Professional Ethics(PE)

GTU # 3150709

Unit-3
Ethical
Dilemmas,
Sources &
Resolutions
 Looping
Outline
• What is an ethical dilemma?
• Sources of ethical behavior
• Code of personal ethics for employees
• How to resolve an ethical problem?
• How to resolve ethical dilemmas?
What is an Ethical Dilemma?
 An ethical dilemma is a conflict between alternatives, where choosing any
of them will lead to a compromise of some ethical principle and lead to an
ethical violation.
 He is condemned to an ethical failure, meaning that no matter what he
does, he will do something wrong.
 E.g. you are a salesperson. Are you ethically obligated to disclose a core
weakness of your product to your potential customer?

Source: www.rubikon.news
Sources of Ethical Behavior
 In every society there are three sources of business ethics - Religion,
Culture and Law.
 The HR manager in every organization, thus, has to be well versed with
the unique system of values developed by these three sources.
1. Religion
 Religion is the oldest source of ethical inspiration.
 Nearly 1,00,000 religions which exist across the whole world, but all of them are in
agreement on the fundamental principles.
 Every religion gives an expression of what is wrong and right in business and other
walks of life.
 The Principle of reciprocity towards one’s fellow beings is found in all the religions.
 Great religions preach the necessity for an orderly social system and emphasize
upon social responsibility with an objective to contribute to the general welfare.
 With these fundamentals, every religion creates its own code of conduct.

Source: www.physicsworld.com
Sources of Ethical Behavior (Cont…)
2. Culture
 Culture is the set of important understandings that members of a community share
in common.
 It consists of a basic set of values, ideas, perceptions, preferences, concept of
morality, code of conduct etc. which creates distinctiveness among human groups.
 Depending upon the pattern and stage of development, culture differs from society
to society.
 Moreover culture is passed from generation to generation.
 Culture facilitates the generation of commitment to something larger than one’s
individual self-interest.
 Managers have to run an industrial enterprise on the cutting edge of cultural
experience.

Source: www.family.lovetoknow.com
Sources of Ethical Behavior (Cont…)
3. Law
 The legal system of any country, guide the human behavior in the society.
 The society expects the business to abide by the law.
 Although it is expected that every business should be law abiding, seldom do the
businesses adhere to the rules and regulations.
 Law breaking in business is common E.g. Tax evasion, hoarding, adulteration, poor
quality & high priced products, environment pollution etc.

Source: www.timesofindia.indiatimes.com
Code of Personal Ethics for Employees
 A code of ethics is a set of principles for employees to adhere to when
conducting business to comply with company standards.
 A business code of ethics, usually based on the core values of the
business, outlines the company mission statement, how professionals
should approach dilemmas and the standards to which they hold their
employees.
 An individual’s code of ethics can include their beliefs, values and
background.
 While codes of ethics are unique to every individual or organization, they
commonly reflect an overall idea of what the general population considers
“right” and “wrong” behavior, and many are based upon societal
expectations, such as those that teach us not to steal from others.
 Having a code of ethics holds a different level of importance for people,
but there are clear advantages to creating a personal code of ethics.
 Since personal beliefs are usually the foundation for an individual’s code
of ethics, they may refer to it when they are morally unsure about a
Code of Personal Ethics for Employees (Cont…)
 Their code of ethics can provide guidance to steer them toward an action
or opinion that aligns with what they believe on a fundamental level.
 A code of ethics reinforces individual values and can provide clarity and
strength to follow the path they believe is best.
 Here is an example of a personal code of ethics:
 I will treat others as I wish to be treated.
 I will be honest and transparent in my personal and professional life.
 I will always put forth my best effort, and I will maintain a healthy work-life balance.
 I am dedicated to continually improving myself.
 I will keep my promises and honor my commitments.
 I will remain accountable for my shortcomings or mistakes.
 I will always uphold my beliefs.
 I appreciate my life and will be grateful for it every day.
How to Resolve an Ethical Problem?
Gather the relevant facts and identify the
problems

Identify the affected parties

Consider the ethical issues involved

Identify which fundamental principles are affected

Refer to the employing organization’s internal

procedures
Consider and evaluate alternative courses of
action
Implement the course of action and monitor its
progress
How to Resolve Ethical Dilemmas?
 What do you do when you find yourself in an ethical dilemma? How do you
figure out the best path to take?
 Before thinking about which path is the most ethical one, be sure to spell
out the problem and the feasible options at hand.
 Many times, our mind limits itself to two conflicting options and does not
see the presence of a third, better option.
 Generally, philosophers outline two major approaches in handling ethical
dilemmas after assessing the legality of the actions.
 First approach focusing on the consequences of the ethical dilemma, argues ‘no
harm, no foul’,
 Other focuses on the actions themselves, claiming that some actions are simply
inherently wrong.
 While these approaches seem to conflict each other, they actually
complement the other in practice.
How to Resolve Ethical Dilemmas? (Cont…)
 A brief three-step strategy can be formulated by combining these two
schools of thought.
1. Analyze the consequences
 When you have two options, considering the positive and negative consequences
connected with each of those options gives you a better outlook on which option is
better.
 It is not enough to count the number of good and bad consequences an option has, it
is also important to note the kind and amount of good it does.
 After all, certain ‘good things’ in life (e.g., health) are more significant than others
(e.g., a new phone).
2. Analyze the actions
 Now, look at those options from an entirely different perspective.
 Some actions are inherently good (truth-telling, keeping promises), while others are
bad (force, theft).
 No matter how much good comes from these bad actions, the action will never be
right.
How to Resolve Ethical Dilemmas? (Cont…)
3. Make a decision
 Each of the above approaches acts as a check on the limitations of the other and
must therefore be analyzed in combination.
 They provide the basic elements that we can use in determining the ethical
character of the options at hand and make the process relatively easy.
 When you find yourself in a fix, consider speaking to others about the situation and
getting the opinion of more knowledgeable people to find a possible solution.
 Once the decision is made, explain it to those who will be affected by your decision.
 Be aware and reactive to new developments in that situation that may require you to
make changes in your course of action.
 It will also help to reflect on your past actions, and consider whether there is
anything you can do to prevent the dilemma from happening again.