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LS312 – Ethics And Legal Environment

Welcome to Unit 4

Corporate Social Responsibility

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Unit Outcomes

After completing this unit, you should be able to:

Define ethics in general

Describe business ethics in particular

Examine theories of moral reasoning and ethics

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Unit “To Do List”

Reading

Discussion

Web Field Trip

Debate

Attend Seminar

Assignment

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Discussion

Read about Gap's vision of social responsibility at http://www.gapinc.com/content/gapinc/html/csr.html  Next, go to http://www.mallenbaker.net/csr/definition.php    Read about corporate social responsibility. 

What do the sites indicate about current corporate social responsibilities?

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Web Field Trip

Business Ethics.

What role does international competition have on business ethics?

Conduct your own online research to answer the question. 

Be sure to visit at least three websites.

Include the URLs in your response.

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Debate – The Future of Business Ethics

Explain why you agree or disagree with the following proposition: 

"Corporations will be less likely to act in socially responsible ways if there is either too much, or too little competition." Please explain your reasoning.

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Unit 4 Assignment – Amtrak Case Study

Who are the stakeholders in this case?

What are the interests of the stakeholders?

What is this corporation's social corporate responsibility in this case for the four areas of corporate social responsibility?

Legal

Economic

Ethical

Philanthropic

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Conclusion and Recommendation

Based on this case study, as well as what you have learned about ethical theories and foundations of moral development, what is your final recommendation to the corporation regarding this case?

Your recommendation should be at least two paragraphs and include at least three reasons, with specific references to course material, stating how you arrived at that conclusion

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Introduction to Corporate Social Responsibility

Corporate decisions affect many stakeholders

Employees

Community

Investors

Environment

Industry

Competitors

Decisions based on effects on stakeholders practice good corporate social responsibility

Balance with profit generation

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Areas of Corporate Social Responsibility

Economic

Provide jobs, technology, advancement, profitable

Legal

Adhere to applicable laws, organization will abide by law

Ethical

Apply the theories, abide by ethical codes of conduct

Philanthropic

Give back to the community, seen as a responsiblity

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Stakeholders

Who are the stakeholders to a corporation?

Would different areas of Corporate Social Responsibility affect stakeholders differently?

Why should businesses care about stakeholders?

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CASE: Tylenol Scare

During the fall of 1982, for reasons not known, a malevolent person or persons, replaced Tylenol Extra-Strength capsules with cyanide-laced capsules, resealed the packages, and deposited them on the shelves of at least a half-dozen or so pharmacies, and food stores in the Chicago area.

The poison capsules were purchased, and seven unsuspecting people died a horrible death. Johnson & Johnson, parent company of McNeil Consumer Products Company which makes Tylenol, suddenly, and with no warning, had to explain to the world why its trusted product was suddenly killing people (Berge, 1998).

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Case Stakeholders

Who were the stakeholders affected by this case?

How were stakeholders affected differently?

Were there any stakeholders forgotten by The Tylenol company?

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Case: Areas

Economic

Continue business

Design “tamper-proof” packaging

Re-evaluate branding

Legal

Cooperated with authorities and legal proceedings

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Case: Areas continued

Ethical

Issued immediate recall at substantial cost to corporation

Reimbursement

Crisis management

Philanthropic

Follow corporate credo

Continue philanthropic programs

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Current Cases

Can you think of a current ethical situation in the media?

Who are the stakeholders to that company?

How have they handled the four areas of Corporate Social Responsibility?

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Ethical Theories of Contributors

Utilitarian Theory (Jeremy Bentham & John Stuart Mill)

Great good for the greatest number.

Categorical Imperative Theory (Immanuel Kant)

Pure motive/Universal norm

Rights Theory (John Locke)

Right to make our own decision

Justice Theory (John Rawls)

Individual before corporate needs

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Kohlberg’s Theory

Levels of moral development

Avoid punishment and earn rewards.

Good girl/boy – law and order mentality.

Social contact and Universal orientation.

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Current Cases

Are corporate profits and making a profit related?

Does trust in businesses correlate with trust in government?

