A growing number of researchers in the business ethics field have used scenarios as a data gathering technique in their empirical investigations of ethical issues. This paper offers a review and critique of 26 studies that have utilized scenarios to elicit inferences of ethical reasoning, decision making, and/or intended behavior from managerial or student populations. The use of a theoretical foundation, the development of hypotheses, various characteristics germane to the use of scenarios, population and sampling issues, and the use of (...) statistical measures are explored and assessed. In the interest of improving scenario-based research, ten recommendations are presented to guide future scenario research. (shrink)

Managers often face situations that challenge their ability to reason morally. Avariety of factors, including the issue itself and personal and organizational influences, may affect their responses. Using Kohlberg’s moral development theory and the Adapted Moral Judgment Interviewtechnique, we examine the influences of context, age, gender, type of work, and industry membership on 308 managers’ moral reasoning. No significant differences are found when considering age or gender. Differences are discovered when assessing the context of the dilemmas, managers’ type of work (...) (managerial vs. technical), and industry membership (manufacturing vs. service). Implications from our findings are discussed. (shrink)

This paper presents an adaptation of Lawrence Kohlberg's Moral Judgment Interview and Standard Issue Scoring method. The adaptation emphasizes four points: (1) a mixture of less familiar and more familiar moral dilemmas, (2) followup questions which probe managers' moral reasoning by focusing upon key organizational values, (3) the flexibility of utilizing either an oral or written interview method, and (4) a simpler, yet reliable, system for scoring the managers' responses and identifying their stage of moral reasoning. An empirical investigation found (...) that each adaptation could enhance the assessment of managers' moral reasoning. (shrink)

Using Ajzen's Theory of Planned Behavior and Kohlberg's Theory of Moral Development, we look at individual beliefs (What should I do?), intention (What would I do?), and actual behaviors (What did I do?) and the rationale used in each instance. Of the 12 hypotheses, 10 are strongly supported and 2 are moderately supported. This data set shows that significant differences exist between belief and action, belief and intention, and intention and action; the rationales used to support belief, intention, and action (...) differ from one another. Implications for academic research and managerial practice are discussed and research limitations are examined. (shrink)

Reoccurring instances of unethical employee behavior raises the question of the effectiveness of organization’s employee ethics training programs. This research seeks to examine employee ethics training programs among US-based global organizations by asking members of the Ethics and Compliance Officer Association to describe various elements of their organizations’ ethics training programs. This investigation and assessment reveal that there are some effective aspects of ethics training but five serious concerns are identified and discussed as potential contributions to the lack of ethics (...) among business organizations’ employees. (shrink)

Values theory posits that individuals have values and they are formed by upbringing and life’s experiences and influence an individuals’ cognitive processes, decisions, and behavior. Emerging onto the business scene is a new population group, the Millennials. This research seeks to explore Millennials’ values from the viewpoint of their personal value orientation. Managerial PVO from the 1980s and 2010s are used as comparative populations. The Millennials’ PVO is generally consistent with managerial PVO from past research. They tend toward a Personal, (...) rather than Social, and Competence, rather than Moral, value orientation. Yet, some subtle differences emerged. Millennials are more self-focused and less other-focused than managers from the 1980s or 2010s. They emphasize competency skills more than today’s managers but less than the managers of the 1980s and place more worth on moral values than managers of the 1980s but less than today’s managers. (shrink)

This paper acknowledges the paucity of attention regarding the development of ethics programs within an academic environment and describes in a case study how the Duquesne University schools of business attempted to introduce, integrate and promote its own ethics program. The paper traces the business school’s attention to mission statements, curriculum development, ethics policy, program oversight and outcome assessment. Lessons learned are offered as suggestions for others seeking to develop and implement an ethics program in their school.

This research explores the relationship of variant degrees of a country’s economic freedom to the ethical profiles of millennial business students, specifically an individual’s personal value orientation and post-conventional reasoning. Grounded in Social Identity, Personal Values, and Cognitive Moral Development theories, we construct an ethical profile to compare responses provided by millennial business students from eight countries. Our results suggest that a country’s degree of economic freedom has some association with an individual’s ethical profile, yet we also discuss other national (...) influences on an ethical profile. These results and their implications are discussed in the article. (shrink)

The introduction and validation of a new instrument, The Moral Reasoning Inventory, designed to measure an individuals' moral reasoning (MR) in response to two moral dilemmas within a business setting is the subject of this article. The instrument consists of two moral dilemma scenarios with eight MR statements. Two measurement scales were used for analyzing patterns of individual responses: the strength of belief in the reasons and the importance of those reasons for resolving the dilemma. Managers enrolled in a part-time (...) MBA program were administered the new instrument. Data analysis clearly supported the effectiveness of the instrument to differentiate patterns of consistency in MR within decision groups. (shrink)

