This review summarizes and critiques the empirical ethical decision-making literature from 1996-2003. One hundred and seventy-four articles were published in top business journals during this period. Tables are included that summarize the findings by dependent variable - awareness, judgment, intent, and behavior. We compare this review with past reviews in order to draw conclusions regarding trends in the ethical decision-making literature and to surface directions for future research.
This review summarizes the research on ethical decision-making from 2004 to 2011. Eighty-four articles were published during this period, resulting in 357 findings. Individual findings are categorized by their application to individual variables, organizational variables, or the concept of moral intensity as developed by Jones :366–395, 1991). Rest’s four-step model for ethical decision-making is used to summarize findings by dependent variable—awareness, intent, judgment, and behavior. A discussion of findings in each category is provided in order to uncover trends (...) in the ethical decision-making literature. A summary of areas of suggested future research is provided. (shrink)
We present a novel variant of decision making based on the mathematical theory of separable Hilbert spaces. This mathematical structure captures the effect of superposition of composite prospects, including many incorporated intentions, which allows us to describe a variety of interesting fallacies and anomalies that have been reported to particularize the decision making of real human beings. The theory characterizes entangled decision making, non-commutativity of subsequent decisions, and intention interference. We demonstrate how the violation of the Savage’s (...) sure-thing principle, known as the disjunction effect, can be explained quantitatively as a result of the interference of intentions, when making decisions under uncertainty. The disjunction effects, observed in experiments, are accurately predicted using a theorem on interference alternation that we derive, which connects aversion-to-uncertainty to the appearance of negative interference terms suppressing the probability of actions. The conjunction fallacy is also explained by the presence of the interference terms. A series of experiments are analyzed and shown to be in excellent agreement with a priori evaluation of interference effects. The conjunction fallacy is also shown to be a sufficient condition for the disjunction effect, and novel experiments testing the combined interplay between the two effects are suggested. (shrink)
This review summarizes and critiques the empirical ethical decision-making literature from 1996–2003. One hundred and seventy-four articles were published in top business journals during this period. Tables are included that summarize the findings by dependent variable – awareness, judgment, intent, and behavior. We compare this review with past reviews in order to draw conclusions regarding trends in the ethical decision-making literature and to surface directions for future research.
A fundamental assumption of theories of decision-making is that we detect mismatches between intention and outcome, adjust our behavior in the face of error, and adapt to changing circumstances. Is this always the case? We investigated the relation between intention, choice, and introspection. Participants made choices between presented face pairs on the basis of attractiveness, while we covertly manipulated the relationship between choice and outcome that they experienced. Participants failed to notice conspicuous mismatches between their intended choice and the (...) outcome they were presented with, while nevertheless offering introspectively derived reasons for why they chose the way they did. We call this effect choice blindness. (shrink)
This paper provides new foundations for Bayesian Decision Theory based on a representation theorem for preferences defined on a set of prospects containing both factual and conditional possibilities. This use of a rich set of prospects not only provides a framework within which the main theoretical claims of Savage, Ramsey, Jeffrey and others can be stated and compared, but also allows for the postulation of an extended Bayesian model of rational belief and desire from which they can be derived (...) as special cases. The main theorem of the paper establishes the existence of a such a Bayesian representation of preferences over conditional prospects, i.e. the existence of a pair of real-valued functions respectively measuring the agent’s degrees of belief and desire and which satisfy the postulated rationality conditions on partial belief and desire. The representation of partial belief is shown to be unique and that of partial desire, unique up to a linear transformation. (shrink)
