MGMT 202 1st Edition Lecture 4 Outline of Last Lecture I. Goals, Norms, Beliefs, and ValuesII. Six Liberal Traits of American CultureIII. Robert JackallIV. Joseph Badaracco and Allen WebV. AttributesOutline of Current Lecture I. Wall Street Journal article discussionII. Why Do Ethical Disasters Happen?Current LectureWall Street Journal article – “Want to Be CEO? What’s Your BMI?”Didn’t mention womenTiny margin of how well CEO’s do their jobs comparing healthy and overweight (healthy 3.92/5 stars, overweight 3.85/5)Have to maintain your whole image (like in military)“Crimson Hide” movie – obese military guy has a heart attackOther high positions (president, etc) – how much are you considering what someone looks like as opposed to how well they do their job?Walking a thin line near to stereotyping/discriminationArticle is very one-sided, and examples about CEO’s who died had serious health problems – cancer, smoking, etcErrors in logic – maybe being fit doesn’t make you a better CEO, but vice versaWhat if someone’s BMI is entirely due to genetics? Is it impossible for them to be a good CEO? Why Do Ethical Disasters Happen? People, Organizations, Situations1. People are flawed-Individual lack of moral awareness – don’t understand consequences or possible negative outcomes-Maturity comes with age and experience, so sometimes younger employees make mistakes, whether they are being honest and trying to do the right thing or not-Personality disorders – legitimate mental disorders, such as narcissism (Al Dunlap). You may ask, how do these people get to such high positions in the first place? Often lying and other serious problems.2. Organizations are made of people, so there are a lot of similar potential problems and flaws-Organizational lack of moral awareness – often teams or groups are under high pressureto meet a deadline and they transition into an ends-based mentality and doing whateverit takes to meet the deadline; article on bluffing in business (Carr)-Company doesn’t create safeguards – mission statement, code of conduct are often overrated, but just the fact that an organization actually takes the time to write these and provide training to their employees is a credit to their ethical standards – best when the company takes time to make their documents good; takes active approach – interactive. Failing to set up safeguards such as these can be asking for an ethical disaster.3. Sometimes situations help cause ethical disasters-We have high expectations for people in high places and admire them. Example: Michael Milkin – when he went to jail, people weren’t shocked at his crime, but shocked that such a smart man was being imprisoned.-Minimalist government – we want our freedom and rights; want less government regulation; often don’t recognize that laws are meant for our good-Markets tend to reward short-term profits – it’s part of our