Grounded upon the late 1970s phrase "institutionalizing ethics into business," I present a multi-component model and research agenda to enhance our understanding of organizations' efforts to integrate ethics into the daily decision-making process of employees. Three research foci are emphasized: (I) the need to establish consistent categorical frameworks to describe business organizations' efforts in the field, (2) the study of the interrelationships between the various components presented in the model, and (3) the exploration of the linkage between organizational efforts to (...) institutionalize ethics and ethical employee behavior. Research and organizational implications evolving from these research foci are discussed. (shrink)

In a rare opportunity, the authors gathered data from two matched health care providers managed by an insurance company where auditors had discovered theft by employees in one of the matched organizations. Data were gathered about the organizations' ethical work climates (EWCs). Analysis revealed statistically significant differences in EWCs across the two organizations. As predicted, the organization with the morally preferred EWCs did not have theft. Both macro- and micro-organizational influences are explored to explain these differences, along with implications for (...) practitioners and academic research. This is the first study to suggest that a priori EWCs can be useful in predicting observable behavior. (shrink)

Relying on an expanded view of leadership and the moral reasoning framework developed by Lawrence Kohlberg (1981), this study explores the moral reasoning of the chief executive officers at the 11 largest automobile manufacturers in the world. Using the CEO's letter to their stakeholders found in the organizations' annual social responsibility reports, the CEOs' moral reasoning is compared to other managers' moral reasoning, and the moral reasoning exhibited within the CEO group is analyzed for differences due to regional location. Contrary (...) to conventional understanding based on prior research, the CEOs in our sample did not exhibit moral reasoning at a higher level than a cross section of managers but there were differences within the sample of CEOs when looking at nationality. Implications of these results for CEOs, managers, academics, and others are explored. (shrink)

This research investigates managerial value orientations using the Rokeach Value Survey to assess the importance managers assign to various values. While prior work and select organizational theory posit that MVO will not change over time, the data are analyzed to determine if the MVO of mid- to upper-level managers, the key decision-makers in most organizations, has remained generally the same or has changed from one generation to another. The results show that the MVO of managers from 1990 is significantly different (...) than the MVO of managers today. The greatest difference lies in the MVO area of competence versus moral values, with more managers emphasizing a moral value orientation than previously. Therefore, the data indicate there is a noticeable shift in MVO over the past 20+ years. The implications of the results reported are discussed, along with suggestions for future managerial values research. (shrink)

This research builds on previous investigations seeking to understand how individuals reason about moral problems. Our research includes a preliminary investigation about Millennials and a cross‐generational analysis using secondary research data to understand this emerging generation's moral reasoning and assess trends in moral reasoning over time. This study addresses content‐bias in moral reasoning by using a new instrument with business‐based dilemmas, the Moral Recognition Interview, based on the well‐established moral reasoning framework of Lawrence Kohlberg. Results show that the Millennials in (...) this study exhibit differences in moral reasoning based on gender, intelligence, work experience, and academic major, however not necessarily in an expected manner. Differences in moral reasoning were found when the context or “story pull” of the ethical dilemmas presented is considered. In addition, a comparison to other studies shows that business student Millennials tend to reason at lower levels of cognitive moral reasoning than non‐business college students, as well as college students in the 1960s–1970s (Baby Boomers) and in the 1980s–1990s (Generation Xers). (shrink)

Our research extends the current understanding of cognitive moral reasoning research by considering the often‐overlooked element of context, specifically the issue presented in the ethical dilemma, and the issue of gender agreement between the subject and the dilemma actor. We rely on gender identity and cognitive moral reasoning theories to provide the theoretical underpinnings of our exploration to deepen our understanding of the contextual forces affecting cognitive moral reasoning. Our results generally confirm earlier research findings and provide valuable information regarding (...) our understanding of the impact of the dilemma context and the gender agreement or disagreement between the subject and the actor in an ethical dilemma, with significance found for four of our five hypotheses, with half of the significant results in the direction predicted. Implications for future academic research and business practice are discussed. (shrink)

Bribery in international business has become a priority concern among business, government, and community leaders. While discussions among philosophers often emphasize the ethical justification for banning bribery, policy-makers around the world are challenging it on the basis of its effects for economic development. In this paper we define bribery, trace recent efforts by the public, private, and civil society sectors to curb it, and attempt to answer the question: Will bribery become less common?