There are at least two plausible generalisations of subjective expected utility (SEU) theory: cumulative prospect theory (which relaxes the independence axiom) and Levi’s decision theory (which relaxes at least ordering). These theories call for a re-assessment of the minimal requirements of rational choice. Here, I consider how an analysis of sequential decision making contributes to this assessment. I criticise Hammond’s (Economica 44(176):337–350, 1977; Econ Philos 4:292–297, 1988a; Risk, decision and rationality, 1988b; Theory Decis 25:25–78, 1988c) ‘consequentialist’ argument (...) for the SEU preference axioms, but go on to formulate a related diachronic-Dutch-book-style’ argument that better achieves Hammond’s aims. Some deny the importance of Dutch-book sure losses, however, in which case, Seidenfeld’s (Econ Philos 4:267–290, 1988a) argument that distinguishes between theories that relax independence and those that relax ordering is relevant. I unravel Seidenfeld’s argument in light of the various criticisms of it and show that the crux of the argument is somewhat different and much more persuasive than what others have taken it to be; the critical issue is the modelling of future choices between ‘indifferent’ decision-tree branches in the sequential setting. Finally, I consider how Seidenfeld’s conclusions might nonetheless be resisted. (shrink)
The aim of the paper is to propose a preferences representation model under risk where risk perception can be past experience dependent. A first step consists in considering a one period decision problem where individual preferences are no more defined only on decisions but on pairs (decision, past experience). The obtained criterion is used in the construction of a dynamic choice model under risk. The paper ends with an illustrative example concerning insurance demand. It appears that our model (...) allows to explain modifications in the insurance demand behavior over time observed on the insurance markets for catastrophic risk and difficult to justify with standard models. (shrink)
I argue that the Universal Law formulation of the Categorical Imperative is best interpreted as a test or decision procedure of moral rightness and not as a criterion intended to explain the deontic status of actions. Rather, the Humanity formulation is best interpreted as a moral criterion. I also argue that because the role of a moral criterion is to explain, and thus specify what makes an action right or wrong, Kant's Humanity formulation yields a theory of relevant descriptions.
In many real-world gambles, a non-trivial amount of time passes before the uncertainty is resolved but after a choice is made. An individual may have a preference between gambles with identical probability distributions over final outcomes if they differ in the timing of resolution of uncertainty. In this domain, utility consists not only of the consumption of outcomes, but also the psychological utility induced by an unresolved gamble. We term this utility anxiety. Since a reflective decision maker may want (...) to include anxiety explicitly in analysis of unresolved lotteries, a multiple-outcome model for evaluating lotteries with delayed resolution of uncertainty is developed. The result is a rank-dependent utility representation (e.g., Quiggin, 1982), in which period weighting functions are related iteratively. Substitution rules are proposed for evaluating compound temporal lotteries. The representation is appealing for a number of reasons. First, probability weights can be interpreted as the cognitive attention allocated to certain outcomes. Second, the model disaggregates strength of preference from temporal risk aversion and thus provides some insight into the old debate about the relationship between von NeumannâMorgenstern utility functions and strength of preference value functions. (shrink)
This article reports results of an experiment designed to analyze the link between risky decisions made by couples and risky decisions made separately by each spouse. We estimate both the spouses and the couples’ degrees of risk aversion, we assess how the risk preferences of the two spouses aggregate when they make risky decisions, and we shed light on the dynamics of the decision process that takes place when couples make risky decisions. We find that, far from being fixed, (...) the balance of power within the household is malleable. In most couples, men have, initially, more decision-making power than women but women who ultimately implement the joint decisions gain more and more power over the course of decision making. (shrink)
Decision making theory in general, and mental models in particular, associate judgment and choice. Decision choice follows probability estimates and errors in choice derive mainly from errors in judgment. In the studies reported here we use the Monty Hall dilemma to illustrate that judgment and choice do not always go together, and that such a dissociation can lead to better decision-making. Specifically, we demonstrate that in certain decision problems, exceeding working memory limitations can actually improve (...) class='Hi'>decision choice. We show across four experiments that increasing the number of choice alternatives forces people to collapse choices together, resulting in better decision-making. While choice performance improves, probability judgments do not change, thus demonstrating an important dissociation between choice and probability judgments. We propose the Collapsing Choice Theory (CCT) which explains how working memory capacity, probability estimation, choice alternatives, judgment, and regret all interact and effect decision quality. (shrink)
In a dynamic (sequential) framework, departures from the independence axiom (IND) are reputed to induce violations of dynamic consistency (DC), which may in turn have undesirable normative consequences. This result thus questions the normative acceptability of non expected-utility (non-EU) models, which precisely relax IND. This paper pursues a twofold objective. The main one is to discuss the normative conclusion: usual arguments linking violations of DC to departures from IND are shown to be actually based on specific (but usually remaining implicit) (...) assumptions which may rightfully be released, so that it is actually possible for a non-EU maximizer to be dynamically consistent and thus avoid normative difficulties. The second objective is to introduce a kind of `reality principle' (through two other evaluation criteria) in order to mitigate the normative requirement when examining adequate moods for non-EU decision making. (shrink)
