Business and Ethical Thinking: Business, Society and Responsibility

What are Ethics?

"A moral or ethical statement may assert that some particular action is right or wrong; or that some actions of certain kinds are so; it may offer a distinction between good and bad characters or dispositions; or it may propound some principle from which more detailed judgements of these sorts might be inferred - for example that we ought always aim at the general happiness or try to minimise the total suffering of all sentient beings, or ....... that it is right and proper for everyone to look after himself. All such statements express first order ethical judgements of different degrees of generality."

J L Mackie 1977 pp 9

Moral philosophy inquires into ...."the nature of "Moral laws and rational precepts of Conduct ...(and)....the nature of ....reasonable human action and the method of attaining it"

(Sidgwick 1907, pp 3)


What is the scope and relevance of Ethics to ourselves
and the conduct of business?

It is important to evaluate our thinking/reasoning processes and frameworks when taking action, making assertions and entering into arguments about what is morally proper. We all, from time to time, comment on the proper or wrongful behaviour of others. We make decisions about what we ought or ought not to do. We are our own moral philosophers.

A philosophical approach requires us to reach beyond what is personal intuitive or has the appearance of being common-sense. Often common-sense may be deceiving or not very common so - there is value, as "moral archeologists", in digging deeper. We might then better comprehend:

Consider the following questions (not exhaustive).



Ethical Concepts and Business Ethics

Those in business face some public disquiet and criticism about the ethical standards and behaviours that business people exhibit. This is generally true in political life and (Western) "society". The media, social commentators and politicians constantly revisit questions about what is "ethically or morally wayward, dubious or wrongful" and what we ought to expect from actors in the business and political worlds. In a sense, they have to have something to write and talk about. But is there really a crisis of confidence? Is business practice generally a major cause for concern?

The Business World - Vile or Virtuous

Business people acquire great personal identity and reputation, many of their values/opinions and ways of doing things/behaving from their business circle and operating milieu. Perspectives on "acceptable business behaviour" overlap with the wider political, educational, health and family arenas. Is it the case that, expectations for the ethical behaviour of business people are any different from what we expect of others - notwithstanding that business decisions can affect many more people than those of a single, ordinary individual? The answer is "probably not" - given that "methods of ethics" are constructed in a social realm.

The economic processes and structures of business are varied and more complex, so to comprehend "the problem" we need conceptual frameworks to thoroughly debate what is unethical. Such concepts and frameworks are available from the realm of moral philosophy.


Activity

List key points in your own history which have been influential in shaping your own views on ethical issues - where matters of what is right and wrong, duty and obligation are concerned.


Where do ethical/moral beliefs originate?

We are social creatures. Very few of us can live in total isolation. Much of our individuality is ascribed by and validated by and with others. We need to establish and maintain a basic set of co-operative, reciprocal relationships with friends and associates many of whom in one way or another may be rivals also.

Business by example?

Imagine the employee who works loyally for the firm but sees a senior manager engaged in fraud or some other unlawful action. If employee blows the whistle and exposes the senior manager they may - even as the angel - may lose their job. Creer opportunities may be severely dented. Turning a blind eye is easier. It may be difficult to see anyway that anyone in particular has been substantially hurt from the fraudulent activity.

The argument to confront however is that individuals exercising free will make moral choices. Indeed without free will can the notion of morality exist? Whilst a killer whale attacking and even mauling a seal is not behaving unethically, we generally see due punishment for a serial killer or rapist as necessary.

We may differ about the type of punishment and argue over contributory and mitigating factors - tortured family up-bringing perhaps. If someone was to steal a sheep today or paint a rude slogan about a politician or the police chief or rival deity on the wall - we would regard it (Western liberal reaction) as unethical if such misdemeanour was punished by a lobotomy or amputation of the offending limb?

Yet a good resident of ancient Rome would choose to enjoy a good day out at the circus with captives on the lions' menu. Friends and family label our Roman as a "party-pooper" if he had stayed at home muttering " such barbarity....is unethical".

Today - Monty Python visiting a Spanish bull-fight or bull-baiting in a local town festival - might be disgusted. Few holiday-makers seeking the sun, sangria and the good life would be prepared to boycott Spanish holidays. Furthermore most Spanish people would not agree with the argument that the obsession with frightening, mutilating and killing bulls in a public spectacle - a centuries old local tradition which outsiders do not appreciate - is unethical.


Case Study

The author of this resource (me) is 53 years of age, born in Manchester to a shop keeper in a poor, industrial area of the city. He attended Sunday school at a non-conformist chapel and was a member of the Scouts. He succeeded, to parental delight, in gaining a place at Grammar School and going on to university. Today he is an atheist who, nonetheless, regards himself as guided by learned and useful Christian and humanist values. He has worked in industry as a personnel and industrial relations manager and was considerable affected by the UK's industrial unrest and management-labour struggles in the 1960s and 1970s. In terms of politics, he prefers giving room for individuals taking responsibility and make choices for themselves rather than government intervening unnecessarily to regulate social life. His mother is 95 years old and lives happily in a local authority residential home for the elderly.