Millennials are a powerful workforce group and are quickly becoming established business leaders, consumers, and investors. Yet, millennials are often described as a uniformly homogeneous generation, despite mounting evidence of variances across their private and workplace behaviors, attitudes and preferences, and personal values. This article examines the personal value orientations of millennials in the Unites States, reporting consistencies, variations, and contrasts based on a large sample drawn from seven diverse universities. Results of this article suggest more similarities across a national (...) population of millennials than differences, suggesting a national identity among American millennials. Practical implications of our findings and future research are discussed. (shrink)

Focusing on millennials, individuals born between 1980 and 2000 and representing the largest generational population in our history, this research seeks to understand their ethical decision-making processes by exploring the distinctive, yet interconnected, theories of personal values and cognitive moral reasoning. Utilizing a decision-making framework introduced in the 1990s, we discover that there is a statistically supported relationship between a millennial’s personal value orientation and stage of cognitive moral reasoning. Moreover, we discover a strong relationship between three of the four (...) value orientations and a corresponding stage of cognitive moral reasoning. The theoretical and practical research implications of our discovery about millennials’ decision making are discussed. (shrink)

The Millennials, people born between 1980 and 2000, are poised to have a profound impact on our society but are often treated as a homogenous generation. While some prior research on generations posits that there are a number of consistencies across a generation, others argue that differences may emerge and distinguish individuals within a generation. Based on prior business ethics literature, this research dissects the Millennial's personal value orientations to explore if demographic differences, such as gender, amount of work experience, (...) business discipline specialization, and academic performance reveal variations in the ethical profile manifested by Millennials. The results from this research show that there are indeed numerous and significant statistical differences within the Millennials' PVO dataset. Variations are found when exploring nearly every demographic variable considered. Implications of these findings are discussed. (shrink)

Business and Society Review, Volume 127, Issue S1, Page 253-282, Spring 2022.

Most business ethics scholars interested in understanding individual moral cognition or reasoning rely on the Defining Issues Test. They typically report that managers and business students exhibit a relatively high percentage of principled moral reasoning when resolving ethical dilemmas. This article applies neurocognitive processes and Bloom’s Taxonomy of Educational Objectives, and its more recent revision, as theoretical foundations to explore whether differences emerge when using a recognition of learning task, such as the DIT or similar instruments, versus a formulation of (...) knowledge task, such as the Moral Judgment Interview or similar instruments, to assess individual moral reasoning. The data show that significantly different levels of moral reasoning are detected when using a recognition-based versus formulation-based moral reasoning instrument. As expected, the recognition-based approach reports an inflated, higher moral reasoning score for subjects compared with using a formulation-based instrument. Implications of these results for understanding an individual’s moral reasoning are discussed. (shrink)

The corporate financial performance (CFP)–corporate social performance (CSP) relationship has been investigated many times over the past few decades, yet the notion of CSP has generally been understood to be a single, monolithic aspect of corporate strategy. This article examines the common CFP–CSP understanding in three distinct ways: (1) by extending the evaluation of CSP as a complex, multistakeholder notion; (2) by analyzing CSP's relationship with the firm's financial performance at a given point in time as a lead (independent) variable (...) in the relationship and as a lag (dependent) variable in the relationship; and (3) for both positive and negative stakeholder relationships. The results indicate that the employee emerges as the stakeholder group most strongly linked to CFP, followed by the consumer stakeholder. The natural environment and the community stakeholder group are minimally associated with CFP. General support is found for a CFP–CSP relationship at a given point in time, with some support found for CSP as a lead (independent) variable. When used as a measure of financial performance, return on assets is more often correlated with CSP than is return on equity. These results and their implications are discussed. (shrink)

This review offers a cautious acceptance ofthe Multidimensional Ethics Scale (MES) developed by Robin, Gordon, Jordan and Reiden-bach. While the contribution of the MES to future empirical research of individuals’ moral reasoning is welcomed, a number of reservations or criticisms are raised regarding theory confusion, instrument confusion, and fears arising when using the MES. I conclude that the MES is a valuable compliment to existing moral reasoning instruments - the Moral Judgment Interview and the Defining Issues Test - but not (...) a replacement of these instruments. (shrink)

Scholars and practitioners have wondered and debated over the participation of business organizations in the corporate social environment as well as argued over the successes or limitations of such participation. The authors examined six firms' corporate social responsibility activities within the beer industry in an effort to identify and compare these firms' stakeholder relations. The results have implications in our understanding and assessment of corporate social responsibility practices both within and across business industry groups.

