The empirical findings in Collins and Porras'' study of visionary companies, Built to Last, and the normative claims about the purpose of the business firm in Centesimus Annus are found to be complementary in understanding the purpose of the business firm. A summary of the methodology and findings of Built to Lastand a short overview of Catholic Social Teaching are provided. It is shown that Centesimus Annus'' claim that the purpose of the firm is broader than just profit is consistent (...) with Collins and Porras empirical finding that firms which set a broader objective tend to be more successful than those which pursue only the maximization of profits. It is noted however that a related finding in Collins and Porras, namely that the content of the firm''s objective is not as important as internalizing some objective beyond just profit maximization, can lead to ethical myopia. Two examples are provided of this: the Walt Disney Company and Philip Morris. Centesimus Annus offers a way to expose such myopia, by providing guidance as to what the purpose of the firm is, and therefore as to what kinds of objectives are appropriate to the firm. (shrink)

Workplace spirituality research has sidestepped religion by focusing on the function of belief rather than its substance. Although establishing a unified foundation for research, the functional approach cannot shed light on issues of workplace pluralism, individual or institutional faith-work integration, or the institutional roles of religion in economic activity. To remedy this, we revisit definitions of spirituality and argue for the place of a belief-based approach to workplace religion. Additionally, we describe the construction of a 15-item measure of workplace religion (...) informed by Judaism and Christianity – the Faith at Work Scale (FWS). A stratified random sample (n = 234) of managers and professionals assisted in refining the FWS which exhibits a single factor structure (Eigenvalue = 8.88; variance accounted for = 59.22%) that is internally consistent (Cronbach’s α = 0.77) and demonstrates convergent validity with the Faith Maturity Scale (r = 0.81, p > 0.0001). The scale shows lower skew and kurtosis with Mainline and Catholic adherents than with Mormons and Evangelicals. Validation of the scale among Jewish and diverse Christian adherants would extend research in workplace religion. (shrink)

Despite growing interest in examining the role of religion in business ethics, there is little consensus concerning the basis or standards of “good” or ethical behavior and the reasons behind them. This limits our ability to enhance ethical behavior in the workplace. We address this issue by examining worldviews as it relates to ethics research and practice. Our worldview forms the context within which we organize and build our understanding of reality. Given that much of our academic work as well (...) as business practice operate from a modern worldview, we examine how modernism shapes our beliefs and approaches to ethics in business and academia. We identify important limitations of modernism in addressing moral issues and religion. We then introduce the Christian worldview as an alternative approach to examining ethical issues in business. (shrink)

The paper starts with a case study of a medium-sized company in which a strong and successful change in the organisational form and job design took place. A bureaucratic organisation with highly-specialised jobs was converted into a new organisation in which employees became much more autonomous in managing their own work. This not only entailed new techniques and managerial systems but also a new anthropological vision. Bureaucratic rules were reduced, but not eliminated completely, and management became less authoritarian. Employees could (...) therefore apply greater entrepreneurial spirit, developing their talents in pursuit of the company’s common goals. It is argued that this new organisational form is ethically superior to the old, and reflects the basic requirements of the principle of subsidiarity. The ethical principle of subsidiarity holds that a larger and higher-ranking body should not exercise functions which could be efficiently carried out by a smaller and lesser body; rather the former should support the latter by aiding it in the coordination of its activities with those of the greater community. While the principle has usually been applied in a political context, this paper explores the principle as a moral base for organisational forms within business organisations. Finally, the principle of subsidiarity is analysed in the context of business organisations and proposed as an ethical guideline for organisational forms. This would help to mitigate the effects of those bureaucracies in which individuals, with their dignity, freedom, diversity and capacity for undertaking business activities with entrepreneurial spirit, are often not fully appreciated. (shrink)

Research on the relationship between religious commitment and business ethics has produced widely varying results and made the impact of such commitment unclear. This study presents an empirical investigation based on a questionnaire survey of business managers and professionals in the United States yielding a database of 1234 respondents. Respondents evaluated the ethical acceptability of 16 business decisions. Findings varied with the way in which the religion variable was measured. Little relationship between religious commitment and ethical judgment was found when (...) responses were compared on the basis of broad faith categories – Catholic, Protestant, Jewish, other religions, and no religion. However, respondents who indicated that religious interests were of high or moderate importance to them demonstrated a higher level of ethical judgment (less accepting of unethical decisions) than others in their evaluations. Evangelical Christians also showed a higher level of ethical judgment. (shrink)

