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mEthicists use the term ethics to refer primarily to the

study of morality.
mEthics deals with morality but it is not quite same as
morality.
Y Ethics is a kind of investigation which includes both:
the activity of investigating and the result of that
investigation.

Y Where as morality is the subject matter that ethics


investigates.
2  

Y @orality is concerned with developing moral


standards which include the norms we have about the
kind of actions we believe are morally good or bad, as
well as the values we place on the kind of objects we
believe are morally good or morally bad.

Y @oral norms are expressed as general rules or


statements. In giving judgments we decide what things
are good or bad. Our judgments are based on
standards of some kind.
á      
Y @oral standards deal with matters we think can
seriously injure or benefit human beings.

Y @oral standards are not changed or established by the


decision of particular authoritative bodies. Their
validity rests on the adequacy of the reasons that are
taken to support and justify them, so long as these
reasons are adequate, the standards remain valid.
Y @oral standards should be preferred against other
values like self interest. It is wrong to choose self
interest over morality.

Y @oral standards are based on impartial consideration.

Y @oral standards are associated with special emotions


and special vocabulary.
ú  á  
There are basically four ethics theories which needs to
be discussed:-
Y Teleological Ethics Theory

Y Deontological Ethics Theory

Y Éirtue Ethics Theory

Y System Development Ethics Theory


        

End Justifies means or the ethical value of actions.


Types of Teleological Ethics Theory

÷  Ethical Egoism < n action is good if it produces


results that maximize a persons self interest even at
the cost of others.
There are two types of ethical egoism, these are:-
Psychological Egoism and Enlightened Egoism
Y Psychological Egoism-People always and only want some
thing for themselves whenever they act(that goes against
genuine altruism).
Y Enlightened Egoism- It fulfills the long range self interest
of the actors, also exercises altruistic concern for others.
(B)tilitarianism < n action is good if it produces greatest
amount of happiness for greatest number of stake holders.
© Eudaimonism < n action is good if it promotes the
fulfillment of objectives having human nature and for
human happiness.
²        

n action is morally right irrespective of its


consequences. @eans justifies the ends.
Types of Deontological Ethics Theory
÷  egative and Positive Rights Theories < n action
is right if it protects people from the illegal
interference by other people or government in
exercising that right(negative). n action is right if it
facilitates any individual in whatever way he wants
to survive.
(B) Social Contract Theories < n action is good if it
conforms to the agreed upon terms and conditions
meant for social welfare which has been negotiated by
the competent parties.

© Social Justice Theories < n action is good if it


facilitates the duty of fairness in the distributive,
retributive and compensatory dimensions of social
benefits and burdens.
É     

To educate human beings and inculcate virtue in him so


that he becomes an inseparable part of the society.
ristotleǯs otion of Éirtue
Y The foundation of morality lies in the development of
good virtues with in individuals.

Y @oral virtues are desire regulating mechanisms which


remain as a Ǯmeanǯ between two extreme Ǯvicesǯ.
Types Virtue Ethics Theory
÷  ndividual Character Ethics <It deals with
identification and development of human traits of
nobility.
÷ ork Character Ethics <It deals with identification
and responsible development of noble,thoughtful
and practitioner traits at the work place.
÷C Professional Character Ethics <@anagerial moral
development shapes work units moral development.

 ²       

It deals with studying the nature and scope of providing


supportive framework by which continuous
improvement of ethical conduct will be made and
subsequently influence the ethical value of action.

Types of System Development Ethics Theories


÷  Personal mprovement Ethics Ȃ n action is good
if it promotes personal responsibility for continuous
learning, system holistic development improvement,
and moral excellence.
÷ Organizational Ethics < n action is good if it
promotes both formal and informal organizational
processes which increases procedural, positive out
come, respectful caring and innovation in the ethical
work culture of the organization.

