Emerging Business Ethics Issues

Emerging Business Ethics Issues
Recognizing an Ethical Issue

•      Recognizing an ethical issue is difficult

•      Is business a game?

•      National Business Ethics Survey (NBES)

•      Abusive or intimidating behavior

•      Lying to various stakeholders

•      Conflicts of interest

•      Is business a war?

What do you see as some of
the causes of unethical behavior?

Specific Types of Observed Misconduct

Causes of Unethical Behavior

•      Meeting overly aggressive financial or business objectives

•      Meeting schedule pressures

•      Helping the organization survive

•      Rationalizing that others do it

•      Resisting competitive threats

•      Saving jobs

Issues That Affect Corporate Shareholder Value

Abusive and Intimidating Behavior

•      What constitutes abusive or intimidating behavior?

•      Bullying in the workplace

•      Bullying between companies


•      Commission

•      Noise

•      Lying by commission

•      Lying by omission


•      What constitutes bribery?

•      Active bribery

•      Passive bribery

•      Facilitation payments

•      Are some bribes acceptable?

Corporate Intelligence

•       Trade secrets

•       Hacking

–    System hacking

–    Remote hacking

–    Physical hacking

•       Dumpster diving

•       Whacking

•       Phone eavesdropping

•       Social engineering

•       Password guessing

•       Shoulder surfing


•       Discrimination on the basis of race, color, religion, sex, marital status, sexual orientation, public assistance status, disability, age, national origin, or veteran status is illegal in the U.S.

•       Discrimination on the basis of political opinions or affiliation with a union is defined as harassment.


•       Equal Employment Opportunity Commission (EEOC)

•       Age discrimination

•       The Age Discrimination in Employment Act

•       Affirmative action programs

–  Efforts to recruit, hire, train and promote qualified individuals from groups that have traditionally been discriminated against based on race, gender, or other characteristics

Sexual Harassment

•      Title VII of the Civil Rights Act of 1964

•      What constitutes sexual harassment?

•      Hostile work environment

•      Inappropriate relationships

To Avoid Sexual Misconduct You Need

•              A statement of policy

•              A definition of sexual harassment

•              A non-retaliation policy

•              Specific procedures for prevention

•              Establish, enforce, and encourage

•              Establish a reporting procedure

•              Make sure that the company has timely reporting requirements to the proper authorities

Greatest Fraud Risk for Companies

Emerging Issues

•       Environmental issues

–     Kyoto protocol

–     Water pollution

–     Waste management

–     Green revolution

•       Intellectual property rights

–     DMCA and DTDC Acts

•       Privacy Issues

–     Establishing policies governing the use of the Internet on company time

–     Electronic monitoring

–     Consumer privacy

Observed Frequency of Specific Misconduct by Employees