universalism theory in business ethics

The justification for this rises from human nature, which is a shared vulnerability of suffering and demands universal reasoning. 0000017527 00000 n (credit: Love Is All You Need Signage by Jacqueline Smith/Pexels, CC0), article Panama Papers FAQ: All You Need to Know About The 2016 Investigation on the Panama Papers and how journalists might hold the corporate world to account in cases of fraud and corruption, article on the LIBOR scandal and the consequences, https://openstax.org/books/business-ethics/pages/1-introduction, https://openstax.org/books/business-ethics/pages/5-4-are-the-values-central-to-business-ethics-universal, Creative Commons Attribution 4.0 International License, Explain the difference between relative and absolute ethical values, Discuss the degree to which compliance is linked with organizational responsibility and personal values, Identify the criteria for a system of normative business ethics. In the United States, the Constitution and Declaration of Independence are the basis for citizens legal rights, for example, the right to life, liberty, and the pursuit of happiness and the right to freedom of speech. Many organizations focus on the letter of the law so that they can claim good faith in their effort to create an ethical environment. 5 terms. The Concept of Ethical Business in Ancient Athens, Ethical Advice for Nobles and Civil Servants in Ancient China, Comparing the Virtue Ethics of East and West, Utilitarianism: The Greatest Good for the Greatest Number, Ethical Decision-Making and Prioritizing Stakeholders, Three Special Stakeholders: Society, the Environment, and Government, Corporate Law and Corporate Responsibility, Sustainability: Business and the Environment, The Impact of Culture and Time on Business Ethics, The Relationship between Business Ethics and Culture, The Workplace Environment and Working Conditions, Contributing to a Positive Work Atmosphere, Criticism of the Company and Whistleblowing, Recognizing and Respecting the Rights of All, Accommodating Different Abilities and Faiths, Animal Rights and the Implications for Business, Ethical Issues in the Provision of Health Care, Changing Work Environments and Future Trends, Alternatives to Traditional Patterns of Work, Robotics, Artificial Intelligence, and the Workplace of the Future, Business Ethics in an Evolving Environment, Making a Difference in the Business World, Profiles in Business Ethics: Contemporary Thought Leaders, The pursuit of happiness is as near a universal human trait as we can find. https://scholar.valpo.edu/jvbl/vol8/iss2/3, ValpoScholar Home Universalism One distinctive understanding of universalism in ethics is that ethical principles are principles for everybody. <>/Border[0 0 0]/Contents(scholar@valpo.edu)/Rect[350.833 72.3516 427.21 82.8984]/StructParent 8/Subtype/Link/Type/Annot>> Images. 1. For example, South Africas all-white National Party and government after 1948 implemented and enforced a policy of apartheid that consisted of racial segregation. Other sets by this creator. endobj Some of the strengths and weaknesses that will be discussed for Universalism are consistency, intension basis, and universalizability, while some of the discussed strengths and weaknesses for Utilitarianism are flexibility, outcome-basis, and lack of consistency. However, middle managers and employees often complain their ethics training consists of passing a computerized sexual harassment or fraud program once a year but that nothing is done to address issues in a substantive way or to change the culture of the organization, even those that have experienced problems.31 X [%:6Ou\Ng73Y No matter our culture, geography, or time, could we identify some basic normative behaviors to govern business conduct in general? are not subject to the Creative Commons license and may not be reproduced without the prior and express written : Corruption appears to exist everywhere, so it would seem to require a persistent and consistent answer everywhere. Applying this principle is related to a quick test before acting or making a decision by asking, What would my best self do in this situation? Others ask the question inserting someone they know or honor highly. The utilitarianism principle basically holds that an action is morally right if it produces the greatest good for the greatest number of people. 137 0 obj Exchange is fundamental to business. > Diversity and Inclusion in the Workforce, 28. Many companies in the United States, Europe, and elsewhere were pressured in the 1980s and before by public interest groups whether or not to continue doing business or leave South Africa. Also, the issue arises, Who defines virtuous, especially when a complex act or incident is involved that requires factual information and objective criteria to resolve?, The common good is defined as the sum of those conditions of social life which allow social groups and their individual members relatively thorough and ready access to their own fulfillment. Decision makers must take into consideration the intent as well as the effects of their actions and decisions on the broader society and the common good of the many. Webmoral relativism theory or more similar to the moral universalism theory and if there are any differences between the arguments. v a l p o . Want to cite, share, or modify this book? Legal rights are entitlements that are limited to a particular legal system and jurisdiction. But it becomes dangerous when people use it to blind themselves to the reality around them, reinforce hardened positions even in the face of contradictory evidence, and shirk their responsibility as moral beings. Ethical relativism is the theory that holds that morality is relative to the norms of one's culture. WebUniversalism is a principle that considers the welfare and risks of all parties when considering policy decisions and outcomes. 