This study examines the influence of ethics instruction, religiosity, and intelligence on cheating behavior. A sample of 230 upper level, undergraduate business students had the opportunity to increase their chances of winning money in an experimental situation by falsely reporting their task performance. In general, the results indicate that students who attended worship services more frequently were less likely to cheat than those who attended worship services less frequently, but that students who had taken a course in business ethics were (...) no less likely to cheat than students who had not taken such a course. However, the results do indicate that the extent to which taking a business ethics course influenced cheating behavior was moderated by the religiosity and intelligence of the individual student. In particular, while students who were highly religious were unlikely to cheat whether or not they had taken a business ethics course, students who were not highly religious demonstrated less cheating if they had taken a business ethics course. In addition, the extent of cheating among highly intelligent students was significantly reduced if such students had taken a course in business ethics. Likewise, individuals who were highly intelligent displayed significantly less cheating if they were also highly religious. The implications of these findings are discussed. (shrink)

This study examined whether undergraduate students’ perceptions regarding the acceptability of cheating were influenced by the amount of ethics instruction the students had received and/or by their personality. The results, from a sample of 230 upper-level undergraduate students, indicated that simply taking a business ethics course did not have a significant influence on students’ views regarding cheating. On the other hand, Machiavellianism was positively related to perceiving that two forms of cheating were acceptable. Moreover, in testing for moderating relationships, the (...) results indicated that the extent to which taking a business ethics course influenced attitudes varied substantially across individuals. Specifically, taking a course in business ethics did result in students who scored lower on Machiavellianism holding even more negative views regarding certain forms of cheating. In addition, individuals with higher grade point averages (GPAs) who had taken a course in business ethics were also less accepting of certain forms of cheating than individuals with similar GPAs who had not taken the business ethics course. The implications of these findings are discussed. (shrink)

This research examines the relationships between education in business ethics, Reynolds’s (J Appl Psychol 93:1027–1041, 2008) “moral attentiveness” construct, or the extent to which individuals chronically perceive and reflect on morality and moral elements in their experiences, and Singhapakdi et al.’s (J Bus Ethics 15:1131–1140, 1996) measure of perceptions of the role of ethics and social responsibility (PRESOR). Education in business ethics was found to be positively associated with the two identified factors of moral attentiveness, “reflective” and “perceptual” moral attentiveness, (...) and with the PRESOR “stakeholder view” factor. Also, reflective moral attentiveness was found to act as a mediator in the relationship between education in business ethics and the PRESOR stakeholder view factor. Evidence of gender and social desirability bias effects was also found. The implications of these relationships and social cognitive theory for improved understanding of the mechanisms by which a variety of variables have their effects on PRESOR in business are discussed. (shrink)

This research project seeks to discover whether certain characteristics of a moral issue facilitate individuals’ abilities to detect violators of a conditional rule. In business, conditional rules are often framed in terms of a social contract between employer and employee. Of significant concern to business ethicists is the fact that these social contracts are frequently breached. Some researchers in the field of evolutionary psychology argue that there is a biological basis to social contract formation and dissolution in business. However, although (...) it is inescapable that biological forces shaped a fixed neural structure that guides and limits humans’ abilities, we argue that characteristics of the situation in which the person finds himself or herself moderate the activation of these neural circuits in ordinary business social contract situations. Specifically, the moral intensity associated with the social contract conditional rule is likely to influence peoples’ abilities to detect violators of the rule. This study utilizes adapted versions of the Wason selection task and manipulates the issue-contingent moral intensity characteristics of magnitude of consequences, proximity, and social consensus to assess if moral intensity facilitates detection of rule violators. Results from this empirical study indicate no relationship between moral intensity characteristics and issue recognition but do provide insights into the evolutionary psychology approach. (shrink)

