Essay on Ethics and Management Decision Making - 4729 Words

â€Å"We have always known that heedless self-interest was bad morals; We know now that it is also bad economics† (Franklin Delano Roosevelt as cited in Godwin, 2008; Good Money Quotes, 2010) 1. Introduction Business Industry has witnessed the outcomes of bad moral decisions taken by business leaders. Enron’s story is only one example of corporate scandals and cases of bad moral decisions, which has not only shaken the public trust in corporations, but also affected the bank accounts of investors and employees. Before the bankruptcy of Enron; it was included in one of the fortune 500 companies after its fraudulent accounting case the share went down to $1 (Enron scandal, 2010; PBS, 2002; Godwin, 2006; Godwin, 2008). The â€Å"bad apples†Ã¢â‚¬ ¦show more content†¦This only happens because of their leaders who make such decisions which leads towards increasing the profit margin and creating social mutually benefit (Godwin, 2006; Godwin, 2008; CBS, 2002; PBS, 2002). Some business leaders are taking good moral decisions and the reason behind that idea is that the core part of their business strategy is to create mutual benefit for both wider society and business as well. The growing desire of top management is to find out ways to create mutual benefit for both the organizations and the stake holders but the public still believes that companies are greedy entities which make decisions only in their self-interest, even at the cost of greater public welfare. It is the utmost obligation of the companies to discern the social issues while making the decisions (Yashiro, Yoshida and Suzuki, no date; Godwin, 2006; Schwab, 1996; Godwin, 2008; Werhane, 1998; Werhane, 2002; Heath, 2008; Mehalik and Gorman, 2006). Morality is basically the individual’s perception of what is â€Å"good or â€Å"right. The human behaviors are determined by the environment. What so ever human is behaving is just because of its environmental factors (Rest, 1994; Godwin, 2008).Moral Imagination is the mental ability to create or use ideas, images, discern moral aspects implanted within a situation and develop a range of possible solutions of the situation from a moral point of view (Godwin, 2008; Werhane, 1998; Werhane, 2002; Heath, 2008; Mehalik andShow MoreRelatedStandards For Financial Decision Making926 Words   |  4 PagesAbstract. The article reviewed was Standards for Financial Decision-Making: Legal, Ethical, and Practical Issues. The key of the abstract is to emphasize the existence of standards and statutory mechanisms for financial decision-making. The article is based on standards of the National Guardianship Association (NGA) (p. 1275). Introduction. The authors study the meaning of term â€Å"standard†. 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