Business Ethics and Corporate Governance, Second Edition

MANAGEMENT AND ETHICS

Management of any business involves hundreds of decisions. Ethical issues occur in all decision making processes. Conflicts and ethical dilemmas are part and parcel of such processes. There arises a continuous conflict between the goals of an organization and various issues relating to its day-to-day management. The success of any business organization is measured by revenues, profits, cost-cutting, quality, quantity, efficiency, and so on. These objectives of the organization may run in direct conflict with its social commitment which is measured in terms of obligations to stakeholders, both within and outside the organization. For instance, cost-cutting may be used as a tool to enhance revenue and profit. In the process ...