ethics and decision making

Decisions and EthicsNorthcentral UniversityDeborah Adams

Information Technology Decision Support/MIS7003-2

2 Introduction

Leaders are expected to be both profitably effective while remaining within ethical and legal guidelines. Some may feel that in current marketplaces this requirement is like walking a tightrope without a circus net. There are historical cases where leaders have either risen or fallen to the demands of doing everything right and still make a profit. In the Information Age demands are more expanded while the traditional expectations of doing good, taking responsibility, and causing no harm to others seems blurred in some situations. Throughout this presentation terms, and case examples will be shown for an understanding of how ethical decisions making may be easier to make by some over others.


3 Ethical Decisions

The key to ethics is

good behavior!

The demonstration of proper conduct throughout all relationships is the baseline for ethical leadership. Leaders who are ethical behave properly through two-way communications, support, and comprehensive decision-making. Through promotion and reinforcement leaders inform of both the benefits of good behavior and the consequences of bad behavior. Clear expectations along with balanced accountability elevates ethical leaders above marginal leaders. Ethical leaders teach by doing setting examples by demonstrating good conduct in their personal and professional affairs.

There is not much noted by researchers on why some leaders behave ethically while others behave unethically. There has been writings on the prediction of likelihood for ethical behavior by leaders based upon personal characteristics. Identifying traits, backgrounds is said to possibly assist in predicting, developing, and reinforcing ethical leaders.

(Walumbwa & Schaubroeck, 2009)


4 Evaluate & CompareDecisions

Critical thinking/questions foster decisions. Questioning made through approaches:

(1) Dogmatic Absolutism - every question has only one correct answer. (2) Subjective Relativism – all questions are reduced to matters of subjectiveness with no correct or incorrect answer just differences of opinions. (Elder & Paul, 2006)

Decision-making GroupthinkExample: Kent State University Board of Trustees refused to reconsider their decision to build a physical education and recreation facility on part of the site where KSU students and Ohio National Guardsmen had a fatal confrontation over the American involvement in the Vietnam War. The trustees refused to motion for a vote even after involvement of political and legal agencies and hundreds of thousands of lost dollars by the University. (Hensley & Griffin, 1986)


5 Evaluate & Compare Decision-making There is said to be no specific trait

which distinguishes leaders from non-leaders, according to trait theories. Some say the reviews have been misinterpreted and that there are theoretical and methodological reasons for the reconsideration of relations between the traits of potential leaders and the tendency to be viewed as a leader.

Here are the numbers…88% of 196 relations between intelligence and leadership are positive.92 of the 196 relations are significant.99% of significant relations are in the positive direction. (Lord, De Vader & Alliger, 1986)

www.umass.edu


6

Decisions

There are existing and unclear conditions in ethical decision making for stakeholders, common interests, and overall values are conflicting. Most leaders engage in decision making to some degree that affect lives or well-being of others. This is what ethical decision making involves it is an act or response that has the potential of producing serious consequences for others within the realms of health, safety, and or welfare. (Lord, De Vader & Alliger, 1986)

Main. da. standford.edu


7

Interactionist model defines ethical decision making within an organization through individual interactions and each components of a situation. Individuals react to ethical dilemmas with the perceptions from their intellectual stages of development, which guides the decision process along the lines of what is deemed either right or wrong for a particular situation. (Lord, De Vader & Alliger, 1986)

Socrates.Berkeley.edu


8The Strategies…

IT operates in survival mode with agendas of the board and executive officers increasingly plagued with compliance, merger/acquisitions, and business strategy issues.

Today’s enterprises use wide IT systems with demands to “think global and act local”, which requires a combination of knowledge by executives in areas of organizational change and new technology.

