You Manage It! 4: Ethics/Social Responsibility Let’s Do It Right

In any business, an employee’s unethical behavior can set a bad example for other workers and be a negative influence on the culture in the business. For example, a worker taking extended breaks or recording hours that weren’t worked can cause inequity and friction with other workers. If unchecked, the unethical behavior can become the norm and prompt others to behave in the same way. Without clear and concrete norms and accountability, employees may be unclear about ethical expectations and may be swayed by the unethical behaviors of some employees. Actions such as inaccurate reporting of time worked and taking of supplies can become crippling costs in organizations.

Of course, you want to hire workers who aren’t likely to engage in these unethical behaviors. Once workers are hired, however, it may not be enough to simply tell them that you expect them to be ethical. The employees may view this expectation as a great concept but may be unclear as to how to operationalize it in their jobs. Just what, for example, does being ethical mean for my job of janitor, secretary, clerk, and so on? Including ethical performance in the appraisal system is a way to make clear to employees that how they reach business goals is equally as important as reaching them in the first place.

Critical Thinking Questions

7-32. Place yourself in the position of a manager. Describe situations when ethical performance appraisal for your employees would be useful.

7-33. Are there disadvantages to a focus on ethics in performance appraisal? Describe.

7-34. How should a manager develop an appraisal system that measures ethical performance? Identify the steps.

Team Exercises

7-35. Reread the Manager’s Notebook, “Make Ethics Part of Appraisal.” As a team, use the dimensions and behavioral examples in the notebook as starting points.

a. Select a business and generate dimensions and behavioral examples for the setting. In addition to developing a measure of ethical performance, what else can be done with the dimensions and behavioral examples generated by your team?

b. Generate an example of the ethical appraisal instrument that your team would recommend for use in the business. Share your example with the rest of the class.

Experiential Exercise: Team

7-36. As a team, consider that employee performance can be divided into the categories of business outcomes and ethics. In other words, consideration can be given to what an employee gets done and how it gets done. Traditional performance appraisal has focused on what employees get done, while the appraisal of ethical performance focuses on how the employees get the work done.

As a team, take the position of either business outcomes or ethics as the primary focus of employee performance. Consider, for instance, what you would do as a small-business manager if a worker typically didn’t hit the numbers (such as didn’t make the expected number of sales), but always goes about doing the job the right way. From the business outcomes perspective, you may have to terminate the worker. However, the ethics position would support keeping the worker.

Choose a team member to present your team’s position to the class. Following the presentation of the opposing position, engage in class discussion and debate. Identify a solution to the opposition or have the class vote on the preferred priority.

Experiential Exercise: Individual

7-37. After completing the team experiential exercise, individually reflect on the class resolution or vote. If business outcomes were considered the priority among your fellow future managers, how does this bode for the importance of ethics in organizations in the future? If ethics was the priority, how realistic do you think this position is in today’s business environment? Summarize your assessment in a reflection paper to hand into your instructor or to share with the class.

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