KIN 464 1st Edition Lecture 3Outline of Current Lecture I. Management’s Ethical and Social ResponsibilitiesII. Making Ethical DecisionsIII. Principles to Guide Decision-making Toward better Ethics IV. Social ResponsibilityCurrent LectureI. Management’s Ethical and Social Responsibilities:a. Ethics and social responsibility are two of the most prominent topics in management todayi. They go beyond what you are required to do legallyii. Ethics is a big area in coming up with your managerial philosophyb. Unethical and illegal practices of managers in all types of organizations appear in the news on a daily basisc. Many colleges today require courses in ethics and social responsibility for management studentsd. Ethical behavior has grown to mean “legal,” “virtuous” or highly “moral” behavior. i. Your moral compasse. Ethics is generally considered to be a set of moral values or principles.i. What is moral behavior?f. Ethical behavior goes beyond what is legally correct and adds to the behavior a degree of social responsibility.These notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.g. Ethical Responsibilities:i. Deontology 1. theory of moral obligation2. To do absolutely no harm to anyone at alla. Ex: on a cruise ship and captain had too many drinks and landed ship into rocks. There is water rushing in. You are thinking you are going to drown. If you were a deontologist you would have to find a way to get EVERYONE to safety. There is no room for sacrifice to get the majority to safety.ii. Teleology1. results are the true reality / utilitarianism / the ends justifies the meansa. You are balancing the right of individuals with the greater goodb. The end justifies the meansiii. Managers must balance:1. Achieving objectives2. Maintaining the internal system3. Adapting to the environment II. Making Ethical Decisionsa. Considerationsi. Utility 1. Does it optimize benefits?2. Can you justify sacrifices?b. Rights i. Does it respect the rights of those involved?c. Justicei. Is the action fair to everyone involved?d. Intenti. Is there an absence of prejudice?ii. You can’t make certain people sacrifice because you don’t like them.e. Most Organizations have a Code of Professional EthicsIII. Principles to Guide Decision-making Toward better Ethicsa. Tell the truth – the absolute truthi. Honesty gains trust which you need as a managerii. You CAN put a positive spin on things but DO NOT lieb. Maximize well-being of owners within the lawc. Balance interest of stakeholdersd. Achieve most social good you cani. There is often a greater good organizations tend to achievee. Follow standard business practicesi. Not just the law but the intent behind that lawf. Keep contractual and promissory obligationsg. Treat employees with dignity and respecti. Treat others how you want to be treatedIV. Social Responsibilitya. The duty of business to promote (or at least not damage) the welfare of societyi. Ex: athletes who do charity work and promote certain causesb. The moral and ethical content of managerial and corporate decisions over and above the pragmatic requirements imposed by legal principle and market economyc. Acting in the best interests of society in generald. Management’s most Important social responsibilities:i. Provide safe products1. Consumers expect safe productsii. Provide a safe and healthy environment1. Use less power and be more efficientiii. Protect the physical environmentiv. Provide equal opportunitiesv. Obey the spirit and letter of laws – be ethicalvi. Provide public service programs 1. Embrace diversity2. Embrace not only the letter of the law but the intent behind