The macro-level business ethics in Scholasticism contrasts with modern Anglo-Saxon Capitalism, which is very influential worldwide. Scholasticism, developed between the thirteenth and the mid-seventeenth centuries, deals with key elements of free market morality, including private property, contracts, profits, prices, and free competition. For over 500 years Scholasticism tried to understand economic phenomena and business activities and reflected on them from an ethical perspective. Scholasticism offered the crucial lesson of the centrality of justice and the role of practical wisdom in considering (...) market morality. Justice is seen as both a virtue and a principle, and commutative justice with the common good of society as the reference for the Scholastics, is regarded as being especially important. (shrink)

The aim of this chapter is to reflect and provide a tentative answer to the question posited in the title. The first section provides a brief summary of the origin of that “humanism” typical of Modernity. The second section attempts to demonstrate the intrinsically individualistic and atheistic dimension entailed in this Modernist vision of man. In the third part, which can be considered the nucleus of this chapter, we present an exposition of how, from the basic characteristics of this “humanistic” (...) individualism, a new and revolutionary vision of the economy emerged – a vision now paradigmatic but still fraught with perhaps fatal ambiguities and difficulties. This vision can be seen as an “anthropological inversion” which drove the humanism of the Enlightenment. The last part, and by way of conclusion, provides some suggestions as to how, from a Christian conception of man, it might be possible to advance a more realistic and practical view of the economy. (shrink)

To provide effective guidance for business decisions, a set of ethical principles must be stable over time, rather than responding to changes in the business environment for expediency sake. This article examines the ability of religious principles to maintain such stability by reviewing the historical relationship between commerce and Christianity, beginning with early Christianity and concluding with the Enlightenment.The changes in five constructs are examined: ownership of land, acquisition of wealth, attitude toward work, charging of interest and acceptability of trade. (...) For each construct, the attitude evidenced in early Christianity was, at least to some degree, inimical to business as we view it today. That perspective changed over time, with the practice becoming at first acceptable and later even admired. The authors conclude that ethical principles based on referents from outside business are ineffective as a check on the undesirable effects of business on society. (shrink)

This paper is an insighful critique of the shareholder and stakeholder models of organizational purpose. The authors emphasize that both these models fail to serve as an adequate basis for explaining the purpose of an organization and are unable to capture a fuller meaning of living in an organizational community. The paper thus endeavours to introduce into the mainstream of discussion a third model, based on the idea of the common good which draws inspiration from the communitarian Catholic tradition. The (...) first part of this paper traces the idea of common good as it relates to organizations. The second part engages the common good tradition with the shareholder and stake holder models. The paper goes on to describe common good within the organization through three propositions: fundamentality, excellence and integration. The authors reiterate, however, that the idea of the common good does not provide a micro-blueprint for managers, but rather an orientation or moral compass that directs organizational activity towards human development. (shrink)

The paper examines the problematic understanding of “risk” in entrepreneurial literature that locates courage in either the loss orgain of having or in the difficulty and hardship of the doing. We argue in this paper that what is lost in this vernacular view of courage is a deeper notion of the subjective dimension of work and the social need of society. Grounded within the Catholic social and moral tradition, we find a richer notion of courage, which in part corrects and (...) rounds out the insufficient description of the vernacular understanding of courage in entrepreneurship. What we also find in this account of the virtues and subjective dimension of work is greater explanatory power of what happens to the entrepreneur in the work that he or she does. The end result of this analysis is a more spiritual, ethical and social understanding of entrepreneurship. (shrink)

A significant voice in encouraging the theoretical development and practical implementation of humanistic management is Pope Benedict XVI. In his Encyclical Letter Caritas in Veritate, published in 2009, he proposed a new humanistic synthesis to realign the economy with its social purpose. The aim of this book is to interpret, comment, and develop aspects of this Encyclical Letter which are significant for economic and business activity and contribute to humanistic management. The authors, specialists in their different fields, provide an interdisciplinary (...) dialogue between their repsective areas and the Encyclical. The first, theoretical, part of the book focuses on the relationship between ethics and economics to advance toward a holistic view of business and managerial activity. The second part is oriented more toward the practical and managerial aspects, and discusses how the Encyclical can contribute to more humanistic ways of management. (shrink)