3 Howard Schultz, founder of Starbucks; co-founder Jim Sinegal at Costco; Sheryl Sandberg, chief operating officer of Facebook; and Ursula M. Burns, previous chairperson and CEO of Xerox have demonstrated setting effective ethical tones at the top of organizations. At the same time, each one has a logic. For example, although what constitutes ethical behavior in Islamic society is strongly linked to religious values, secular philosophers can endorse a highly developed commitment to commercial ethics, too. What are major ethical principles that can be used by individuals and organizations? Kantian ethics are a set of universal moral principles that apply to all human beings, regardless of context or situation. Use of this principle generally applies when resources are scarce, there is a conflict in priorities, and no clear choice meets everyones needsthat is, a zero-sum decision is imminent, Universalism is a principle that considers the welfare and risks of all parties when considering policy decisions and outcomes. Those documents revealed that there were doubts the war could be won while thousands of young Americans continued to die fighting. Limitations here also show that using this principle may not always prove realistic or practical in all situations. Based on the expressed preferences of 163 undergraduate and graduate students of business ethics, this article briefly examines the two most popular theories, Universalism (Kantian) and Utilitarianism (consequentialist), and presents a SWOT analysis of both. WebUniversal ethical egoism is occasionally seized upon by popular writers, including amateur historians, sociologists, and philosophers, who proclaim that it is the obvious answer to hb```b``c`a`bb@ !6 daA@@-6WO pg5,eP=ycF62P,ZSK[xtV`g? Leaders create positive relationships with stakeholders, including their employees, to cultivate investor goodwill and because they believe in the underlying values of trust and authenticity. endobj Iss. Principles help inform and influence values. . Discuss need of Value education. WebA value is a universal value if it has the same value or worth for all, or almost all, people. Corporations and Politics: After Citizens United, 14. WebUniversalism: broadmindedness; wisdom; social justice; equality; a world at peace; a world of beauty; unity with nature; protecting the environment; inner harmony Benevolence: helpfulness; honesty; forgiveness; loyalty; responsibility; friendship Tradition: accepting one's portion in life; humility; devoutness; respect for tradition; moderation Types of Business EthicsPersonal responsibility. Each person who works for a business, whether on the executive level or the entry-level, will be expected to show personal responsibility.Corporate responsibility. Businesses have responsibilities to their employees, their clients or customers, and, in some cases, to their board of directors.Loyalty. Respect. Trustworthiness. More items are not subject to the Creative Commons license and may not be reproduced without the prior and express written <<77326D38A9B4B2110A000018C493FC7F>]/Prev 592216>> In opposition to moral relativism, moral universalismalso called moral objectivismholds that there are objective right or wrong actions, independently of the Chapter 9 endobj Creative Commons Attribution License 5.4 Are the Values Central to Business Ethics Universal? The society, on the other hand, perceives business ethics as the right or wrongs that occur as a result of organizations operating in the community. At the same time, each one has a logic. Universal business ethic is an attempt to formulate common business ethic principles that are acceptable by all rational agents and applied to all countries beyond However, the nature of human happiness is subjective. | If you belong to such an institution, please log in or find out more about how to order. First, some individuals may disagree about who is virtuous in different situations and therefore would refuse to use that persons character as a principle. Iss. Business Ethics Universal Ethical relativism holds that people set their own moral standards for judging their actions. Corporations and their Social Responsibility. endstream endobj 0000002386 00000 n Where could we go from there? A simple way of summarizing this principle when examining a moral dilemma is to ask of a proposed action or decision: (1) Is it fair? Except where otherwise noted, textbooks on this site X. Xenofeminism. > Basic ethical practices have been gleaned through research and practical study of how businesses function, and how they operate, both independently and with one another. In the case of LIBOR, the United Kingdoms Serious Fraud Office determined there were inadequate systems of oversight in the setting of rates and that individual executives encouraged rate fixing, which led to the conviction of several traders, at least one of whom still maintains his innocence.33 148 0 obj 130 0 obj 94 terms. (2) Is it right? BUSG 210 Practice Final Exam. Furthermore, most religions have high ethical standards but do not address many of the problems faced in business. 