Applied Business Ethics is a core module for business undergraduate students in an internationalised university business degree programme from the United Kingdom taught at a Private Higher Education Institution in Singapore. Students, who are working adults undertaking this part-time degree, are assessed purely on the application of theoretical knowledge through essays that show evidence of their ability to apply theory in workplace ethical dilemmas. This pilot study explores the utility of the module in terms of use and exchange value. It (...) was conducted in two phases as an empirical qualitative research. First, an email survey was sent to students, who had already graduated, to gather impressions of the module using open-ended questions. Based on the responses, semi-structured interviews of a purposive sample of four students were carried out to unearth insights on use and exchange value of the module through their stories. The study suggests that a key determinant of use value is workplace utility of the knowledge that has been gained. Over time, consistent derivation of use value translates to exchange value as long-term behaviour changes in the individual create positive workplace outcomes. The study also recognised the powerful influence of organisational culture in determining whether ethical thinking translates into ethical action, which also has a direct bearing on perceptions of use and exchange value. The findings of this study provide an insight to the understanding of the motivations of working adults attending the Applied Business Ethics module on a part-time basis. Having this understanding, it will be possible to further structure the module, in terms of positioning, delivery and assessment, to enable these students to become better managers when dealing with real-world workplace ethical issues. (shrink)

This paper draws from the fields of history, sociology, psychology, moral philosophy, and organizational theory to establish a theoretical connection between a social/organizational influence (ethical work climate) and an individual cognitive element of moral behavior (moral awareness). The research was designed to help to fill a gap in the existing literature by providing empirical evidence of the connection between organizational influences and individual moral awareness and subsequent ethical choices, which has heretofore largely been merely assumed. Results of the study provide (...) evidence that ethical work climate (EWC) is a primary predictor of individual moral awareness, and that the influence of social factors often overrides the effects of individual differences in a work group setting. Implications for future research are provided. (shrink)

In this study, researchers examined the assumption that senior-level undergraduate students from private colleges universities possess higher levels of moral and ethical development than students from public institutions. In addition, the researchers sought to determine (a) if there was a relationship between narcissistic personality traits and the level of moral reasoning, and (b) there was a difference in the level of narcissistic personality tendencies of business students from private vs. public institutions based on demographic and textual variables. A cluster sampling (...) approach was used in the sample selection. The sample was limited to students majoring in general business at seven public and six private universities in North Dakota and Minnesota. A total of 269 subjects participated in the research project: 145 at private institutions and 124 at public institutions. The Defining Issues Test version 2 (DIT-2) and the Narcissistic Personality Inventory (NPI) were used to collect data at seven public and six private institutions. Students from public and private universities scored similarly on the DIT-2. A significant difference between the NPI scores of the private college students and the public college students was found. No significant relationship was found between the NPI score and level of moral reasoning. Business educators should be concerned that an increase in the number of business ethics courses completed did not significantly impact students' moral reasoning or narcissistic traits. (shrink)

This research investigates the efficacy of business ethics intervention, tests a theoretical model that the love of money is directly or indirectly related to propensity to engage in unethical behavior (PUB), and treats college major (business vs. psychology) and gender (male vs. female) as moderators in multi-group analyses. Results suggested that business students who received business ethics intervention significantly changed their conceptions of unethical behavior and reduced their propensity to engage in theft; while psychology students without intervention had no such (...) changes. Therefore, ethics training had some impacts on business students' learning and education (intelligence). For our theoretical model, results of the whole sample (N = 298) revealed that Machiavellianism (measured at Time 1) was a mediator of the relationship between the love of money (measured at Time 1) and unethical behavior (measured at Time 2) (the Love of Money → Machiavellianism → Unethical Behavior). Further, this mediating effect existed for business students (n = 198) but not for psychology students (n = 100), for male students (n = 165) but not for female students (n = 133), and for male business students (n = 128) but not for female business students (n = 70). Moreover, when examined alone, the direct effect (the Love of Money → Unethical Behavior) existed for business students but not for psychology students. We concluded that a short business ethics intervention may have no impact on the issue of virtue (wisdom). (shrink)

This research investigates 266 business students' panel data across 4 time periods and tests a theoretical model involving intrinsic religiosity, the love of money, Machiavellianism, and propensity to engage in unethical behaviors. There was a short ethics intervention between Times 3 and 4. We identified good apples and bad apples using the PUB measure collected at Time 4. From Time 3 to Time 4, good apples became more ethical, whereas bad apples became less ethical after the ethics intervention. Moreover, for (...) the whole sample, intrinsic religiosity deterred unethical intentions not only directly but also indirectly through the absence of Machiavellianism. Before the ethics intervention, intrinsic religiosity curbed unethical intention directly for good apples but indirectly for bad apples. After the intervention, only the indirect effect was significant for bad apples. Intrinsic religiosity offers us hope to open the hearts of the lost sheep and bring them home. Research results were discussed in light of this study's theoretical, empirical, and practical contributions; Judeo-Christian ethics and values; challenging roles of educators and executives in educating Gen-Yers; creating a sea change of the ethical social norm in schools, organizations, and society, or ethical community building, and promoting ethical behavior; and future directions for research. (shrink)