A research instrument is developed and preliminarily validated to formally measure the level of national business ethics activity for any country in the world. The seven dimensions measured include (a) academia, (b) business, (c) social or ethical investment, (d) business ethics organizations, (e) government activity, (f) social activist groups, and (g) media coverage. Results from the validation survey and examples are provided for each of the dimensions. The article concludes with future research directions for the instrument.

Within the past few years, a new generation has joined the ranks of business managers or is preparing to become business managers: Generation Z (Gen Z), described as individuals born between 1995 and 2010. This paper has two aims: (1) to assess the Gen Z cohort framed by their value orientation preferences (VOP) and the importance given to principled moral reasoning (PMR) using values and cognitive moral reasoning theories and (2) to compare this information about the Gen Z cohort to (...) prior generations. Using the Rokeach Value Survey and the Moral Reasoning Inventory, we uncovered support for our expectations that Gen Zs would have a balanced set of VOP—that is, similar preferences for a personal and a social value orientation and similar preferences for a competence and moral value orientation. Further, Gen Z preferences are unlike prior generations. The importance given to principled moral reasoning to resolve ethical dilemmas is lower than Baby Boomers and Gen Xers but surprisingly higher than Millennials as found in prior studies. Implications of these discoveries and suggestions for future research are presented. (shrink)

ABSTRACTInitially, a brief history of Buddhism and Confucianism describes for the reader a framework developed to determine right versus wrong action and to guide followers of these religions to do the right thing in social or business practice. In addition, this article uncovers exemplary business practices grounded in Buddhist and Confucian ethical values system and practiced in the global business arena and uses these discoveries to describe an application of Buddhist and Confucian ethical values systems. The result is the recognition (...) that these ethical values systems have an honorable and moral place in global business practice. (shrink)

A review of extent business ethics research uncovered well over 200 published articles that investigated the role of job functions within a business organization as an explanatory factor of ethical or unethical behavior. While an important body of work, ethical breaches are often found to cut across job functions and involve multiple disciplines embedded in a business organization. This research seeks to explore a crossfunctional explanation for ethical reasoning by using an instrument new to business ethics research, the Wason selection (...) task, but well-grounded and validated in cognitive research and evolutionary psychology, to assess an individual's ability to detect rule-based social contract violations. A sample of 276 full-time business practitioners, enrolled in part-time M.B.A. programs, from the accounting, finance, information technology, marketing, supply chain, and human resource management job functions were compared on their ability to detect rule violators across a series of production scenarios in the Wason selection task. Rates of cheater detection were calculated to determine if substantive differences existed across job functions. This was followed by a series of pairwise comparisons of percentages of cheater detection across the job functions using z-tests for assessing statistical significance. The data analysis showed differences in cheater detection, with most of the variance due to the marketing job function group. Insights from this study for scholars, educators, and practitioners in the business ethics field are discussed. (shrink)

This paper takes a critical look at the empirical studies assessing the effectiveness of teaching courses in business and society and business ethics. It is generally found that students' ethical awareness or reasoning skills improve after taking the courses, yet this improvement appears to be short-lived. The generalizability of these findings is limited due to the lack of extensive empirical research and the inconsistencies in research design, empirical measures, and statistical analysis across studies. Thus, recommendations are presented and discussed for (...) improving the generalizability and sophistication of future research efforts in this area. (shrink)

Many business schools profess a commitment to ethics in their mission statements and focus a spotlight on the intersection between the university’s mission and attention to business ethics. To explore this trend, we analyze a sample of students’ values from two universities with an explicit religious foundation and recognized commitment to ethics against students from another university where this attention is not as explicit. This study identifies the personal values orientations (PVOs) for these students, born between 1980 and 2000, thus (...) millennials, and considers if differences can be attributed to the university’s culture and mission or business school curriculum. We utilize Social Identity Theory as a promising framework for illuminating these considerations. Our results confirm that a religious‐orientation characterizing a university’s mission may influence the business students’ (or millennials’) PVOs. Students at the two religious institutions manifested a stronger social, rather than personal, and moral, rather than competence, value orientation. Only marginal differences were discovered when assessing within group differences in the value orientations among our sample of business students. (shrink)

In addition to a person's character and training, the organization's ethical work climate (EWC) can assess how the organization influences an individual's ethical decision-making process by examining the individuals' perception of "what is the right thing to do" in a particular organizational environment. Relatively little research has explored which EWCs dominate military units and the impact of organizational role and environmental uncertainty on individuals in the military and their ethical decision making. In this study, we examined the predominant EWCs among (...) military units and found that certain organizational influences are associated with the specific EWCs. Based on these discoveries, we discuss the implications of EWC studies and the influence of organizational role and environmental uncertainty for researchers, as well as military leaders. (shrink)

Business Ethics, the Environment &Responsibility, EarlyView.