Yoo (Economic Letters 37:145–149, 1991) argues that the law of iterated expectations must be violated if the probability measure of a Choquet decision maker is non-additive. In this article, we prove the positive result that the law of iterated expectations is satisfied for Choquet decision makers whenever they update their non-additive beliefs in accordance with the Sarin and Wakker (Journal of Risk and Uncertainty 16:223–250, 1998) update rule. The formal key to this result is the act-dependence of the (...) Sarin–Wakker update rule, which does not hold for the update rules considered by Yoo (1991). (shrink)
Many decisions involve multiple stages of choices and events, and these decisions can be represented graphically as decision trees. Optimal decision strategies for decision trees are commonly determined by a backward induction analysis that demands adherence to three fundamental consistency principles: dynamic, consequential, and strategic. Previous research found that decision-makers tend to exhibit violations of dynamic and strategic consistency at rates significantly higher than choice inconsistency across various levels of potential reward. The current research extends these (...) findings under new conditions; specifically, it explores the extent to which these principles are violated as a function of the planning horizon length of the decision tree. Results from two experiments suggest that dynamic inconsistency increases as tree length increases; these results are explained within a dynamic approachâavoidance framework. (shrink)
A hybrid preference framework is proposed for strategic conflict analysis to integrate preference strength and preference uncertainty into the paradigm of the graph model for conflict resolution (GMCR) under multiple decision makers. This structure offers decision makers a more flexible mechanism for preference expression, which can include strong or mild preference of one state or scenario over another, as well as equal preference. In addition, preference between two states can be uncertain. The result is a preference framework that (...) is more general than existing models which consider preference strength and preference uncertainty separately. Within the hybrid preference structure, four kinds of stability are defined as solution concepts and a post-stability analysis, called status quo analysis, which can be used to track the evolution of a given conflict. Algorithms are provided for implementing the key inputs of stability analysis and status quo analysis within the extended preference structure. The new stability concepts under the hybrid preference structure can be used to model complex strategic conflicts arising in practical applications, and can provide new insights for the conflicts. The method is illustrated using the conflict over proposed bulk water exports from Lake Gisborne in Newfoundland, Canada. (shrink)
In a stimulating paper, Piccione and Rubinstein (1997) argued how a decision maker could undertake dynamically inconsistent choices when, in an extensive form decision problem, she has a particular type of imperfect recall named absentmindedness. Such memory limitation obtains whenever information sets include decision histories along the same decision path. Starting from work focusing on the absentminded driver example, and independently developed by Segal (2000) and Dimitri (1999), the main theorem of this article provides a general (...) result of dynamically consistent choices, valid for a large class of finite extensive form decision problems without nature. (shrink)
Incorporation of the behavioral issues of the decision maker (DM) is among the aspects that each Multicriteria Decision Making (MCDM) method implicitly or explicitly takes into account. As postulated by regret theory, the feelings of regret and rejoice are among the behavioral issues associated with the entire decision making process. Within the context of MCDM, the DM may feel regret, when the chosen alternative is compared with another one having at least one better criterion value. PROMETHEE II (...) is a widely known MCDM method that makes no explicit incorporation of regret attitude of the DM. In this paper, we elaborate on the applicability of regret theory to MCDM context. In particular, we investigate the findings of regret theory and explore the parallel between regret theory and PROMETHEE II method. Relying on the concepts of regret theory, we demonstrate how a decision that is made using a PROMETHEE II based outranking method conforms to the regret attitude of the DM. (shrink)
The Barrett and Arntzenius (1999) decision paradox involves unbounded wealth, the relationship between period-wise and sequence-wise dominance, and an infinite-period split-minute setting. A version of their paradox involving bounded (in fact, constant) wealth decisions is presented, along with a version involving no decisions at all. The common source of paradox in BarrettâArntzenius and these other examples is the indeterminacy of their infinite-period split-minute setting.