A two stage model was developed and tested to explain how ethical leadership relates to followers’ ethical judgment in an organizational context. Drawing on social learning theory, ethical leadership was hypothesized to promote followers’ self-leadership focused on ethics. It was found that followers’ perceived accountability fully accounts for this relationship. In stage two, the relationship between self-leadership focused on ethics and moral judgment in a dual decision-making system was described and tested. Self-leadership focused on ethics was only related to moral (...) judgment when followers use active judgment as opposed to their intuition. This provides support that a deliberate application of self-leadership focused on ethics leads to higher moral judgment. Theoretical and practical implications as well as future research opportunities are discussed. (shrink)

This paper describes a presentation on ethics for accounting and business students. In 2001 and 2002, major corporate failures such as Enron and Worldcom, combined with questionable accounting practices, made ethics a paramount concern to persons working in business and accounting. While financial statement analysis and regulatory requirements are important technical topics, the issue of ethics provides faculty a unique and very appropriate setting to discuss deeper truths about doing business and living life well. This paper briefly describes the development (...) and assessment of one approach to presenting ethics built around a computerized slide show (PowerPoint). The goal of the presentation is to increase students’ understanding of the essential role of ethics to accounting and business. Following the presentation, students indicated a heightened recognition of the importance of ethics. Educators should do all that they can to encourage students to do the “right” thing, even in difficult circumstances. This encouragement may serve them well in school and later in their careers. (shrink)

This article examines how business students route themselves through the process of cognitive moral development (CMD) to arrive at a more autonomous level of CMD when there is an impetus to do so. In this study, two groups were given Rest’s Defining Issues Test; half the test 1 week and half three weeks later. In between, one group viewed a film of Milgram’s obedience study as a stimulus towards a more autonomous level of CMD. The results of the analysis indicate (...) that viewing the Milgram study produced a positive response regarding subjects’ level of autonomous CMD. However, the response was not uniform across the subject pool. Females showed a greater consistent significant positive response to viewing Milgram while male subjects varied their response contingent upon their functional area of study. While subjects’ functional area of study alone made little difference in the results, when taken in conjunction with gender, significant differences were found between groups. Thus, researchers should take care when investigating differences between subjects’ area of study since gender differences may be present even within an apparently homogenous population-like business students. (shrink)

In recent years, much discussion has taken place regarding the social role of firms and their responsibilities to society. In this context, the role of universities is crucial, as it may shape management students’ attitudes and provide them with the necessary knowledge, skills and critical analysis to make decisions as consumers and future professionals. We emphasise that universities are multi-level learning environments, so there is a need to look beyond formal curricular content and pay more attention to implicit dimensions of (...) the learning process in order to create significant learning. With this in mind, we propose an integrative and holistic approach to guide the integration of ethics, corporate social responsibility and sustainability in management education that aims to improve students’ knowledge and attitudes. In this model, we consider three interdependent levels of analysis–the institutional level, the curricular level and the instrumental level–which together produce a leverage effect on student learning. For each level, we identify the main issues and aspects that need to be considered, based on an extensive literature review in this field. (shrink)

Abstract:To date, our understanding of ethical decision making and behavior in organizations has been concentrated in the area of moral judgment, largely because of the hundreds of studies done involving cognitive moral development. This paper addresses the problem of our relative lack of understanding in other areas of human morality by applying a recently developed construct—moral approbation—to illuminate the link between moral judgment and moral action. This recent work is extended here by exploring the effect that organizations have on ethical (...) behavior in terms of the moral approbation construct. (shrink)

Three ethics program components, a code of ethics, ethics training initiatives and ethics-oriented performance appraisal content, were examined for their relationship to ethical intent using a sample of 525 employees from the Spanish financial services industry. As expected, all three components contributed to the prediction of ethical intent. Importantly, clusters of employees who reported experiencing distinct combinations of the program components were identified and compared for their level of ethical intent. Employees who perceived all three components to be strongly implemented (...) reported significantly higher levels of ethical intent relative to those who viewed the components as either all weakly implemented or not present. Combinations including training initiatives plus one other element had a similar impact to the fully implemented approach. Contrary to expectations, ethics-oriented performance appraisal content did not relate more strongly to ethical intent than codes of ethics. (shrink)

