Review the ethical cycle (figure shown below). Discuss a decision made (at home or in the workplace), and describe the steps of the cycle in relation to your decision making process. Now review the section on rationalizing unethical behaviors (attached). What is the relationship between the ethical cycle and the three simple ethical tests used for business decisions?
Rationalizing Unethical Behaviors
Ethics is about being and doing the right thing, not just present the right idea. Corporations are not responsible for making ethical decisions made, ethical or unethical. Mangers will begin to cut corners and play accounting games when trying to raise share prices, ultimately trying to satisfy the shareholders and increase their own bonuses. The institute of Business Ethics has identified there simple ethical test to use for a business decision: transparency, effect, and fairness
Simple ethical test:
1. Transparency refers to deciding if one accepts having others know what one has decided. The more open and transparent a person is in discussing his or her actions with others, the more comfortable the person is that he or she has made the right decision.
2. Effect refers to determining who the decision affects or impacts. Decision makers must always be aware of who will be directly or indirectly included by their actions. The decision maker must not assume that the effect will be only minimal to others.
3. Fairness refers to determining if the decision would be considered fair by those affected by it. A decision maker must understand the perspective or each person who is affected by the decision to ensure the decisions is just to all.