While the traditional economic wisdom believes that an individual will become better off by being given a larger opportunity set to choose from, in this paper we question this belief and build a formal theoretical model that introduces decision costs into the rational decision process. We show, under some reasonable conditions, that a larger feasible set may actually lower an individual’s level of satisfaction. This provides a solid economic underpinning for the Simon prediction.
This paper proposes several concepts of efficient solutions for multicriteria decision problems under uncertainty. We show how alternative notions of efficiency may be grounded on different decision âcontextsâ, depending on what is known about the Decision Maker's (DM) preference structure and probabilistic anticipations. We define efficient sets arising naturally from polar decision contexts. We investigate these sets from the points of view of their relative inclusions and point out some particular subsets which may be especially relevant (...) to some decision situations. (shrink)
Research in psychology suggests that some individuals are more sensitive to positive than to negative information while others are more sensitive to negative rather than positive information. I take these cognitive positive–negative asymmetries in information processing to a Bayesian decision-theory model and explore its consequences in terms of decisions and payoffs. I show that in monotone decision problems economic agents with more positive-responsive information structures are always better off, ex ante, when they face problems where payoffs are relatively (...) more sensitive to the action chosen when the state of nature is favorable. (shrink)
The current note clarifies why, in committees, the prior probability of a correct collective choice might be of particular significance and possibly should sometimes even be the sole appropriate basis for making the collective decision. In particular, we present sufficient conditions for the superiority of a rule based solely on the prior relative to the simple majority rule, even when the decisional skills of the committee members are assumed to be homogeneous.
Committee decision making is examined in this study focusing on the role assigned to the committee members. In particular, we are concerned about the comparison between committee performance under specialization and non-specialization of the decision makers. Specialization (in the context of project or public policy selection) means that the decision of each committee member is based on a narrow area, which typically results in the acquirement and use of relatively high expertise in that area. When the committee (...) members’ expertise is already determined, specialization only means that the decision of each committee member is based solely on his/her relatively high expertise area. This form of specialization is potentially inferior relative to non-specialization under which the decision of each committee member is based on different areas, not just his/her relatively high expertise area. Given that the expertise of the committee members is already determined but unknown, our analysis focuses on non-specializing individuals whose decision is based on a decision rule that does not require information on the decision-making skills. Under these realistic assumptions, non-specialization is shown to be preferable over specialization, depending on the aggregation rule applied by the committee. The significance of our approach is not limited to the specific results that we obtain. Rather, it should be viewed as a first step toward a deeper examination of the role of individual decision makers in enhancing the performance of collective decision making. (shrink)
The focus here is on analytical and instrumental requirements for those collective decision exercises that lend themselves to a judgment-driven resolution. These have not as yet received much concerted technical attention from either of the two main movements in the field. They remain somewhere beyond the purview of the objectively-predicated instruments that mainstream GDSS (Group Decision Support System) designs tend to favour. Yet neither are they so inherently ill-structured as the situations with which the GDNSS (Group Decision (...) and Negotiation Support System) community is concerned, these usually allowing only a subjectively-predicated, compromisive or consensus-based conclusion. If the technical requirements peculiar to judgment-driven decision exercises are to be well met, it will be through the offices of analytical instruments that can help assure the rationality of the resolutions at which they arrive. The primary purpose of these pages is to offer some suggestions about the types of analytical instruments that might serve this end. (shrink)
Modeling risk in a prescriptively plausible way represents a major issue in decision theory. The benchmarking procedure, being based on the satisficing principle and providing a probabilistic interpretation of expected utility (EU) theory, is prescriptive. Because it is a target-based language, the benchmarking procedure can be applied naturally to finance. In finance, the centrality of risk is widely recognized, but the risk measures that are commonly used to assess risk are too poor as a decision making tool. In (...) this paper we propose a two-stage decision criterion of choice under risk that provides an application of benchmarking to finance through a risk measure. We will analyze some nonexpected utility theories, in particular lottery dependent utility, as potential frameworks for our criterion. (shrink)
Two studies examined whether simple algebraic rules that have been shown to be operative in many applied settings may also be found in sport decision-making. The theoretical framework for these studies was the Functional Theory of Cognition (Anderson, Contributions to information integration theory. Hillsdale, NJ: Erlbaum, 1996). The way in which novices but already experienced team sport players (soccer, basketball, and handball players) combine different informational cues (relative importance of the game, numerical status of the team, current score, and (...) time left to play) for deciding a quick restart of play near the end of a match was examined. The basic finding are consistent with the proposition that the knowledge bases at work for judging the appropriateness of this type of sport decisions are structured according to simple algebraic rules. (shrink)
The paper introduces the concept of polar decision rules and establishes that majority rules are polar rules. We identify second best rules and penultimate rules in cases that majority rules are optimal or the most inferior, respectively. We especially specify the almost expert rule and the almost majority rule as the secondary rules of the expert and majority rules, respectively.
