Ethics Morals and Laws

Ethics, Morals, and Laws

Ethics and morals are implemented during our childhood, and as the year's progress we are made aware of laws we can use as guidance in both our personal and business lives.

Ethics is eloquently described by Goodpaster as "a domain of inquiry and discipline, in which matters of right and wrong, good and evil, virtue and vice, are systematically examined." As parents, teachers and mentors of society there exist an obligation to lead the younger generation during their early years so that they begin to form their own moral insight, as these young people will grow and mature someday to be the leaders, managers, CEO's or even governors, of our society.

Implementing strong ethical and moral values is thus an important part of a child development. Children will inevitably face challenges for example; let's examine a simple case where a parent goes to a park with a child. The particular child does not have ball to play with, but the child sees that some other child has a ball-here the child will need to make a decision -Does he take the ball regardless or not? This is a decision that the child may be too young to properly make, and so it is up to the parents to establish certain rules, guidelines and ethical standards that the child will develop over time creating moral values that are embedded in the childs mind -In this case we hope the parent will state that it's wrong to take something that does not belong to you. Unfortunately, some people are not raised with strong ethical standards, have no guidance, prior knowledge or conscious, and it is up to society or corporations to establish these rules through what is known as code of conduct thereby preventing situations that can be problematic for the organization.

Having said this according to Werhane (1994), "...justifying moral beliefs and integrating them into ordinary life, and the processes involved in applying ethical standards to everyday decision-making are incomplete and exasperating since everyday decision making is a process that sometimes challenges those beliefs."

We may not agree with certain laws or standards that various government or organizations have set in some countries such as the laws which make it illegal not to discriminate, and it is up to us to decide what is right and what is wrong based on the morals and ethical standards that have been instilled in us from a young age.

There are categorical sectors of moral reasoning and values for both right vs. right and right vs. wrong as explained below:

Right versus Right

 Morals-Utilizing the Kantian questions this is a form of helping leaders utilize their morals which can be tied to universal laws and aiding them with the task of making the right versus right decision by respecting people equally.

 Values-Being able to reduce issues that may arise at work by establishing a moral based approach to decision making is fundamental or it create a discombobulated environment.

Right versus Wrong

Morals - There are times where moral rules in cases of right vs. wrong can be distorted in such a way that the wrong is justified even though it is the wrong approach, hence corporations should utilize preventative measures to protect not only the organization, but the people as well.

 Values -Morality is rooted deeply with loyalty, commitment, and even sense of shame and responsibility for excellence and achievement.

Not all questions or best practices can be addressed with ethical standards or moral rules, thus laws are implemented to avoid the grey area that is missing leaving no unanswered questions. Laws serve as guidelines into what is an acceptable practice and what is not, as people have distinct difference in moral standards.

In the 1991 article titled "Conflicting Responsibilities" the author stated that "As managers attempt to identify their duties, it is important that they understand their legal obligations and the rationale for them. When managers understand the course of action to be unlawful, the only decision that can be properly made, except in highly unusual and compelling circumstances, is to comply with the law." (Anonymous, 1991) Sarbanes Oxley, rules set by the Securities and Exchange Commission and various other laws that are set as guidelines for every profession and industry.

Personal, Organizational, National, and Global Influences

The question here is how can a balance between shareholder and stakeholders be created to satisfy personal, organizational, national and global influences that are faced on a day to day basis? How can we create value for both shareholders and stakeholders? How can we maintain a level of trust and good ethical conduct across the board?

There are many internal and external factors that affect us at the personal, organizational, national and global level. Many times as a result, difficult decisions are required and being prepared to ask several questions such as those asked by the utilitarian principles or the Kantian approach. Nowadays it is common to hear about creating transparency, open door policy, 360 interviews, initiatives for corporate responsibility, customer relationship building, but are we implementing and utilizing this information or tools accurately? Every stakeholder has his/her own particular needs, influences, and perceptions about how a task should be carried out and without certain guidelines it is difficult to satisfy everyone. As leaders we are ultimately responsible for the well being of all stakeholders involved regardless of whether it is at the national or international level.

Leaders must also ask themselves if they are creating value for the stakeholders involved, and how they go about creating this value- this can be best addressed with the utilitarian approach. This is not to say that we should provide preference to one group and not the other, but to find ways that satisfy all groups as best as possible even if in some cases it takes a longer period. Neglecting issues only makes the situations worst as everyone demands answer to their concerns and when not addressed trust is broken. For instance, when a shareholders asks when will the company be profitable? Perhaps we would like to satisfy shareholders, but it takes time to develop a business that is profitable, and we should not break laws in the process trying to satisfy this group of stakeholders, but address the immediate corporate goals that involves the other stakeholders, as ultimately and with time shareholders will reach the benefits.

In addition to addressing all stakeholder need,s or at least explaining