SOCIAL RESPONSIBILITY AND MANAGERIAL ETHICS CHAPTER 5

PLEASE CHECK IT OUT!! IT WILL HELPS YOU A LOT...
it is all about social responsibility and managerial ethics .:)

1. CHAPTER 5 REPORTED BY. RISTIAN CALDERON CH

2. A Manager's Dilemma

3. What Is Social Responsibility? Social responsibility   - is an ethical theory that an entity, be it an organization or individual, has an obligation to act to benefit society at large.

4. 1. The Classical View Two Opposing Views of Social Responsibility The classical view holds that management's only social responsibility is to maximize profits. 2. The Socioeconomic View It is the view that management's social responsibility goes beyond making profits to include protecting and improving society's welfare.

5. Arguments For and Against Social Responsibility For Against Public expectations Violation of profit maximization Public opinion now supports businesses pursuing economic and social goals Business is being socially responsible only when it pursues its economic interests Long-run profits Dilution of purpose Socially responsible companies tend to have more secure long-run profits Pursuing social goals dilutes business's primary purpose—economic productivity Ethical obligation Costs

6. Social obligation is the obligation of a business to meet its economic and legal responsibilities. Social responsibility Social responsiveness From Obligations to Responsiveness

7. 1.WHAT IS THE MORE IMPORTANT? CHOICES RESPONDENTS TOTAL A.SOCIAL RESPONSIBILITY 10 10 B.SOCIAL RESPONSIVENESS 8 8 N=18 FREQUENCY DISTRIBUTION TABLE

8. Social Responsibility and Economic Performance -The majority showed a positive relationship between social involvement and economic performance.

9. SOCIAL SCREENING- APPLY SOCIAL CRITERIA TO INVESTMENT DECISIONS

10. Values-Based Management Values-based management is an approach to managing in which managers establish, promote, and practice an organization's shared values

11. Developing Shared Values Managers are responsible for shaping the organization so that its values, norms, and ideals appeal strongly to employees .

12. Purposes of Shared Values shared values are a way to build team spirit in organizations

13. Suggestions for Creating a Good Corporate Values Statement 1. Involve everyone in the company. 2. Allow customizing of the values by individual departments or units. 3. Expect and accept employee resistance. 4. Keep the statement short. 5. Avoid trivial statements. 6. Leave out religious references. 7. Challenge it. 8. Live it.

14. The "Greening" of Management This recognition of the close link between an organization's decisions and activities and its impact on the natural environment is referred to as the greening of management .

15. Global Environmental Problems One "green" issue managers must deal with as they become more involved in preserving the natural environment is recognizing the key global environmental problems and how these problems are changing list of global environmental problems: 1.global warming 2.pollution (air, water, and soil), 3.industrial accidents 4.toxic wastes

16. According to Environment watchdog EcoWaste Coalition " Itong laruang ito ang may pinakamataas na lead content-- 6,000 plus parts per million, samantalang 90 parts per million lamang ang allowable," said Thony Dizon , Coordinator for Project Protect of EcoWaste Coalition, 

17. 90 Parts per million

18. How Organizations Go Green four approaches organizations can take with respect to environmental issues.

19. ACTIVIST APPROACH Too much lead in the body may result in sickness and affect brain and physical development.

20. Summing Up Social Responsibility The key issues in social responsibility are easier to understand if we think in terms of the people to whom managers are responsible. four-stage model of the progression of an organization's social responsibility A Stage 1 manager will promote stockholders' interests by seeking to minimize costs and maximize profits.

21. At Stage 2, managers will accept their responsibility to employees and focus on human resource concerns. At Stage 3, managers expand their responsibilities to other stakeholders in the specific environment—that is, customers and suppliers. Finally, Stage 4 characterizes the extreme socioeconomic definition of social responsibility.

22. Managerial Ethics The term ethics refers to rules and principles that define right and wrong conduct.3 Four Views of Ethics 1.utilitarian view of ethics 2. rights view of ethics 3. theory of justice view of ethics 4. integrative social contracts theor y

23. Factors That Affect Managerial Ethics a manager acts ethically or unethically is the result of complex interactions between the manager's stage of moral development and several moderating variables.

24. Structural Variables An organization's structural design helps shape whether managers behave ethically. -Formal rules and regulations reduce ambiguity

25. Organization's Culture An organizational culture most likely to encourage high ethical standards is one that is high in risk tolerance, control, and conflict tolerance. A strong culture will exert more influence on managers than a weak one.

26. Determinants of Issue Intensity

27. Global compact

28. TOWARD IMPROVING ETHICAL BEHAVIOR Managers can do a number of things if they're serious about reducing unethical behaviors in their organization

29. Employee Selection —interviews, tests, background checks, and so forth—should be used to eliminate ethically questionable applicants. The selection process should be viewed as an opportunity to learn about an individual's level of moral development, personal values, ego strength, and locus of control.

30. Codes of Ethics and Decision Rules A code of ethics, a formal statement of an organization's primary values a

31. Ethics Training More and more organizations are setting up seminars, workshops, and similar ethics training programs to encourage ethical behavior. Ethics researchers estimate that over 40 percent of U.S. companies provide some form of ethics training

32. 40% PROVIDE ETHICS TRAINING ACCORDING TO U.S COMPANIES

33. Independent Social Audits Independent social audits, which evaluate decisions and management practices in terms of the organization's code of ethics, increase the likelihood of detection.

34. Formal Protective Mechanisms Our last recommendation is for organizations to provide formal mechanisms to protect employees who face ethical dilemmas so that they can do what's right without fear of reprimand

35. FINAL THOUGHT -unethical behaviors are prevalent across our society. Cheating, for instance, is a common occurrence in education. A range of studies shows that anywhere from 75 percent to 98 percent of students admit to having cheated in high school.

36. A survey of college students by U.S. News and World Report showed some ethically alarming results