiles a class action suit from the states of New York, New Jersey, and California. Thirteen allegations are identified with three dismissed. We will be discussing the issue at hand, what the basis of the suit is and ground rules, ethical issues, how Coca Cola’s leadership conduct affected the company, and the changes needed. The history of Coca Cola dates back to the 1886 when an Atlanta pharmacist named of Dr. John S. Pemberton discovered that by mixing sweet syrup with carbonated water an eccentric taste was produced. In 1886 Coca-Cola started as a five cent drink in a neighborhood pharmacy and today has become a household name for millions. With the increasing push for health, coke, and other carbonated soft-drink manufacturers have experienced a 2.1% volume decline in one year alone. In an effort to prevent decreasing soda sales, Coca-Cola decided to manufacture Vitaminwater. The success of this product was largely because of the marketing power of the organization and the products health claims. For example they listed that this product will provide “optimal functioning of the immune system,” and that Vitaminwater “is specially formulated to provide 50% of...
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...| Money, Attitude, and Unethical Behavior | Business Research Methods | | | December 11, 2013 | This research paper focuses on the relationship between money, attitude, and unethical behavior. Comparing the data found in regards to gender and major according to a study by Dr. Chen and Dr. Tang. | Introduction Many believe that the success of a business is determined by they amount of money they generate on an annual basis. Because of this widespread belief, we often see a lack of morals, values, and ethics incorporated into the business. Many businesses feel as if there is no room for ethics in the business world and that the relationships built should focus solely on the generation of revenue. According to Merriam Webster dictionary, we can define ethics as, “the discipline dealing with what is good and bad and with moral duty and obligation.” Every company has a code of ethics in order to determine the company’s culture and values. It also acts a driving force behind any decisions made by top executives. In market where there are so many profit-based businesses, often times we see the many difficulties in balancing the pursuit of profits while staying true to their code of ethics. The balance of ethical practice and profit maximization causes companies to face difficult decisions and many times businesses choose profit maximization. Business-to-Business and Business-to-Consumer transactions require frequent interaction. In every type of business transaction...
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...ceremonies for thousands of years. The prevalence of this practice suggests a psychological association between bodily purity and moral purity. In three studies, we explored what we call the ‘‘Macbeth effect’’—that is, a threat to one’s moral purity induces the need to cleanse oneself. This effect revealed itself through an increased mental accessibility of cleansingrelated concepts, a greater desire for cleansing products, and a greater likelihood of taking antiseptic wipes. Furthermore, we showed that physical cleansing alleviates the upsetting consequences of unethical behavior and reduces threats to one’s moral self-image. Daily hygiene routines such as washing hands, as simple and benign as they might seem, can deliver a powerful antidote to threatened morality, enabling people to truly wash away their sins. W hen we find ourselves in morally compromising situations, how do we deal with the consequences of unethical behavior, given that most if not all of us desire a moral self-image? This paper investigates a basic coping mechanism that has been used by religions for centuries: washing away one_s sins. Physical cleansing, such as bathing or washing hands, is at the core of many religious rituals. Baptism, for instance, is a water purification ritual practiced by Christians, Mandaeanists, and Sikhs. Christians follow the admonition, BArise and be baptized, and wash away your sins[ (1), with faith that through the symbolic cleansing of their bodies they might also achieve...
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...1.0 Introduction Managers often have to endure intense pressure from their employers with regard to the management of the business. Similarly, more pressure often comes from the surrounding people such as the employees, suppliers, competitors or even the surrounding community. Stakeholder and shareholder theories have been discussed intensely with each being viewed and exhibited as having both its merits and demerits. While some argue that the stakeholder theory is crucial in management, others fiercely content the notion. The supporters of shareholder theory argue that a business’ primary objective is to gain profits. Conversely, the proponents of the stakeholder approach contest that there are other things a business ought to be in consideration of besides profits. This never-ending debate often leaves business executives in a dilemma for the appropriate management style. Thus, this paper compares and contrasts the merits of the two theories in relation to the company executives’ responsibilities. 2.0 Theories at work 2.1 Decision-making in the stakeholders and shareholders theories. A stakeholder approach to management will help a business executive make the right decision quickly. One thing the stakeholder theory advocates is the inclusion of crucial stakeholders such as employees in a decision-making process. By utilizing this method, a business executive is likely to end up making the right decision because varied opinions are allowed. Employees and suppliers are vital...
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...BP Vs. Enron - An ethical Approach There are several different ways that unethical practices can be carried out. I will be highlighting the Enron failure, with the more recent BP Oil Spill, and comparing the practices of each one to one another. The BP oil spill was caused when methane gas rose into the drilling machine of the oil rig, and caused an explosion, which burned the entire platform (Bureau, 2011). Soon after, large patches of oil appeared on the surface of the water, and soon reached nearby beaches. Even though BP publically estimated about 5,000 barrels of oil spilled each day, the actual figure ended up being over 50,000 barrels a day, according to a government investigation. It was later revealed that BP initially arrived at similar numbers as the government, but downplayed them to make it appear that less damage was being caused (Bureau, 2011). It was later revealed that one of the reasons for the explosion in the first place, was due to the contractor who built the oil rig wanting to cut costs. As a result of this, substandard concrete and other materials were used in construction of the rig. Additionally, due to cost cutting, many safety precautions were ignored, or severely reduced. Included in these, was the defect that allowed gas to rise up in the well and ignite, causing the explosion in the first place (Bureau, 2011). One of the main reasons for Enron’s bankruptcy was the use of special purpose entities to keep the debt underreported. They kept profits...
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...clogging the filtration system of the equipment. Burnham instructed Stein, after several attempts to clear the clogging, to remove the filters altogether to ensure the batch completed before the end of the shift. Removal of the filters meant that the maggots that were contaminating the mix would be allowed to flow into the customer’s end product. There are several key management deficiencies that led to the dilemma faced by Stein and the night crew. First, Burnham’s decision making process and the lack of quality standards are indications that the company’s cultural climate is not focused on producing a quality dairy product. Second, the absence of a formal leadership structure allowed a young crew of unsupervised workers to waste company time and resources which resulted in a poor decision to meet the expectation of completing the production run before the end of the shift. Lastly, the organization’s minimal controls on production to limit waste of resources allowed the night shift to misallocate their production time in lieu of horseplay which resulted in a rush to finish the batch before the end of the shift. Ethical Behavior Kuntz et al. (2012) argue in their study that not only age, but other occupational...
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