Diabco Corporation, consisting of both domestic and international operations, aspires to be a world class company. Assumption of that status requires Diabco to develop a profile as a responsible member within the world community. Attributing morality to a corporation may seem somewhat inappropriate because it is merely an artificial entity. Yet, a corporation is only as ethical as its agents. At a minimum, Diabco must meet legal requirements, but the development of moral responsibility requires a conscious effort by all corporate (...) agents to avoid harming others. To appraise the company''s moral condition, the authors constructed the premise that Diabco conducted a comprehensive moral audit. Although the concept of a moral audit is still a relatively undeveloped appraisal activity, the purpose of the study is to demonstrate the desirability, feasibility, and possible inadequacies of such an endeavor. (shrink)

Much debate has occurred as to whether or not moral responsibility should be ascribed to corporate entities. The present study advances the theory that moral responsibility is a self-imposed or attributable aspect of corporate operations which extends beyond the parameters established by law.In this context, the corporation must consciously endeavor to discharge its moral responsibility to avoid, minimize, eliminate and compensate for the potential or actual harm which its operations cause. To achieve this objective, consideration is given to the establishment (...) of a Moral Audit Committee, an internal monitoring mechanism, with a proposed generic structure. The corporate Mission Statement and Code of Ethics play a vital role as well in building an institutional environment which supports this self-appraisal process. With this system in place, the ambit of a Moral Audit is then examined. This study concludes with a case analysis, which partly depicts the Moral Audit process. (shrink)

The debate on whether and how to teach business ethics in graduate business programs continues. The authors of this article suggest specific content and processes for a course aimed at giving MBA candidates the awareness, tools, and mental processes necessary to recognize and address ethical issues in decision making. The inclusion of labor law, discrimination issues, consumer protection legislation, securities laws, and an overview of the U.S. Constitution and the Bill of Rights coupled with the development of utilitarian, deontological, and (...) egalitarian analysis of ethical issues provides the tools and processes necessary for ethical decision making. These tools and processes are applied in several class experiences using cases, moral audits, and the development of a code of ethics to help students acquire the knowledge, skills, and values needed in ethical decision making. (shrink)

Smokers and nonsmokers possess equal rights but those rights conflict with each other in the use of shared facilities. Medical research has established that smoking harms not only those who use the product but also those who are passively exposed to it. Laws and private regulation of smoking in shared facilities have resulted in the segregation of smokers from nonsmokers to an outright ban of tobacco use. Such controls have provided unsatisfactory results to both groups. An acceptable ethical solution, based (...) on reduction of harm and compensation, can be derived by applying Moral Audit principles, supported by economic analysis, which does not unduly curtail the rights of both parties as to the use of tobacco products. (shrink)