A new research area linked to ethics, virtues, and morality is servant leadership. Scholars are currently seeking publication outlets as critics debate whether this new leadership theory is significantly distinct, viable, and valuable for organizational success. The aim of this study was to identify empirical studies that explored servant leadership theory by engaging a sample population in order to assess and synthesize the mechanisms, outcomes, and impacts of servant leadership. Thus, we sought to provide an evidence-informed answer to how does (...) servant leadership work, and how can we apply it? We conducted a systematic literature review (SLR), a methodology adopted from the medical sciences to synthesize research in a systematic, transparent, and reproducible manner. A disciplined screening process resulted in a final sample population of 39 appropriate studies. The synthesis of these empirical studies revealed: (a) there is no consensus on the definition of servant leadership; (b) servant leadership theory is being investigated across a variety of contexts, cultures, and themes; (c) researchers are using multiple measures to explore servant leadership; and (d) servant leadership is a viable leadership theory that helps organizations and improves the well-being of followers. This study contributes to the development of servant leadership theory and practice. In addition, this study contributes to the methodology for conducting SLRs in the field of management, highlighting an effective method for mapping out thematically, and viewing holistically, new research topics. We conclude by offering suggestions for future research. (shrink)

One major theme in Pope Benedict XVI’s encyclical Caritas in Veritate is the “Principle of Gratuitousness.” The point of this essay is to begin a reflection on what it actually means and its possible relevance. By comparing the “Principle of Gratuitousness” and its normative assumptions about “the logic of gift” with anthropological studies focused on the same phenomenon, I hope to show, not only the relevance of the encyclical’s normative vision but also where and how it needs further clarification. The (...) findings of empirical anthropology provide qualified support for the encyclical’s focus on generating and replenishing “social capital” in order to sustain both markets and politics in an effort to “civilize the economy.” In order to put the “Principle of Gratuitousness” into more effective practice, the encyclical highlights the creative role of “civil society” and calls for the creation social enterprises whose goals are broader and deeper than maximizing profits. Assessing the realism of Benedict’s proposal will require further research and reflection on innovative entrepreneurial ventures designed to address social problems on a commercial basis, for example, Muhammad Yunus’ concept of a “social business” and its development in a series of joint business ventures involving the Grameen Bank and related organizations. (shrink)

The logic of gift and gratuitousness in business activity raised by the encyclical Caritas in Veritate stresses a deeper critical evaluation of the category of relation. The logic of gift in business includes two aspects. The first is considering the logic of gift as a new conceptual lens in order to view business relationship beyond contractual logic. In this view, it is crucial to see the circulation of goods as instrumental for the development of relationships. The second aspect is to (...) qualify the relationships established through the gift, and to think about the motivation in gift-giving, which has an ethical content. We give because we have received, and through gift-giving we develop relationships that have a high ‘bonding value’. Analysing the logic of gift in business management may permit us to gain an understanding of the ambiguity of gift-giving in organizations. Looking at the relationships between organizations and employees, and organizations and customers, we can discover why the logic of gift is often misunderstood or abused in its application, and how it should be applied to be more consistent with the message of Caritas in Veritate. (shrink)

The article starts by arguing that seeing the firm as a mere nexus of contracts or as an abstract entity where different stakeholder interests concur is insufficient for a “humanistic business ethos”, which entails a complete view of the human being. It seems more appropriate to understand the firm as a human community, a concept which can be found in several sources, including managerial literature, business ethics scholars, and Catholic Social Teaching. In addition, there are also philosophical grounds that support (...) the idea of business as a human community. Extending this concept, and drawing from some Phenomenological-Personalist philosophers, we propose that the firm should be seen as a particular “community of persons” oriented to providing goods and services efficiently and profitably. Being a “community of persons” emphasizes both individuals and the whole, and makes explicit the uniqueness, conscience, free will, dignity, and openness to human flourishing. This requires appropriate communication about and participation in matters which affect people’s life, and makes it essential to cooperate for the common good of the business firm and the society. (shrink)

Entrepreneurship is a critical need in society, and an entrepreneur's life can be a life wonderfully lived. However, most of the literature examining entrepreneurship takes an overly narrow financial viewpoint when examining entrepreneurship and entrepreneurial success. Our paper surveys the current entrepreneurial literature on what constitutes successful entrepreneurship. We then engage key conceptual ideas within the Catholic social tradition to analyze what we see as an undeveloped notion of success. We then move to construct a richer notion of success through (...) the framework of virtue. (shrink)

