How organizational values guide ethical decision-making

Values

Ethical behavior is guided by our value system and our moral prescriptions. When behaviors do not correspond with a preestablished set of values and morals, those actions can be considered unethical. However, morals and values are not always formally written. Institutions often compose their specific set of ethical guidelines for employee behavior but most social values are implied, not overtly stated.

Values provide the overall framework from which to establish ethical codes. For instance, if a firm values the bottom line above all else, it will base its ethical code around profit. If a firm values environmental stewardship over everything else, then its ethical code will censure behavior like toxic waste dumping. A firm that values a diverse workforce will ensure that minorities are treated fairly by codifying such behaviors in a formal set of ethical guidelines.

Firms often deal with moral and ethical conundrums. Conundrums sometimes cause individuals or organizations to develop values that may not coincide with those of the dominant culture. For instance, illegal immigration raises a host of complex questions related to values, ethics, and morals. Our society values tolerance, diversity, and the American Dream. Illegal immigration is not immoral, nor even unethical except for the fact that working illegally breaks the law. Following the law is usually considered a moral and ethical act. Firms that hire illegal immigrants may do so in spite of how the general culture feels about the behavior.