Game trees (or extensive-form games) were first defined by von Neumann and Morgenstern in 1944. In this paper we examine the use of game trees for representing Bayesian decision problems. We propose a method for solving game trees using local computation. This method is a special case of a method due to Wilson for computing equilibria in 2-person games. Game trees differ from decision trees in the representations of information constraints and uncertainty. We compare the game tree representation (...) and solution technique with other techniques for decision analysis such as decision trees, influence diagrams, and valuation networks. (shrink)
The theory of Markov decision processes (MDP) can be used to analyze a wide variety of stopping time problems in economics. In this paper, the nature of such problems is discussed and then the underlying theory is applied to the question of arranged marriages. We construct a stylized model of arranged marriages and, inter alia, it is shown that a decision maker's optimal policy depends only on the nature of the current marriage proposal, independent of whether there is (...) recall (storage) of previous marriage proposals. (shrink)
The paper describes a methodology to be used for analysis and design of human activity systems. The methodology is based on an analysis of the decision settings whereas most other decision analysis methodologies are analysing the process. The decision concept is analysed and discussed. A distinction between programmed and programmable as well as non-programmed and non-programmable decisions is proposed. A classification of different information types for decision making is presented. A methodology based on a systemic and (...) systematic analysis of the information requirements of an organization is proposed. This methodology also indicates organizational discrepancies and information imbalances. The methodology focuses the settings of the decisions on all levels of organizations. The methodology can be regarded as a dynamic, learning system. The author proposes further research on the individuals decision making abilities. (shrink)
Across two studies the hypotheses were tested that stressful situations affect both leadership ethical acting and leaders' recognition of ethical dilemmas. In the studies, decision makers recruited from 3 sites of a Swedish multinational civil engineering company provided personal data on stressful situations, made ethical decisions, and answered to stress-outcome questions. Stressful situations were observed to have a greater impact on ethical acting than on the recognition of ethical dilemmas. This was particularly true for situations involving punishment and lack (...) of rewards. The results are important for the Corporate Social Responsibility (CSR) of an organization, especially with regard to the analysis of the Stressors influencing managerial work and its implications for ethical behavior. (shrink)
We present a comprehensive model that integrates virtues, values, character strengths and ethical decision making (EDM). We describe how a largely consequentialist ethical framework has dominated most EDM scholarship to date. We suggest that reintroducing a virtue ethical perspective to existing EDM theories can help to illustrate deficiencies in existing decision-making models, and suggest that character strengths and motivational values can serve as natural bridges that link a virtue framework to EDM in organizations. In conjunction with the more (...) fully formulated extant research on situational determinants, we present and discuss our model that introduces a virtue based orientation to EDM. (shrink)
Organizational leaders face environmental challenges and pressures that put them under ethical risk. Navigating this ethical risk is demanding given the dynamics of contemporary organizations. Traditional models of ethical decision-making (EDM) are an inadequate framework for understanding how leaders respond to ethical dilemmas under conditions of uncertainty and equivocality. Sensemaking models more accurately illustrate leader EDM and account for individual, social, and environmental constraints. Using the sensemaking approach as a foundation, previous EDM models are revised and extended to comprise (...) a conceptual model of leader EDM. Moreover, the underlying factors in the model are highlighted—constraints and strategies. Four trainable, compensatory strategies (emotion regulation, self-reflection, forecasting, and information integration) are proposed and described that aid leaders in navigating ethical dilemmas in organizations. Empirical examinations demonstrate that tactical application of the strategies may aid leaders in making sense of complex and ambiguous ethical dilemmas and promote ethical behavior. Compensatory tactics such as these should be central to organizational ethics initiatives at the leader level. (shrink)
