The institutionalization of ethics is an important task for today's organizations if they are to effectively counteract the increasingly frequent occurrences of blatantly unethical and often illegal behavior within large and often highly respected organizations. This article discusses the importance of institutionalizing organizational ethics and emphasizes the importance of several variables (psychological contract, organizational commitment, and an ethically-oriented culture) to the institutionalization of ethics within any organization.... institutionalizing ethics may sound ponderous, but its meaning is straightforward. It means getting ethics (...) formally and explicitly into daily business life. It means getting ethics into company policy formation at the board and top management levels and through a formal code, getting ethics into all daily decision making and work practices down the line, at all levels of employment. It means grafting a new branch on the corporate decision tree — a branch that reads right/wrong (Purcell and Weber, 1979, p. 6). (shrink)

This paper begins by examining several potentially unethical recent marketing practices. Since most marketing managers face ethical dilemmas during their careers, it is essential to study the moral consequences of these decisions. A typology of ways that managers might confront ethical issues is proposed. The significant organizational, personal and societal costs emanting from unethical behavior are also discussed. Both relatively simple frameworks and more comprehensive models for evaluating ethical decisions in marketing are summarized. Finally, the fact that organizational commitment to (...) fostering ethical marketing decisions can be accomplished by top management leadership, codes of ethics, ethics seminars/programs and ethical audits is examined. (shrink)

There is increasing public interest in understanding the nature of corporate ethics due to the knowledge that unethical decisions and activities frequently undermine the performance and abilities of many organizations. Of the current literature found on the topic of ways organizations can influence ethical behavior, a majority is found on the issue of corporate codes of ethics.Most discussions on codes of ethics evaluate the contents of the codes and offer opinions on their wording, content, and/or value. Unfortunately, very little research (...) has been devoted towards discovering whether they are effective in promoting ethical decision-making behavior. Thus, due to the lack of empirical research on this particular topic, this paper attempts to further address this issue. (shrink)

This study was designed to survey the extent to which private companies in Sweden take structural measures within the field of business ethics: Codes of Ethics; Ethics Committees; Ethics Officers and Ethics Training. This was done in two steps. Through a nation-wide telephone survey, a population of "active" companies were identified. These companies received a questionnaire with detailed questions regarding the design, usage and effects of these measures. The percentage of active companies were found to be a high 46%. National (...) and industry characteristics are proposed as explanatory factors. (shrink)

This paper is designed to do three things while discussing the challenge of ethical behavior in organization. First, it discusses some reasons why unethical behavior occurs in organization. Secondly, the paper highlights the importance of organizational culture in establishing an ethical climate within an organization. Finally, the paper presents some suggestions for creating and maintaining an ethically-oriented culture.

The stock market crash of 1987 had a profound effect on corporate Australia and the Australian community in general. The fall-out revealed that some of our most respected business figures had not been as ethical, or even as lawful, as we would have hoped. This impropriety produced in Australia an awakening to business ethics. Whilst many companies endeavoured to introduce ethical practices into their corporations, they perceived ethics as a way of minimising damage to the corporation and in some cases (...) as a means of competitive advantage. What was lost was the reason that one should embark on business ethics; and that is to make the society and corporate Australia a more ethical place in which to exist.This paper proposes a model based on 2 factors: commitment and partnerships, as a means of enabling corporate Australia to refocus attention on the main purpose of being inherently ethical in all that we do. This ethical model requires a commitment to partnerships with all stakeholders both internal and external in an attempt to enhance the level of ethical business practices that are contemplated and pursued within corporate Australia. Whilst the research agenda and the information collected is Australian-based, it is hoped that the ideas contained within this paper will have a wider appeal to corporations in similar cultural settings. (shrink)

This article outlines a training activity that can enable both business and governmental professionals to translate the principles in a code of ethics to a specific list of company-related behaviors ranging from highly ethical to highly unethical. It also explores how this list can become a concrete model to follow in making ethical decisions. The article begins with a discussion as to what will improve ethical decision making in business and government. This leads us to explore the factors that can (...) most easily lead to improvement, namely a comprehensive code of conduct and employee training. From there we look at the Critical Incident Technique as a training strategy that has the potential for identifying those behaviors that distinguish really outstanding behaviors from those that go by the book, and can be used to encourage more independent thinking and to set expectations for future decisions. If employees are given the skills and examples that will enable them to make better decisions, they can apply them to any situation. (shrink)

Whistleblowers have usually been treated as outcasts by private-sector employers. But legal, ethical, and practical considerations increasingly compel companies to encourage employees to disclose suspected illegal and/or unethical activities throughinternal communication channels. Internal disclosure policies/procedures (IDPP''s) have been recommended as one way to encourage such communication.This study examined the relationship between IDPP''s and employee whistleblowing among private-sector employers. Almost 300 human resources executives provided data concerning their organizations'' experiences.

Very little has been done to find out what corporations have done to build ethical values into their organizations. In this report on a survey of 1984 Fortune 1000 industrial and service companies the Center for Business Ethics reveals some facts regarding codes of ethics, ethics committees, social audits, ethics training programs, boards of directors, and other areas where corporations might institutionalize ethics. Based on the survey, the Center for Business Ethics is convinced that corporations are beginning to take steps (...) to institutionalize ethics, while recognizing that in most cases more specific mechanisms and strategies need to be implemented to make their ethics efforts truly effective. (shrink)

This article is written in the context of current British interest in management training and development, in which an emphasis on competency is viewed critically, as technically oriented, with little attention paid to ethics and moral values. It is suggested that a concern for ethics in management development can be expressed in terms of four requisite management attributes or qualities: theoretical knowledge and understanding; affective qualities; personal and interpersonal skills; and self-knowledge. Following Kohlberg''s work on moral development, the cultivation of (...) these attributes is viewed as a life-span process involving three broadly defined forms of management development practice, each appropriate to different circumstances and stages in a learner''s career. It is concluded that the conventional teaching of theory, learning from experience and counselling/mentoring, are equally important in the contribution which management development can make to the resolution of ethical dilemmas in business practice. (shrink)

This paper is designed to do three things while discussing the challenge of ethical behavior in organization. First, it discusses some reasons why unethical behavior occurs in organization. Secondly, the paper highlights the importance of organizational culture in establishing an ethical climate within an organization. Finally, the paper presents some suggestions for creating and maintaining an ethically-oriented culture.

Response to wrongdoing is modeled as a decision process in an organizational context. The model is grounded in theory of risk, ambiguity, and informational influences on decision making. Time pressure, inadequate information and coworker influences are addressed. Along the way, a handful of propositions are provided which emphasize influences on the actual choice between response options.