Abstract:Scholars have developed many theories of international strategy and many theories of international ethics. Separating strategy and ethics in this way, though, perpetuates a perception that profit and ethics are mutually exclusive. Accordingly, I offer a framework that links international strategy and international ethics. I suggest that at an abstract level the strategic concepts of integration and responsiveness and the ethical concepts of justice and caring are concerned with the same theoretical quandaries. Therefore, in any situation there are behaviors that (...) are both integrative and just and/or both responsive and caring, and these behaviors are both strategic and ethical. To demonstrate the potential descriptive and prescriptive value of the framework, I descend the ladders of abstraction associated with these concepts and apply the framework to two business situations. (shrink)

In this study, we examine the relationship between appeal to self-perceptions of moral identity, included in the teaching of ethics, and the strengthening of moral judgment among postgraduate business students. As appeal to moral identity emphasizes personal engagement in the appraisal of an ethically charged situation, it addresses critiques of abstract rule application and principle transfer leveled at traditional business ethics teaching. Eighty-one participants completed a series of reflective writing exercises throughout a twelve-week business ethics unit. Based on an instrument (...) completed at the beginning and end of the education process, our results indicate a positive shift in moral judgement intensity. We, therefore, recommend appeal to moral identity as a leverage strategy to be employed in business ethics education in order to strengthen students’ moral judgment. (shrink)

Digital business has marked an era of transformation, but also an unprecedented growth of cyber threats. While digital explosion witnessed by the banking sector since the COVID-19 pandemic has been significant, the level and frequency of cybercrimes have gone up as well. Cybercrime officials attribute it to remote working—people using home computers or laptops with vulnerable online security than office systems; malicious actors relentlessly developing their tactics to find new ways to break into enterprise networks and grasping defence evasion; persons (...) unemployed during the pandemic getting into hacking; cloud and data corruption; digital fatigue causing negligence; etc. This study adopts a case-based approach to explore the importance of business ethics, information sharing and transparency to build an information-driven society by scouting the case of Punjab and Maharashtra Co-operative (PMC) Bank, India. PMC defaulted on payments to its depositors and was placed under Reserve Bank of India’s directions due to financial irregularities and a massive fraud perpetrated by bank officials by orchestrating the bank’s IT systems. The crisis worsened when panic-stricken investors advanced their narrative through fake news peddled via social media channels, resulting in alarm that caused deaths of numerous depositors. It exposed several loopholes in information management in India’s deposit insurance system and steered the policy makers to restructure the same, thus driving the country consistent with its emerging market peers. The study further identifies best practices for aligning employees towards ethical behaviour in a virtual workplace and the pedagogical approaches for information management in the new normal. (shrink)

This paper presents the results of and conclusions from a survey of 2,830 college and university undergraduate business andphilosophy departments regarding their business ethics offerings. The impetus for this survey included seeking a better understandingof the problems for which business ethics courses are the solution. It was proposed that, if we knew what it is that professors teachingbusiness ethics believe they are teaching-not in terms of content or methods, but in terms of what criteria they are using to assessstudents' achievement (...) of the course objectives-we would have a better understanding of what issues business ethics attempts toresolve. The survey focused on ranking six possible assessment criteria drawn from the literature on teaching business ethics.In addition to disclosing the specific survey results, the paper draws conclusions based on the fact that there are statistically significantdifferences between the rankings assigned to the six assessment criteria by business professors as contrasted with philosophyprofessors. The results of the survey indicate that there is more uniformity expressed in the responses by the philosophy professorsteaching business ethics than by the business professors. (shrink)