Is Bayesian decision theory a panacea for many of the problems in epistemology and the philosophy of science, or is it philosophical snake-oil? For years a debate had been waged amongst specialists regarding the import and legitimacy of this body of theory. Mark Kaplan had written the first accessible and non-technical book to address this controversy. Introducing a new variant on Bayesian decision theory the author offers a compelling case that, while no panacea, decision theory does in (...) fact have the most profound consequences for the way in which philosophers think about inquiry, criticism and rational belief. The new variant on Bayesian theory is presented in such a way that a non-specialist will be able to understand it. The book also offers new solutions to some classic paradoxes. It focuses on the intuitive motivations of the Bayesian approach to epistemology and addresses the philosophical worries to which it has given rise. (shrink)
In this book, Isaac Levi denies this assumption, arguing instead that agents often should choose without having balanced the competing values and that rationality does not require that an act be optimal, only that it be what Levi terms 'admissible'. He explains the consequences of denying this assumption, and develops a general approach to decision making under unresolved conflict. He investigates the phenomenon of conflicting values in several areas, in each of which he develops a framework for rational deliberation (...) between options. The bearing of the theory on moral dilemmas, scientific inference, decision making under risk and uncertainty, and theories of social welfare are all considered. (shrink)
Personal values have long been associated with individual decision behavior. The role played by personal values in decision making within an organization is less clear. Past research has found that managers tend to respond to ethical dilemmas situationally. This study examines the relationship between personal values and the ethical dimension of decision making using Partial Least Squares (PLS) analysis. The study examines personal values as they relate to five types of ethical dilemmas. We found a significant positive (...) contribution of altruistic values to ethical decision making and a significant negative contribution of self-enhancement values to ethical decision making. (shrink)
How do business leaders make ethical decisions? Given the significant and wide-spread impact of business people’s decisions on multiple constituents, how they make decisions matters. Unethical decisions harm the decision makers themselves as well as others, whereas ethical decisions have the opposite effect. Based on data from a study on strategic decision making by 16 effective chief executive officers, I propose a model for ethical decision making in business in which reasoning and intuition interact through forming, recalling, (...) and applying moral principles necessary for long-term success in business. Following the CEOs in the study, I employ a relatively new theory, rational egoism, as the substantive content of the model and argue it to be consistent with the requirements of long-term business success. Besides explaining the processes of forming and applying principles, I briefly describe rational egoism and illustrate the model with a contemporary moral dilemma of downsizing. I conclude with implications for further research and ethical decision making in business. (shrink)
Abstract: In this study, we test the interactive effect on ethical decision-making of (1) personal characteristics, and (2) personal expectancies based on perceptions of organizational rewards and punishments. Personal characteristics studied were cognitive moral development and belief in a just world. Using an in-basket simulation, we found that exposure to reward system information influenced managers’ outcome expectancies. Further, outcome expectancies and belief in a just world interacted with managers’ cognitive moral development to influence managers’ ethical decision-making. In particular, (...) low-cognitive moral development managers who expected that their organization condoned unethical behavior made less ethical decisions while high cognitive moral development managers became more ethical in this environment. Low cognitive moral development managers also behaved less ethically when their belief in a just world was high. (shrink)
Recent allegations of unethical decision-making by leaders in prominent business organizations have jeopardized the world’s confidence in American business. The purpose of this research was to develop a measure of managerial moral judgment that can be used in future research and managerial assessment. The measure was patterned after the Defining Issues Test, a widely used general measure of moral judgment. With content validity as the goal, we aimed to sample the domain of managerial ethical situations by establishing links to (...) dimensions of managerial performance, as well as to the types of organizational justice issues managers encounter. Proposed scenarios were evaluated for realism by ethics officers and human resource managers. Results indicated that the new measure is reliable and correlates with a number of relevant variables in the hypothesized manner, demonstrating evidence of construct validity. Implications for future research and for human resources management are discussed. (shrink)
I argue that standard decision theories, namely causal decision theory and evidential decision theory, both are unsatisfactory. I devise a new decision theory, from which, under certain conditions, standard game theory can be derived.