Pepsico – invest in local communities.

GE – hiring veterans.

Unilever – Project Sunlight with employees – environmental issues.

Silicon Valley – Ebay, Apple – Then develop foundations

Is CSR a way to atone for bad behavior?

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Do you have any questions?

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Unit 5

Read the Kaplan eGuide to Ethics and the Legal Environment: Chapter 3

Consider the laws which govern the relationship between an organization and the employee stakeholder.

Should business decisions be based on ethical principals or legal compliance?

You will Answer a Discussion Board Question, Participate in a Web Field Trip, Enter a Debate and Submit a Written Assignment.

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Unit 5 Discussion – Decision Impacts on Stakeholders

OSHA has been seen as both a positive and a negative influence on business and employees. Start by reading OSHA's mission statement. Retrieved from  http://www.osha.gov/

Locate some articles about OSHA written by Ralph Nader.

How does Mr. Nader feel about OSHA and their Mission? Are they succeeding?

What do you think workplace safety would be like without OSHA?

Do you think managers and company owners would still be safety conscious because it is the ethical thing to do?

How do you think you would feel as a manager if an OSHA inspector showed up unannounced? 

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Unit 5 Web Field Trip – Employee Monitoring

Employee monitoring practices are often implemented without an employee's consent or awareness.

With technological advances making a wide variety of stealth monitoring techniques available, organizations face a challenging balancing act considering legitimate business concerns while respecting their employees' right to privacy.

In this Assignment, you will discuss the issue of workplace privacy with your fellow students.

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NPR Story on Workplace Cheating

First read the transcript of the NPR story on workplace cheating provided entitled, "Shirking Work”. 

Then examine the following four areas of workplace privacy according to the guidelines listed below:

Drug testing

E-mail privacy

Telephone conversation privacy

Personal privacy

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Essay of 100 words

What promotes the differing views managers and employees have on privacy issues?

What should a company have access to regarding an employee's personal life, and what is not reasonable?

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Unit 5 Debate – “Shirking Work”

Team 1  Students whose last names begin with the letters A through K will be on Team 1. Assume that you are a manager of a small corporation and are responsible for implementing policies regarding the four areas of employee privacy listed above. Write your policy recommendations and arguments, defending each from a management point of view. Students in the A through K group should clearly indicate their position on the debate by beginning each Discussion post with the heading "MANAGEMENT VIEW.”

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Debate continued

Team 2  Students whose last names begin with the letters L through Z will be on Team 2. Respond to at least three policies as an employee. State whether you agree or disagree with management’s reasons for each and why. Students in the L through Z group should clearly indicate their position on the debate by beginning each Discussion post with the heading "EMPLOYEE VIEW." Copy the “MANAGEMENT VIEW” policy into your post and follow with your response.

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Unit 5 Written Assignment

Read Case #1 "Family Business” at the site provided.

Prepare a three-page analysis that applies the four theories of ethics using examples, relates what distinguishes the requirements for each individual theory and illustrates how the ethical theories are used in reasoned decision making.

Also, your paper should answer the following questions:

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Questions

Introduction

Who are the stakeholders in this case?

What are the interests of the stakeholders?

Legal Analysis

Do any of the labor or employment laws from the eGuide apply to this case?

If they do apply, analyze the legality of the corporation’s actions in this case.

If the laws do not apply to the actions in this case, explain why they do not apply.

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Questions continued

Ethical Analysis

If the decision maker applied the categorical imperative theory in this case, what would the result be, and why?

If the decision maker applied the utilitarian theory in this case, what would the result be, and why?

If the decision maker applied the rights theory in this case, what would the result be, and why?

If the decision maker applied the justice theory in this case, what would the result be, and why?

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Conclusion and Recommendation

Based on what you have learned about ethical theories and foundations of moral development, what is your final recommendation to the corporation regarding this case?

Your recommendation should be at least two paragraphs and include at least three reasons, with specific references to course material, stating how you arrived at that conclusion.

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Next Week

This week we addressed Corporate Social Responsibility.

Next week we will consider the Employee Stakeholder.

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