This article presents a qualitative research about the way in which business leaders of a retail company gradually clarify the ethical responsibilities of their company – in an ongoing discussion of particular cases. It is based on 12 years of experience as an external member of the ethics committee. The aim of the article is not so much as to evaluate the different single decisions that were made and implemented to make the company meet high ethical standards, but rather to (...) focus on three issues and on how they relate to each other: (1) the shift from a communitarian Christian set of values to a broader secular framework of basic principles; (2) the way in which business people in a retailing company cope with issues that seem ethically troublesome, when reflected upon from a ethical point of view; and (3) how the process of ethical dialogue has led to a typology of the different levels of responsibility that retailers are willing to attribute to themselves according to the kind of problem at stake. The three issues together illustrate how a company that took the business ethics question head-on systematically moved into a particular ongoing collective learning process. (shrink)

Business ethics is not a novelty: it has important antecedents, among which we find the Spanish "Salamanca School". Its most brilliant period was during the sixteenth and early seventeenth century, a historical epoch when Spain was one of the principal centers of commerce in Europe. In this article, we present a panoramic view of business ethics as developed by this school and discuss its potential contributions to new developments in business ethics. The Salamanca School was primarily focused on action, yet (...) ultimately oriented to the agent. The Salamanca School's authors were theologians seeking to harmonize faith, reason and social reality. Many of them were very well-acquainted with the business dynamics of their day and issued precise assessments of them. In their writings, they also considered fundamental aspects of the market economy (property, prices, monopolies, profit, etc.). Their moral reasoning follows the natural-law of Thomas Aquinas, but places greater emphasis on empirical data. In the context of a global economy, the Salamanca School's open, universal approach is especially worthy of consideration. (shrink)

By appealing to the religious imagination Theology can make a distinctive contribution to business ethics. In the first part of the essay I examine what is entailed by appealing to the imagination to reason in ethics: through converging arguments the imagination enables us rationally to interpret reality and to infer obligations. In the following sections I consider the relevance of the religious imagination for business ethics. In the second part I explain the imagination''s use of religious metaphor to establish its (...) theological distinctiveness in ethical inquiry. Then in the final part I illustrate Theology''s contribution to business ethics by studying the imagination''s use of religious metaphor with regard to profit and to third world debt. (shrink)

Does Christian faith matter in business? If so, how does it affect the way executives handle managerial issues, especially the ones that are ethically controversial? This paper reports a study of Chinese Christian executives in Hong Kong. The researchers followed an approach known as the Critical Incident Technique and conducted in-depth interviews with 119 Chinese Christian executives over a two year period from 1999 to 2001. Each interview covered four broad areas consisting of the interviewee''s description of his or her (...) Christian faith, business experience, reported critical incidents and general remarks on faith and work. For each reported critical incident, the interviewee deliberated on the incident and its background, his or her response, the rationale behind the response and its consequences. Each interview was tape recorded for transcription and analysis. The major contribution of this study is to propose and document a typology of the executives'' responses to ethical challenges in business. The typology is based on earlier work on Christ and culture and styles of negotiation. Preliminary research findings indicate that the proposed typology is an effective paradigm. It has the promise of enabling Christian executives to reflect critically on their ethical behavior and to guide their thought towards more effective responses to ethical challenges. (shrink)

The past century has witnessed unprecedented economic growth and prosperity along with unprecedented depredations upon nature. To resolve these developments, there is debate between two moral postures. One takes a human-centered, or anthropocentric, view of our relationship to nature to emphasize the value of securing the resources needed for further development. The other takes an environment-centered, or ecocentric, view of our relationship to nature to emphasize the value of conserving her integrity and beauty. This article explores tensions underling these two (...) views and finds that neither adequately reconciles us to nature. This article offers an alternative, theocentric view of our relationship to nature, founded upon Catholic Christianity, that reconciles in God our value for resources and nature and establishes a divine order of man and nature apart from human egoism and intentions. This article concludes with a discussion of the implications of this theocentric view for environmental policy and practice. (shrink)

In this second edition of the best-selling Cambridge Companion to Christian Ethics, Robin Gill brings together twenty essays by leading experts, to provide a comprehensive introduction to Christian ethics which is both authoritative and up to date. This volume boasts four entirely new chapters, while previous chapters and all bibliographies have been updated to reflect significant developments in the field over the last decade. Gill offers a superb overview of the subject, examining the scriptural bases of ethics as well as (...) discussing Christian ethics in the context of contemporary issues, including war and the arms trade, social justice, ecology, economics, medicine and genetics. All of the contributors have a proven track record of balanced, comprehensive and comprehensible writing making this book an accessible and invaluable source not only for students in upper-level undergraduate courses, graduate students and teachers, but anyone interested in Christian ethics today. (shrink)

Now available for the first time in English, this work is widely recognised as a classic in the field of moral theology.