Rules are a central component of such diverse enterprises as law, morality, language, games, religion, etiquette, and family governance, but there is often confusion about what a rule is, and what rules do. Offering a comprehensive philosophical analysis of these questions, this book challenges much of the existing legal, jurisprudential, and philosophical literature, by seeing a significant role for rules, an equally significant role for their stricter operation, and making the case for rules as devices for the allocation of power (...) among decision-makers. (shrink)
This paper reports on a study of ethical decision-making in a fair trade company. This can be seen to be a crucial arena for investigation since fair trade firms not only have a specific ethical mission in terms of helping growers out of poverty, but they tend to be perceived as (and are often marketed on the basis of) having an "ethical" image. Eschewing a straightforward test of extant ethical decision models, we adopt Thompson''s proposal for a more (...) contextualist understanding rooted in ethnographic data. Our findings suggest that the fair trade mission of the firm is experienced as an over-riding ethical claim, which is often invoked to justify potentially ethically questionable decisions. Moreover, decision precedents emerge which can mean that the decision process is bypassed or hurried through. Finally we provide evidence that the significance of these precedents, and indeed, even moral intensity itself, could be actively shaped and constructed by organization members to support different, even shifting, conceptions of what is a morally acceptable decision for a fair trade company to make. (shrink)
The Intergovernmental Panel on Climate Change has developed a novel framework for assessing and communicating uncertainty in the findings published in their periodic assessment reports. But how should these uncertainty assessments inform decisions? We take a formal decision-making perspective to investigate how scientific input formulated in the IPCC’s novel framework might inform decisions in a principled way through a normative decision model.
This paper aims to identify the decision support systems and their role on the strategic management development in the Universities- Case Study: Islamic University of Gaza. The descriptive approach was used where a questionnaire was developed and distributed to a stratified random sample. (230) questionnaires were distributed and (204) were returned with response rate (88.7%). The most important findings of the study: The presence of a statistically significant positive correlation between the decision support systems and strategic management in (...) the Islamic University in Gaza, and this shows that there is a role for decision support systems in strategic management development. The senior management is convinced of the importance of strategic management of the organization, and this conviction paid to clearly understand the process of the development of strategic management and thus led to a commitment to this process to improve its performance. There is an impact on the strategic management of the capabilities available for the use of decision support systems, and the type of decision support systems used, while there is little effect of top management support for the use of decision support systems. Also, the results showed that there were no statistically significant differences between the averages of the respondents answers attributed to personal data. The research also concluded a series of recommendations: The Islamic University of Gaza need to develop its infrastructure of decision support systems when it develops the strategic management. It should increase its interest in organizational potential through the necessity of a separate unit for decision support systems. As well as increased interest in the physical and technical capabilities available to decision support systems through continuity in keeping pace with technological means and techniques, continued support of senior management in the organization of strategic management for its positive role on decision support systems, that senior management will continue in the organization in creating a culture of strategic management, and it should encourage employees to participate in the strategic management process. (shrink)
In this paper, we explore the impact of individualism and collectivism on three basic aspects of ethical decision making - the perception of moral problems, moral reasoning, and behavior. We argue that the inclusion of business practices within the moral domain by the individual depends partly upon individualism and collectivism. We also propose a pluralistic approach to post-conventional moral judgment that includes developmental paths appropriate for individualist and collectivist cultures. Finally, we argue that the link between moral judgment and (...) behavior is related to individualism and collectivism. (shrink)
Providing a vibrant four-color design, market-leading BUSINESS ETHICS: ETHICAL DECISION MAKING AND CASES, Ninth Edition, thoroughly covers the complex environment in which managers confront ethical decision making. Using a proven managerial framework, this accessible, applied text addresses the overall concepts, processes, and best practices associated with successful business ethics programs--helping readers see how ethics can be integrated into key strategic business decisions. Thoroughly revised, the new ninth edition incorporates coverage of new legislation affecting business ethics, the most up-to-date (...) examples, and the best practices of high-profile organizations. It also includes 20 all-new or updated original case studies. (shrink)