A new instrument, The Moral Reasoning Inventory, designed to measure moral reasoning responses to moral dilemmas within a business setting is the subject of this paper. The instrument consists of two moral dilemma scenarios with eight moral reasoning statements. Two measurement scales were used for rating responses on the strength of belief in the reasons and the importance of the reasons for resolving the dilemma. Data analysis clearly supported theeffectiveness of the instrument to differentiate patterns of consistency in moral reasoning (...) within decision groups. (shrink)

This research reports on the current state of ethics and compliance programs among business organizations in the United States. Members of the Ethics and Compliance Officers Association (ECOA), the premier professional association for managers working in this field, were asked to provide in-depth responses to a series of questions covering various elements of their corporate ethics and compliance programs. The findings from this analysis indicate that ethics and compliance programs have multiple components that are implemented developmentally, are influenced by regulatory (...) and legal efforts and have evolved into more sophisticated approaches that include risk assessment and employee performance appraisal. However, these programs remain vulnerable to sufficient resource allocation by the organization to be fully effective. (shrink)

Appropriate concerns about cost and unequal access to healthcare have resulted in the creation of powerful managed networks seeking to share the risks of high healthcare costs among plans, providers, and patients. Much to their credit, these managed networks have slowed the rise in healthcare spending by as much as 44% in markets with high HMO penetration. However, whether these savings will materially improve access and quality remains to be seen.

Recent studies suggest that trust is culturally determined and that differentials in trust exist globally between cultures. The trusting culture may be an artifact given that there is little empirical support for such a notion. The results of an international survey of 122 business leaders failed to reveal significant differences in trust between cultures.

This symposium created a circle of trust between IABS Fellows in attendance and other attendees around the issue of co-creating a vision for IABS 2050. A circle of trust is exploratory, inclusive, respectful of difference, open to new insights and perspectives, while being bound together by a shared commitment to co-learning and co-creation via the sense-making interaction of self and other. The session focused on four core questions: What are the major issues and obstacles to a flourishing future for business (...) in society as a field? What topics and issues should the field be emphasizing now and into the foreseeable future? How do we collectively build a flourishing future? What role(s) should IABS play in that future? (shrink)

As business and society is an inherently multi-disciplinary scholarly area, the book will draw from work in areas outside of business and management, such as psychology, sociology, philosophy, religious studies, economics and other related fields, as well as the natural sciences, education, and other professional areas of study.

The business ethics education literature provides many in-depth explorations looking at the impact of ethics education and occasionally the influence of gender. Yet, research exploring decision making is primarily focused at the individual level, often omitting important influences that might occur when decision making occurs within a group setting. This paper utilizes a classroom simulation, the Corporate Policy Simulation, in a Business, Government and Society course to assess student group decision-making. We rely on theoretical principles found in Social Role Theory (...) and two philosophical ethics of moral reasoning to assess the impact of gender within a group decision-making environment. Specifically, we assess if males in our study are better able to process financial decisions more effectively than females in our study, and if females in our study tend to process socially responsible or ethical decisions more effectively than males in our study. Our results support the expectations that all-female groups generally are able to make better socially responsible or ethical decisions, whereas there is no significant gender difference among any of the groups when focusing on financially orientated decisions. Possible explanations and the implications of this research on workplace practice and business ethics education are discussed. (shrink)

Ethical work climate, introduced by Bart Victor and John Cullen, plays a central role in the business ethics literature due to its influence on employee’s ethical decision-making. Yet, the often-used framework is limited as a descriptive and prescriptive model because it lacks a normative focus and does not allow for organizations guided by universal ethical principles. We revisit Victor and Cullen’s original conceptualization of ethical climate and propose a reformulation of the ethical criteria to be conceptually consistent with Kohlberg’s theory (...) of cognitive moral development and to accommodate principled climates. We also describe how the locus of analysis dimension can be simplified to allow for a more parsimonious and potentially more valid theory. In doing so, we eliminate redundancy noted in the original model and clarify normative preference among the ethical climate types. We discuss implications for research, teaching, and practice. (shrink)

Based on Davenport’s (1998) social audit, we examined six firms’ corporate social responsibility activities within the beer industry in an effort to identify and compare these firms’ industry social standing. The results have implications in our understanding and assessment of corporate citizenship practices both within and across business industry groups.