Ethical Issues in Organizational Behavior

Ethical Issues in Organizational Behavior

Joseph F

BUS 610: Organizational Behavior

Prof. Neil Mathur

June 11, 2012

Introduction

Ethics are essential for proper functioning and management of an organization. “Ethics involves the study of moral issues and choices. It is concerned with right versus wrong, good versus bad, and the many shades of gray in supposedly black-and-white issues” (Kinicki 23).

Organizations are responsible for creating and developing guidelines of behavior that all employees are suppose to follow, such as a code of ethics. According to Vitez “The code of ethics policy usually sets the minimum standards for business owners, managers and employees to follow when completing various business functions” (Vitez, 2012). Even with code of ethics in place, organizations still often battle employees that violate those policies. These violations cause major challenges and concerns for an organization.

Why are ethical issues a major concern for organizations?

Ethical issues are concerns for organizations because they reflect negatively against the moral foundation established and the business as a whole. Intricate and problematic, ethical issues may lead to undesirable consequences an organization must face. Organizations do not want to have an unethical reputation or an unattractive image. An unethical reputation can cause internal and external dilemmas with employees, customers, or the general public. Those stakeholders may lose trust and respect for the entire organization regardless of who is at fault. As with many things in life, once you lose trust and respect for someone or something, it is hard to have belief again. Ethical issues begin a downward spiral that will affect all dimensions of an organization.

What individual influences impact ethical behavior?

People have similarities and differences when it comes to influences dealing with personal ethics. Every person has their own unique characteristics, values, and moral...