From the course: Business Ethics

Applying ethics

From the course: Business Ethics

Start my 1-month free trial

Applying ethics

- I'm a checklist person. Nothing makes me more comfortable than to have a checklist to make sure I don't forget anything when I'm trying to get something done or thinking through something. So I have a checklist for thinking through ethics situations. Here it goes. Number one, do any laws apply to what you're considering? Make sure you understand those laws and comply with them. Number two, beyond the law, are there moral implications? For example, I just sold my basket weaving business to someone, and as part of that sale, I promise not to sell baskets for two years. Now many countries have free employment laws where nobody can restrict another person from working in any field to make money. So legally the person I just sold the basket weaving business to can't stop me from making and selling baskets. But morally, I shouldn't be doing so until after the two-year timeframe is up. Number three, does my action support the values, mission and purpose of my organization? For example, an addiction support group may work with drug abusers and seek to protect and rehabilitate them, while the police strive to find and arrest those same people. Both organizations have an ethical purpose but result in taking very different actions. Number four, does my action support the common good or the needs of the many versus my needs or the needs of a few? Number five, can I make this decision in a transparent and auditable way? Would the outcome be positive if a reviewer examined the rationale for my decision? Number six, will I properly balance the needs of clients versus the needs of the organization with my action? Two examples of this come to mind. An ethical insurance company that receives an expensive claim for a covered accident will promptly pay the claim, even when that impacts profitability. The unethical insurance company will repeatedly question the claim, hoping to pay a lesser amount, even though the coverage is part of the insurance policy. Conversely, a government organization often needs to focus on providing services to all citizens equally. So that ethical need to serve all citizens equally may overshadow the need of a single client or citizen who ideally would receive a government service on an exception basis. Number seven, do I have appropriate responsibility and information to make this decision, or do I need to defer to management? If the answers to these questions are comfortable for you, it's likely your decision is a positive, ethical one. However, if you find yourself saying something like no one will ever notice, I'd think again. Or if you communicate your decision to others and start the conversation with something like this goes no farther than this room, I'd re-examine the answers to my checklist items. Follow the checklist, and all is good. And you can go home knowing you did the right thing today. To help, I've included a practice guide in the exercise files to help you find ethical options to resolve issues.

Contents