The research described here contributes to the extant empirical research on business ethics education by examining outcomes drawn from the literature on positive organizational scholarship (POS). The general research question explored is whether a course on ethical decision-making in business could positively influence students’ confidence in their abilities to handle ethical problems at work (i.e., moral efficacy), boost the relative importance of ethics in their work lives (i.e., moral meaningfulness), and encourage them to be more courageous in raising ethical problems (...) at work even if it is unpopular (i.e., moral courage). Specifically, the study used a rigorous quasi-experimental pretest–posttest research design with a treatment (N = 30) and control group (N = 30) to investigate whether a graduate-level course in business ethics could influence students’ levels of moral efficacy, meaningfulness, and courage. Findings revealed that participants in the business ethics treatment course experienced significant positive increases in each of the three outcome variables as compared to the control group. The largest increase was in moral efficacy, followed by moral courage, and finally, moral meaningfulness. These findings are discussed in the context of the current research on business ethics education and POS. Implications for future research are discussed. (shrink)

We examine the impact of an ethics education program on reporting behavior using two groups of students: fourth year Masters of Accounting students who just completed a newly instituted ethics education program, and fifth year students in the same program who did not receive the ethics program. In an experiment providing both the opportunity and motivation to misreport for more money, we design two social condition treatments – anonymity and public disclosure – to examine whether or to what extent ethical (...) values are internalized by students. We find that when participants are anonymous, misreporting rates are nearly the same regardless of ethics program participation. However, when their reporting behavior is made public to the cohort, participants who completed the ethics program misreported at significantly lower rates than those who did not receive the ethics program. The results suggest that ethics education does not necessarily result in internalized ethical values, but it can impact ethical behavior. (shrink)

Ethics education matters! Contrary to some common beliefs that ethical behavior is inborn, this study suggests that education does matter. This paper examines ethics education and its relationship with students’ ethical awareness and moral reasoning. Attitudes Towards Business Ethics Questionnaire and 10 vignettes were deployed as the major measurement instruments. It is hypothesized that students with ethics education will have both a greater ethical awareness and ability to make more ethical decisions. Hypotheses were tested in two undergraduate business courses at (...) a major research university where 707 students were sampled. Results suggest that ethics education improved students’ ethical awareness and moral reasoning. Interestingly, results also seem to show that students’ readiness moderated their learning outcomes. (shrink)

This paper develops and explores a pedagogical innovation for integrating virtue theory into business students' basicunderstanding of general management. Eighty-seven students, in 20 groups, classified three managers' real-time videotaped activitiesaccording to an elaboration of Aristotle's cardinal virtues, Fayol's management functions, and Mintzberg's managerial roles. The study's empirical evidence suggests that, akin to Fayol's functions and Mintzberg's roles, Aristotle's virtues are also amenable to operationalization, reliable observation, and meaningful description of managerial behavior. The study provides an oft-called-for empirical basis for further (...) work in virtue theory as an appropriate conceptual framework for the study and practice of management. The results indicate that virtue theory may be used to re-conceive our fundamental understanding of management, alongside its capacity to weigh moral judgment upon it. implications and suggestions for future research are discussed. (shrink)

Abstract:To date, our understanding of ethical decision making and behavior in organizations has been concentrated in the area of moral judgment, largely because of the hundreds of studies done involving cognitive moral development. This paper addresses the problem of our relative lack of understanding in other areas of human morality by applying a recently developed construct—moral approbation—to illuminate the link between moral judgment and moral action. This recent work is extended here by exploring the effect that organizations have on ethical (...) behavior in terms of the moral approbation construct. (shrink)

There are questions about how ethics is best taught to undergraduate business students. There has been a proliferation in the number of stand-alone ethics courses for undergraduate students but research on the effectiveness of integrated versus stand-alone mode of delivery is inconclusive. Christensen et al. :347–368, 2007), in a comprehensive review of ethics, corporate social responsibility and sustainability education, investigated how ethics education has changed over the last 20 years, including the issue of integration of these topics into the core (...) course offerings. We use Brenner and Molander’s :57–71, 1977) situational ethics survey instrument to examine the effect of the mode of delivery of business ethics education on undergraduate student responses. We found a significant difference on mode of delivery. Studies have also found interesting results in respect of the effect of cultural differences and gender on the effectiveness of business ethics instruction. While not the primary focus of this study, we also looked at the influence of gender and culture on students’ responses. Our results indicate significant differences in respect of mode of delivery and culture. In contrast to other studies, we found that gender was not significant. We did test for any interactive effects of gender, culture and mode of delivery. However, no significant differences were found. (shrink)

