Can a business be said to demonstrate moral virtues, and does being virtuous mean that it is more likely to behave ethically?

Can a business be said to demonstrate moral virtues, and does being virtuous mean that it is more likely to behave ethically?

This essay provides a critical overview of the debate about corporate moral responsibility. Parties to the debate address whether corporations are the kinds of entities that can be blamed when they cause unjustified harm. Proponents of CMR argue that corporations satisfy the conditions for moral agency and so they are fit for blame. Their opponents respond that corporations lack one or more of the capacities necessary for moral agency. I review the arguments on both sides and conclude ultimately that what (...) divides the two is not so much competing conceptions of the corporation as it is disagreement about what moral agency requires. Homing in on the real site of contention will, it is hoped, allow future participants in the debate to focus their efforts more productively. (shrink)

This paper deals with the relationship between legal responsibility and causation. I argue that legal responsibility is not necessarily rooted in causation. The general claim I aim to disprove is that responsibility is descriptive because it is fundamentally rooted in causality, and causality is metaphysically real and founded. My strategy is twofold. First, I show (in §1) that there are significant and independent non- causal form of responsibility that cannot be reduced to causal responsibility; second, in §2, I show that (...) the very notion of causality is— lato sensu—not plainly descriptive. I will suggest that even causation is tied to evaluative elements, contrary to what is assumed by many theorists and practitioners working in normative domains. (shrink)

Moral responsibility for outcomes in corporate settings can be ascribed either to the individual members, the corporation, or both. In the latter case, the relationship between individual and corporate responsibility has been approached as inversely proportional, such that an increase in individual responsibility leads to a corresponding decrease in corporate responsibility and vice versa. In this article, we develop a non-proportionate approach, where, under specific conditions, individual and corporate moral responsibilities interact dynamically, leading to a mutual enhancement of responsibility: the (...) more the corporation is responsible, the more the individuals become responsible and vice versa. We develop this mutually enhancing approach in terms of normative ascriptions of responsibility, while leaving aside empirical implications in terms of mutual awareness of responsibility between individuals and corporations. We explore conceptually the conditions and mechanisms that generate this mutual enhancement and also discuss the implications for research and practice. (shrink)

In recent times there have been scores of corporate failures all over the world due to moral turpitude, lack of good governance, and erosion of values. The need for a change in corporates’ approach towards stakeholder management is greater now than ever before. Though the term ‘stakeholder’ was first used in the West in the 1930s, this concept has been highlighted in the ancient Indian scriptures written centuries ago. These highlight the methodologies the kings used to ensure the welfare of (...) all their stakeholders. The kings of yore, who considered themselves as trustees of their kingdom, can be compared to the top management in corporates of this era. Thus, the concepts highlighted in these ancient scriptures find as much relevance and applicability even in today's times. This article takes a brief look at few of the studies undertaken in this area and also highlights excerpts from the ancient Indian scriptures to prove that the concept of stakeholder management owes its origin to India. (shrink)

The debate concerning corporate moral agency is normally conducted through philosophical arguments in articles which argue from only one point of view. This paper summarises both the arguments for and against corporate moral agency and concludes from this that the arguments in favour have more weight. The paper also addresses the way in which the law in the U.K. and the U.S.A. currently views this issue and shows how it is supportive of the concept of corporate moral agency. The paper (...) concludes by considering the implications of the debate for business ethics in general, and stakeholder theory and virtue ethics in particular. (shrink)

The debate over corporate moral responsibility has become a fixture in business ethics research and teaching. Only rarely, however, does the sizable literature on that question consider whether the debate has important practical implications. This article examines that question from a corporate control perspective. After assuming corporate moral responsibility’s existence for purposes of argument, the article concludes that such responsibility makes a difference in cases where it is present but personal responsibility is absent. Then the article tries to identify the (...) forces that diminish personal responsibility when corporate responsibility exists. The most important such forces, it concludes, spring from the socialization processes people undergo when they enter groups. One example is the well-known phenomenon of groupthink, which can exculpate individuals by rendering them justifiably ignorant of foreseeable risks of harm. (shrink)

This section aims to summarize and conclude Part I in the form of a taxonomy of legitimate and illegitimate corporate moral responsibility attributions. I believe we can categorise four types of corporate moral responsibility attributions two of which are legitimate and two which are illegitimate with regard to our concept of moral agency and our moral intuition of fairness.

In both their external and internal communications, organizations tend to present diversity management approaches and corporate social responsibility initiatives as a kind of morally ‘good’ organizational practice. With regard to the treatment of employees, both concepts largely assume equality to be an indicator of organizational ‘goodness’, e.g. in terms of equal treatment, or affording equal opportunities. Additionally, research on this issue predominantly refers to prescriptive and imperative moralities that address the initiatives themselves, and values them morally. Schopenhauer opposes these moralities (...) by conceptualizing morality as exclusively being based on the incentives of acting instead of the actions themselves. He identifies egoism, compassion, and malice as the sole incentives for every human action, whereby only those actions solely motivated by compassion can be ascribed genuine moral worth. In this context, this article shows that from a Schopenhauerian perspective, CSR and DM initiatives only have a genuine moral worth in so far as the individuals who have initiated or supported their implementation were exclusively motivated by compassion. Stressing the narrative of a business case, if utilized as a façade for true compassion that attaches economic legitimacy to these initiatives, does not necessarily harm their moral worth. The approach and the findings developed in this paper contribute to the discourse on the ethical behavior of organizations, as well as to the discourse on CSR and DM. (shrink)