Many and varied are the paths to the summit of corporate greatness. One path is that of ethical business, involving issues such as: why there is a need for ethics in business; what moral principles are available to decision markers; how does moral development take place; how do we create an ethical culture in the organization; how can corporate management excel with ethical business practices and how business ethics have a cash value for the organization. Further business ethics addresses the problem of corporate social responsibility (CSR) and addresses issues like; why should corporations think beyond profit; step into activities that are more humane, sustainability, provide liberty and equal opportunity at work place .This course will unravel the myth that corporate social responsibility a drain on profits. This course will focus on CSR as an integration of three areas; environment, working conditions and human right. The idea “give back to society” is not charity rather a moral obligation. The main aim of the course is to sensitize the students to different ethical issues involved in contemporary business and how to uphold firm moral values while dealing with complex moral problems in business. This course is committed to inculcate conceptual clarity of some basic moral conduct concepts like; right, wrong, good, bad, just, unjust, obligation, responsibility, virtue, vice and moral dilemmas and moral problems through critical thinking. They will be able to understand and apply moral reasoning in business decision making
1. PROGRAM LEVELOBJECTIVE(PLO-5):
5.2 The students will adopt techniques in scenarios involving ethical dilemma and offer resolution
2. Course Level Learning Outcomes (CLO):
Be able to get conceptual clarity of moral concepts, and moral theories (PLO5.1)
Be able to Learn how to handle complex and tricky moral problems/dilemmas in management and cultivate moral values in the organization (PLO5.1)
· Be able to carry out practices that promote good corporate citizenship and demonstrate their responsibility towards the society (PLO5.2).
Introduction to Business Ethics
Adam Smith to Milton Friedman (Why Friedman was rejected?)
Reading: Ethics and Conduct of Business-Chapter.-1
The Myth of Amoral Business
Are profits and ethics truly related?
Surviving and Thriving in Business.
[Video-The Eagle’s Secret, by: David McNeil]
Quiz related to the video
(Student participation through case presentation Business ethics in practice
Some affirmative cases: Case discussion by students (Groups 1,2 & 3)
1. Johnson & Johnson and the Tylenol Affair,
2. Malden Mills and 3.Infosys Technologies
Some vicious cases: Case discussion by students (Groups 4,5 & 6)
1. The rise and fall of Arthur Andersen,
2. Enron and 3. Satyam Computer (negative cases)
Some conceptual clarifications:
Nature and scope of ethics., understanding moral conduct concepts
e.g. Fact and Value, Moral and Non-Moral Value Judgment, Morality and LawMilestone-1 (Project abstract submission)
Moral Development (Lawrence Kohlberg)
Understanding Ethical issues, dilemmas:
Yudhisthir, Draupadi, Arjun and Bhishama
Reading (prior to class): Difficulty of being Good by: Gurucharan Das
Video (in class): The Mahabharata–(From Bharat Ek Khoj Discovery of India, by:Jawaharlal Nehru
Ethical insight-1 and 2 (Class discussion following the video clip. It is expected that students will
Come prepared for meaningful discussion in the class.)
(Lecture plus 2 case presentations by students)
The Individual within the Organization, Values, principles and virtues in human action: The Socratic Dictum
The Man in the Glass By: Dale Wimbro
Case discussion by students (Introductory Case:The Parable of the Sadhu)
Case: Why Good Managers Make Bad Ethical Choices? [Three case lets and four rationalizations:
Manville Corporation, Continental Illinois Bank and E.F.Hutton] (Groups 7 & 8)
[Lecture]An overview of mainstream ethical theories and their application
Practical rationality: Deontology, Immanuel Kant [ ET-1]
The Principle of Utility Teleology, J.Bentham and J.S.Mill[ET-2]
Ethical insight-3 & 4
An overview of mainstream ethical theories and their application
The foundation of human character :Virtue Theory, Aristotle[ET-3]
Video - Character is Destiny
Free and Perfect market, fare competition and Market regulations,
Ethics in practice: Case: 1.Marketing Infant Food Formula in LDCS
Case:2.ToyWars (Danner’s dilemma) (Groups 9 & 10)
Frequent Ethical Violations in Business: Morality of bribery and extortion, Business contracts,
misappropriation and fraud; Conflicts of interest,Case:1-2G Spectrum Scam; 2-HLL Insider Trading,
3-Ford and Firestone(Groups11 &12)
Individual right and duty inside the firm: Whistle blowing
Responsibility, accountability and reliability
Judgments in Business (Clear conscience key to one’s moral strength),
Cases: Cynthia F. Cooper(WorldCom), Satyendra Dubey and S. Manjunath,
[Students could be selected randomly for presenting these cases]
Ethical Leadership:
The firm as a community of persons: Moral character in leadership
Serving and fostering a sense of service in others: Insight: Parable of Leadership[July-August-1992]Student presentation Groups 1,2,3,4,5[There are five stories on leadership and each group will present one story]
Wisdom from leading organizations:
HBR Article: Level 5 of Leadership [HBR-January-2001],[ Discussion by Faculty]
Corporate social responsibility (CSR) and business accountability ,
CSR and support for the bottom line ,Stakeholders Theory
CSR as Management Idea: Ethics in Action
Articles :
Virtue Matrix: HBR;March 2002;Regulation vs. Voluntary CSR Measures
Environmental Ethics: Bringing the Environment Down to Earth[HBRAugust-1999] [Student presentation]
he Human Side of Management: HBR-Nov-Dec 1996[Student presentation]
How Free are Free Agents: HBR June 2001
Discipline of Building Character: HBR –March April 1998, 2)
Lead for Loyalty,HBR July- August-2001
Significance of Indian ethos and values for HRM in the era of globalization.
Final Project Presentations
Text Book: Ethics and the Conduct of Business by John R. Boatright and Bibhu Prasan Patra, Pearson, 2011 (6th Edition)
Evaluation:
Quizzes – 20%
Case Analysis and HBR article review Presentation (Group) -15%
Mid-Term – 25%
End-Term – 35%
Class Participation 5%
Quizzes:
Quizzes will be of objective (MCQ) type and will be based on lecture notes and class discussion.
Mid Term Examination
The midterm examination will be closed book and will cover all the topics covered till the end of 10th session..
The End Term will be case based. It will application oriented (i.e. analysis of cases) and few subjective questions.
Group Presentation: Case Analysis and HBR, Article review
Grading of the case analysis will be based on:
1. Description of Case facts.
2. Use of moral theories
3. Clarity of thoughts
4. Handling of counter arguments
The instructor will allot cases to each group for analysis.
The nature of the course is such that much of the learning comes form the students’ participation in the class discussion. Basically it is a critical thinking class. Better understanding of the course is possible through your thoughtful deliberations in the class.
Attendance is compulsory.
**Any team member absent on the day of their group presentation will get 0 in the component.
Any disturbance in the class may lead to “F” grade in the course
Course Material:
For Case Analysis and Article Review each group will be given one spiral bound volume for the entire term by the instructor. One of the group members should take the responsibility of issue and return of the volume to the library. Additional reading materials and class notes will be provided to students through course web.