Recently I reversed my vehicle into a BMW parked behind me. No one saw or heard the crunch - it was a quiet street on a Sunday.

My vehicle (a minibus with a towing bar projecting from the back which did the (minor) damage - a small dent in the bonnet of the BMW and the front grill and a smashed number plate. The mini-bus was not even scratched.

What would you have done in this situation? Knowing what you know about me - what do you think I did?


Exercise

Write brief notes summarising the position taken up by each side in the "ban hunting and blood-sports debate" in the UK.













How far did the above debate about bull-fighting pre-condition your thinking?






Relativism or Absolutism? The Nature of the Beast

If morality and ethical behaviour is all down to social and cultural influences on individual development and not to essential human biology/chemistry, then, it is difficult to suggest that a concrete, objective, ethical side to "human nature" really exists. The beast is not inherently good or bad yet in our nature to be influenced by (adopt, adapt or reject) the moral values and ways of the communities in which we live. Thus the simplicity of the nurture argument.....

Its not my fault that I blew up the cosmetics factory killing 200 people. It is the fault of society that failed to stop my friends and family filling my head with hostility towards those who insist on carrying out experiments on animals! Anyway its is the rest of society that is wrong and we who are right!

Is it all relative or are there some basic moral rules (draw-the-line absolutes) which all people would subscribe to?

Moral beliefs change over time and differ between different countries, tribes, different political communities and social classes. We would abhor the practice of public executions as entertainment yet a day out at Tyburn in the 18th century was equivalent to todays visit to Disneyland, Paris or Thorpe Park. Even within a social group morally-related beliefs need not be homogeneous. Gays and religious devotees will differ about sex practices, abortion and the right of individual choice. Some would argue that it is a woman's right to choose whether or not to terminate an unwanted pregnancy. Others would argue that abortion involves taking a life. - from the point of conception onwards Relativists would argue that it is all subjective judgement. Who am I to lay down the law for you?

Ethical absolutism.

Subjective feelings about behaviour - matters of opinion and judgement - may never reach the status of universal agreement - yet for those who tend toward an absolute, "you-have-got-to-draw-the-line-somewhere" position, clear-cut values as rules and imperatives which apply to all behaviour are still vital. Many raise from strong views on the "special quality" of being human.

For the absolutist, if a pot pourri of moral beliefs are all that we have and the goal-post can be moved at whim then who is right and who is wrong? How do we demonstrate/prove that A is right and B is wrong? How do we protect our own liberties and the benefits to be gained from an open society? A relativist would be very sceptical of a universal moral rule where there is no fixed moral knowledge but for an absolutist (universalist) certain basics are universal .... "although socially constructed - we are not moral nihilists". Some basic positions must be supported and applied by all people regardless of belief, creed, following etc. Such rules, a realist would say, are a form of truth (knowledge).

What kind of universals can be tabled?

The moral absolute problem is one of the exercise of power over others. One culture or group or individual can impose its moral values (an ideology) on another. History is populated with tyrants or self-righteous, crusading people who avow that "my moral truth is the correct one". Yet is the cultural and ethical interference of Eurocentric moral imperialism with its avowed "democratic" commitments obviously arrogant and wrong? The relativist view would be; stand back; leave people to live their own lives; do not interfere with other peoples' culture and social preferences.


Exercises

  1. From your own position of values, would you "live and let live" or reject this and intervene to prevent what you see as harm being done in each of the following cases.


  2. Evaluate the moral values, absolute and relative, that are evident in Starfleet General Orders.

    What guidance would these fictional regulations offer a multinational corporation in drafting a "Corporate Policy for Ethical Behaviour of Staff"?



Absolutists would "tut" at items listed in Exercise 1 above and suggest that regardless of differences between one group and the next certain basic, core values and rules are always true and should always be applied. A tribe may believe that if babies are sacrificed then everyone will benefit because the rains will come - but the existence of such a locally accepted belief does not necessarily make it valid and exceptable in an open, world system. Similarly just because there is an accepted political or religious belief - this does not mean that the belief is valid in itself. Neither does it mean you or I would give equal value to the views or community practice of another group over our own. Thus equestions must be asked about the assumptions and weaknesses of concepts of equality.

Politics and Competition

Here we enter the realm of politics where there is competition between values and beliefs. These extend to the need to protect our own values and beliefs from intrusion or persecution by others whose own views are not respected and are seen as unacceptable.

Thus an absolutist would argue that some moral beliefs and value positions are categorically true and whereas others are not. Our problem is in defining what is the categorical - the core values and securing their universal acceptance.

Absolutists claim that core values enable societies to exist and prosper yet the Nazis in Germany laid claim to clear, cohesive social rules - but few decried the way in which "democratic" allies interfered with Fascist values. Yet even after evidence of persecution and ethic cleansing in Kosovo, we still face political debate over whether or not it is right to interfere in " sovereign rights" and domestic affairs of a country. At best, where dilemmas of ethical judgement occur, we need to debate the issues and find practical and negotiated solutions to minimise the harms that we feel are being done.


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This resource was written by Chris Jarvis © for the BOLA project.