73 terms. citation tool such as, Authors: David S. Bright, Anastasia H. Cortes. Criticism of the Company and Whistleblowing, 27. universal e d u / j v b l / v o l 8 / i s s 2 / 3)/Rect[128.1963 131.7406 312.7275 143.4594]/StructParent 7/Subtype/Link/Type/Annot>> Why or why not? Many companies in the United States, Europe, and elsewhere were pressured in the 1980s and before by public interest groups whether or not to continue doing business or leave South Africa. Moral (and human) rights, on the other hand, are universal and based on norms in every society, for example, the right not to be enslaved and the right to work. Framework for Making Ethical Decisions Or it may be identified with various claims to identify a single fundamental universal principle, from which all other ethical principles and judgments derive. When seen from Bubers perspective, however, love is not an idyllic feeling but a driving force for justice and care. Theory ]yy+ What is universal ethics theory? endobj WebEthical universalism and ethical relativism are two types of meta-ethical views, meaning the two theories attempt to understand the reason behind ethical properties, attitudes, boundaries and judgements. Universalism vs. Relativism According to Mel & Snchez-Runde (2013), Universal ethics can be perceived as a form of moral constitution which is expressed as a set of specific ethical endobj A. developing a consensus among companies worldwide as to what ethical principles that businesses should be expected to observe in the course of conducting their operations. It is not only a method to make a decision; it is a way of incorporating a humane consideration of and for individuals and groups when deciding a course of action. At the individual level, when corruption takes place, it is a matter of conscience. Applying this principle is related to a quick test before acting or making a decision by asking, What would my best self do in this situation? Others ask the question inserting someone they know or honor highly. Kant's Universalizability Theory Still, the U.S. Constitutions Bill of Rights, ratified in 1791, was designed as and remains the foundation of, which is based on freedom and justice to protect the basic rights of all. Scandals. Ultimately, the theory of universalism in business ethics helps to promote ethical behavior and responsibility in the business world, and can serve as a powerful tool for building trust and confidence in the operations of organizations around the world. Additionally, the study investigates if the Responsibility to Protect (RtoP) adoption can be interpreted and derived from the moral theories by focusing on one of the three RtoP pillars, prevention. These principles can be, and are, used in combination; different principles are also used in different situations.18 The principles that we will cover are utilitarianism, universalism, rights/legal, justice, virtue, common good, and ethical relativism approaches. Universalism in ethics - Routledge Encyclopedia of %PDF-1.7 % Universalism theory in business ethics. Utilitarianism, Universal From a relativists perspective, moral values are only applicable within certain cultures and societies. Creative Commons Attribution License Use of this principle generally applies when resources are scarce, there is a conflict in priorities, and no clear choice meets everyones needsthat is, a zero-sum decision is imminent, Universalism is a principle that considers the welfare and risks of all parties when considering policy decisions and outcomes. Before turning to organizational and systems levels of ethics, we discuss classical ethical principles that are very relevant now and on which decisions can be and are made by individuals, organizations, and other stakeholders who choose principled, responsible ways of acting toward others. Some of the principles presented here date back to Plato, Socrates, and even earlier to ancient religious groups. For those dedicated to the case method, novels, short stories, and plays offer an inexhaustible storehouse of riches, more detailed, subtle, and complete than most cases written up for courses.37, In DeGeorges humanities model, business ethics would not prepare students to do certain things, for which they likely will be trained by their employers, but to be certain persons. Some limitations when using this principle are (1) it can be used to disguise and manipulate selfish and unjust political interests, (2) it is difficult to determine who deserves what when both parties are right, and (3) individuals can exaggerate certain entitlements at the expense of others. A common description of utilitarianism is seeking the greatest good for the greatest number this is paraphrased from Jeremy Bentham, who developed Act And such agency needs to be at the heart of business ethics. Business, too, is about relationships. 1999-2023, Rice University. They abdicate personal responsibility by assigning blame elsewhere. As some have asked, What is a human life worth?. In addition, we are sometimes faced with the question, Who has the moral authority to punish to pay compensation to whom? Still, as with the other principles discussed here, justice stands as a necessary and invaluable building block of democracies and freedom.