This article evaluates effectiveness and costs of external regulation, in particular the Sarbanes-Oxley Act of 2002 (SOX) in restricting managerial malfeasance and safeguarding shareholder interests. It discusses the role of managerial ethics as an alternative corporate governance mechanism to protect shareholder value. This article builds a mathematical model to illustrate shareholders' choices of best corporate governance mechanisms, taking into account the influence of managerial ethics, effectiveness and costs of monitoring. We suggest that the best corporate governance design and the optimal (...) monitoring expenses are influenced by managerial types, monitoring efficiency, and effectiveness of ethics education. We conclude that stringent regulation and monitoring may not always enhance shareholder value. When managerial ethics could be improved by ethics education or social norms, ethics education may be a better alternative than stringent regulation. (shrink)

This paper examines whether appealing to learners’ moral identity makes a significant contribution to improving their ethical decision making beyond traditional, rule-based teaching. In response to criticisms leveled at rule-based ethics teaching by alternative approaches, we identify moral identity theory and experiments in moral psychology as useful sources to draw on for the creation of a new, identity-based ethics teaching approach. We develop and apply a set of regular self-reflection focused writing tasks added to the traditional teaching program over a (...) one-semester period, and assess the outcomes of an overall sample of 149 postgraduate business school students, who were randomly assigned to one of three conditions: exposure to both identity-based tasks and rule-based teaching, exposure to rule-based teaching only, and the control condition. Our findings show that, while the three groups reported the same level of ethical decision making at the beginning of the semester, at the end of the semester the students who were exposed to both identity-based and rule-based teaching reported higher level of ethical decision making compared to those who were only exposed to rule-based education. In addition, the students who received rule-based teaching reported higher ethical decision making compared to those in the control condition. These results suggest that a teaching approach which appeals to the learner’s moral identity can act as an effective leverage point when complementing rule-based teaching. This simple approach should be widely adopted as common practice in graduate business schools. (shrink)

Due to the frequent occurrence of ethical transgressions and unethical employee behaviors, there has lately been an increasing interest in the ethical foundations of contemporary organizations. However, large-scale comprehensive analyses of organizational ethics are still comparatively limited. Our study contributes to both management control and business ethics literature by empirically examining potential antecedents as well as resulting effects of ethical work climates on organizational-level outcomes. Based on a cross-sectional survey among 295 large- and medium-sized companies, we find that more informal (...) means of control constitute important elements of a broader organizational control context that are strongly related to the emergence of coherent ethical work climates with an increased awareness of ethical issues. Moreover, our results show that the relationship between ethical work climates and organizational performance can be considered as rather indirect as it is fully mediated by increased mutual trust among employees. Overall, our study thus supports the particular importance of ethical work climates and identifies appropriate means to encourage ethical conduct. (shrink)

There is an extensive body of work that has previously examined the teaching of ethics in business schools whereby it is hoped that the values and behaviours of students might be provoked to show positive and enduring change. Rather than dealing with the content issues of particular business ethics courses per se, this article explores the philosophical foundations and the structural conditions for developing ethical training programs in business schools. It is informed by historical analysis, specifically, an examination of Platonic (...) and Aristotelian philosophies that inspires virtue ethics, and together provides four conditions for consideration: respect for law, dialectics, imitation and deliberation. We outline the necessary structural conditions for implementing these requirements as well as suggesting the necessary pedagogical protocol applicable to all courses. It is argued that reference to our two ancient Greek philosophers provide many valuable and insightful lessons for the implementation of ethical training today including choice of theoretical content and the approach towards learning. Further, the enactment of a pedagogical protocol requires a policy of recruiting and managing business school teachers-instructors that takes into account, and consciously encourages, intellectual, relational and spiritual pedagogical qualities. (shrink)

The Building Ethical Leaders using an Integrated Ethics Framework (BELIEF) Program was introduced in 2006 at the Northern Illinois University College of Business. The Program was developed to support two learning objectives: (1) increase students’ awareness of ethical issues and (2) strengthen their decision-making abilities regarding these ethical issues. This article provides an overview of the development and integration of this Program. We also provide assessment data on our two learning objectives. The assessment measures improvement from 2005, before the implementation (...) of the program, to all of the post-year measures. Thus, the BELIEF Program appears to enhance our students’ ability to recognize issues and identify appropriate decision alternatives. We hope that the description of the components of BELIEF will aid other schools as they integrate ethics into their curriculum. (shrink)