Ethical and Moral Issues
January 6, 2011
Today’s business world is experiencing changes concerning ethics. This paper will give an overview of the differences between moral and ethical issues pertaining to the business world and review differences between personal and business ethics. Finally, I will give real-world examples of common ethical problems past and present in the business world.
According to DeGeorge, “Morality consists of rules of human behavior and specifies that certain actions are wrong or immoral and that others are right or moral” (p. 6). Issues of morality are often linked to religion. Moral issues can have serious ...view middle of the document...
A person’s behavior
And mannerisms are direct reflections of his or her personal ethics.
Business ethics are directly linked to the core values of a group, organization or business. These standards established by the executive management team of a business or governing parties of an organization. Business ethics are generally focused on conduct. The ethical standards of a business are the codes of ethics. Businesses and organizations have established extensive training programs to educate and reinforce code of ethics.
Several organizations over the last 20 years have been featured in the media for their violation of ethics. “In 2005, the Adelphia Communications Corporation agreed to pay $715 million to settle federal investigations stemming from rampant earnings manipulation and self-dealings by its corporate founders” (Johnson, 2005) The largest bankruptcy in the United States history was the Enron company. Personal and business ethics were compromised both internal and external. Sherron Watkins is known as a “whistleblower” due to her role in the Enron scandal. Sherron Watkins’ personal ethics were violated and she had the courage to inform others about her concerns about the company (Pellegri , 2002). Enron employees were instructed destroy all audit material except for the most basic “work papers" (Kadlec , 2002). Instructions to the employees were a clear violation of personal and ethical codes of ethics by their leadership. The Arthur Anderson accounting firm compromised their code of ethics in an attempt to cover -up wrong doings within the organization.
In conclusion, moral and ethical issues are very similar. Both are based upon core values and beliefs. The foundation of the...