An Examination of Ethical Theories

Ethical issues are a major concern in organizations because they can influence the success or failure of a business. Ethics is the standards of conduct and moral behavior that people are expected to follow. They are principles that guide our decisions on what is good or bad, right or wrong. They weigh our actions against or beliefs and determine whether they are consistent with one another. Personal ethics guide an individual’s day to day activities; business ethics guide the actions of people in various business activities, including the way in which they deal with colleagues, customers, and anyone else with whom the organization interacts (Senn, 1995).

There are many factors which influence ethical behavior. Some of these factors include role expectations, internal organizational influences and external organizational influences. Role expectations are factors which take into account an individual’s personality, values, moral principle, and history of reinforcement, and gender which leans an individual towards or away from ethical behavior (Kinicki & Krietner, 2007). For example a person’s religious beliefs might provide a moral foundation that influence’s an individual’s ethical decisions in business.

As there are many factors which influence ethical behavior, there are several theories which exist that attempt to explain and direct ethical conduct and behavior. Along with these varying ethical theories are the differing foundations from which these theories are derived. One such foundation is teleology, which focuses on the consequences of decisions made. For example a teleological theory might justify closing bars at 2:00 am in a city’s entertainment district because the effect is to reduce the number of alcohol related accidents. Another foundation is deontology, which focuses on the action itself rather than the results of the action. For example in the case of closing bars at 2:00 am, from a deontological standpoint it could be argued...