The Encyclical-Letter Caritas in Ventate by Pope Benedict XVI suggests to advance towards a new conceptualization of the tenuous relationship between economics and ethics, proposing a "new humanistic synthesis" Where social encyclicals have traditionally justified policy proposals by natural law and theological reasoning alone, Caritas in Ventate gives great relevance to economic arguments. The encyclical defines the framework for a new business ethics which appreciates allocative and distributive efficiency, and thus both markets and institutions as improving the human condition, but (...) locates their source and reason outside the economic sphere. It places a clear accent on the ontological connectedness of the economic and ethical dimensions of human action. It is the proper ordering of means towards the end of integral human development that allows mankind to leave a vicious circle of consumerism and enter a virtuous circle that applies the creativity fostered by markets. This vision implies a new model of business management that integrates considerations of vocation, purpose, and values at a theological level. (shrink)

The Handbook of Business Ethics: Philosophical Foundations is a standard interdisciplinary reference handbook in the field of business ethics. Articles by notable philosophers and economists examine fundamental concepts, theories and questions of business ethics: Are morality and self-interest compatible? What is meant by a just price? What did the Scholastic philosophers think about business? The handbook will cover the entire philosophical basis of business ethics. Articles range from historical positions such as Aristotelianism, Kantianism and Marxism to systematic issues like justice, (...) religious issues, rights and globalisation or gender. The book is intended as a reference work for academics, students (esp. graduate), and professionals. (shrink)

Introduction: to the student -- Ethics and Christian ethics -- An overview of ethics -- Definitions -- Subject matter -- Assumptions -- Cautions -- Alternatives to Christian ethics -- Religious systems -- Judaism -- Islam -- Hinduism -- Buddhism -- Humanism -- Objectivism -- Behaviorism -- Alternatives within Christian ethics -- Obedience to external authority -- In Roman Catholicism -- In Protestantism -- Responsibility for personal decisions -- What am I to do? -- What am I to be? -- Transforming (...) society -- Reinhold Neibuhr's "impossible possibility" -- Paul Ramsey's "obedient love" -- James Gustafson's "theocentric ethics" -- Liberation theology -- Ethics and the Christian faith -- Sources of guidance -- The Bible -- The Christian community -- The nature of the church -- The function of the church -- The Christian in the church -- Personal experience -- The use of the mind -- The prompting of the conscience -- The leadership of the spirit -- Biblical ethics -- The Hebrew Scripture -- General characteristics of Hebrew morality -- The law, the prophets, and the writings -- Jesus and the Gospels -- Jesus and Judaism -- Characteristics of Jesus's ethical teachings -- Basic concepts in Jesus's ethical teachings -- The example of Jesus -- The ethical teachings of Paul -- Theology and ethics -- An ethic of responsible freedom -- An ethic of love -- An ethic of a new life -- Faith working through love -- Theological premises -- Beliefs about God -- Beliefs about humankind -- Beliefs about history -- Faith -- Faith and salvation -- Life in the Christian community -- The instruction of Scripture -- Worship and morality -- Love (agape) -- The nature of love -- The source of love -- The demands of love -- The relationship between love and justice -- Decision -- Christian ethics and contemporary issues -- Human sexuality and the marriage relationship -- The current scene -- A Christian interpretation of sexuality -- A theological perspective -- Questions about the relationship -- A Christian interpretation of marriage -- Homosexuality and the Christian faith -- Contemporary social perspective -- A biblical perspective -- Varying Christian interpretations -- Homosexuality and the Christian way of live. (shrink)

There is a sizeable group of self-described Christian companies which have declared their belief in the successful merging of biblical principles with business activities. As these companies have become more visible, an increasing number of anecdotal newspaper and magazine articles about these companies have appeared. Surprisingly, no rigorous research has been conducted prior to our recent study. This article provides national estimates of the size and predominant characteristics of self-identified Christian companies. In addition, the study investigated the types of relationships (...) these companies maintained with their employees, customers, communities, and suppliers. (shrink)

Reviews the history of Christian thought about ethics, and discusses its views concerning politics, economics, and culture.

In this third edition of a popular business ethics textbook, Alec Hill carefully explores the foundational Christian concepts of holiness, justice, and love, showing how some common responses to business ethics fall short of a fully Christian mindset. Updated throughout, this edition includes a new chapter on international business and uses penetrating case studies to clothe principles in concrete business situations.