Most strategic issues are linked to IT directly or remotely. Behaving ethically is on the same critical path as IT. (Earl & Feeny, 2000)

www.springer.com


9 4 Strategies operating in the Information Age The Hypocrite

Believes IT is strategic but acts to the contrary

The Waverer Accepts IT’s

importance but does not make

it a priority

The Atheist Believes IT has

little value, irrelevant to

competitiveness

The Zealot Authority on the

practice of IT being

strategically important

The Agnostic Must be

repeatedly convinced of

IT’s importance

The Monarch Not center stage but appoints the

best CIO

The Believer Personal behavior

demonstrates belief in IT’s advantage

Archetypes for CEO’s operating in the Information Age:1. The Hypocrite2. The Waverer3. The Atheist4. The Zealot5. The Agnostic6. The Monarch7. The Believer(Earl & Feeny, 2000)


10CEOs Operating in the Information Age Sr. Colin

Marshall – British Airlines

Toshifumi Suzuki – Seven Eleven

Japan

Jomei Chang – Vitria

Technology

Michael Dell - Dell

Jack Welch – GE

John Browne – BP

Peter Schou – Lan/Spar Banks


11

Microsoft Antitrust Court Case

Federal Appeals Microsoft Antitrust Case

https://youtu.be/ZohSfvCQGC8


12

“

”

Microsoft invested a tremendous amount of resources to make very complex intertwining of code for the purpose really of becoming an anti-competitive barrier to other products being able to be part of the overall user experience.

Organizational strategies and ethical decision-making

What is considered fair play in the marketplace with regards to antitrust compliance or violations is sometimes a matter for the court to decide. In the case of Microsoft the court questioned weather the case was more about one monopolist fighting to replace another in a battle over the greatest and current monopoly status.(Associated Press, 2001)


13 ConclusionExecutives are faces with balancing the best interests of the Board of Directors they serve with equal attention to corporate governance of social responsibility to society, and compliance of all regulations. Most business strategies and missions are similar with regards to managing/increasing profits and market share, expanding competitive edge in the market, and keeping a positive corporate image. Ethics and business strategies are not mutually exclusive. A CEO’s actions must demonstrate ethical compliance across all areas of business and incorporated throughout all strategies of business. The company’s leader is its public figure who is charged with making positive and methodical decisions that protect and expand the company and its relationships.


14 ReferencesAssociated Press. (2001). USA: Microsoft Anti trust Court Case Wrap. Retrieved from: http://ebscovideos.ebscohost.com/v/102364829/usa-

microsoft-antitrust-court-case-wrap.htm

Earl, M. & Feeny, D. (2000). How to be a CEO for the information age. Sloan Management Review. 41(2), Retrieved from https://

cb.hbsp.harvard.edu/cbmp/content/42841419

Elder, L., & Paul, R. (2006). The art of asking essential questions. The Foundation for Critical Thinking. www.criticalthinking.org.

Hensley, T. R., & Griffin, G. W. (1986). Victims of groupthink: The Kent State University board of trustees and the 1977 gymnasium

controversy. The Journal of Conflict Resolution (1986-1998), 30(3), 497. Retrieved from

http://search.proquest.com.proxy1.ncu.edu/docview/236093532?accountid=28180

Lord, R. G., De Vader, C. L., & Alliger, G. M. (1986). A meta-analysis of the relation between personality traits and leadership perceptions: An

application of validity generalization procedures. Journal of Applied Psychology, 71(3), 402-410. doi:10.1037/0021-9010.71.3.402

Trevino, L. K. (1986). Ethical decision making in organizations: A person-situation interactionist model. Academy of Management Review,

11(3), 601-617. doi:10.5465/AMR.1986.4306235

Walumbwa, F. O., & Schaubroeck, J. (2009). Leader personality traits and employee voice behavior: Mediating roles of ethical leadership and

work group psychological safety. Journal of Applied Psychology, 94(5), 1275-1286. doi:10.1037/a0015848

https://cb.hbsp.harvard.edu/cbmp/content/42841419

https://cb.hbsp.harvard.edu/cbmp/content/42841419

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