© Extra organizational Ethics < n action is good if it


promotes the enhancement of collaborative
partnership, collective innovative spirit and global
justice in the human and natural environment.
á á 2 

² 
²
²  
Y Business always face the problem of developing well
informed ideas on how to mediate between moral
demands and strategic concerns.

Y The reason behind strategic concerns(interest)in


business ethics is to know how business can survive in
the long run without sacrificing justified moral
demands against inflated economic concerns.
 

  
 

Social philosophy of business means the philosophical


reflection on the actual role and functions of business in
our society
Role and functions of business in modern society
Characteristics of Modernity
÷  ragmentation of Society in to different social
spheres Ȃ @odern society fragmented the sense unity of
traditional society and created distinct social spheres
like:-
Y The sphere of family and friendship(private life)
Y The sphere of the market(economic life)
Y The sphere of the state (political life)
(B) undamental division between two realms in
modern civilization. There are:-
Y @oral Community < The values (warmth, recognition,
support) of each moral community drawn from the pre-
modern local traditions.
Y Specialized Functional spheres < @odern social
experience consists of specialized functional
spheres(health care, tourism etc) where each sphere
performs their specific task through formal procedures
and rules.
Two functional spheres play a dominant role in modern
society. They are:-
Y The @arket System < Organizations operating through
this system have to reduce costs in order to maximize
profits.

Y The Bureaucratic sphere < It constitutes of


standardized procedures and impose a system control
to achieve organizational goal.
The rationality of the market system and the
bureaucratic sphere colonize and dehumanize the
warmth of the greater moral community.

But how can these two different principles get united?


The answer to this question could be given through the
analysis of three different views .
Y The nitarian Éiew
Y The Separatist Éiew
Y The ntegration Éiew
 É 
Y The pre-modern view applies the general values and
standards of the overall culture to evaluate activities in
a changing environment.
Y It rejects the large segment of modern society and
project the Carl @arxǯs and Catholic churches values of
unity in a classless society.
Y It projects society as a family(like moral community)
based upon feelings of unity and love among its
members.
Y Some moral principles (rights and justice) of this view
have universal validity but it can not tell business
about the internal logic of the economy (how much to
invest in environmental protection).
  É 
Chief Exponent- dam Smith
Y ?e rejected the idea based on one unifying moral
community. ?e was in favor of creating an open
market system where business becomes indirectly
beneficial towards society.
Y @aximization of private property, cost reduction, goes
far beyond direct moral claims.
Two non-moral means of the larger community, for example-
the law and the market also controls business.
The Law
Y These two act as transformers between the moral
community and the business system and modify values of
moral community into non-moral guidelines that fit well
into the language of business.
Y Law compels corporations who have strong strategic
motivations for respecting it. Law needs to be enforced on
business when human rights and national security are at
stake.
The Market Demand
Y Both sellers and buyers strategically determine the prices
and quantities by supply and demand.
Y Consumers translate their moral demands and preferences
into a language that business understands and fulfills.
Y But there are numerous moral expectations in society that
neither market demand nor legal rules fulfills. @any
organizations exercise morality in the following manner:-
Y They design, develop and practice moral codes, open ethics
cell, organize ethical training programs, set ethics board,
charitable donations and highly sensitive stake holder
policies.
  É 
To brought integration between the following:-
Y The economic activities of business are based upon an
inner logic that is profit maximization.

Y The economic activities of business are also part of the


society and are controlled by moral demands of the
society.
Y This view has been influenced by the classical theory
of modernity developed by @ax Weber and Talcot
Parsons.
Y Cultural foundation of modern capitalism has also an
ethical base which has been drawn from the Christian
Protestant Culture (like honesty and fair dealing).
Y @oral claims may often be applied directly to business,
provided they mediated with strategic interests.

  
²


  á
Y Business ethics can be defined as the process of
rationally evaluating our moral standards and applying
them to business situations. But many have objections
against applying moral standards in business
situations.
Y People involved in business activities should single
mindedly fulfill the economic interest of their
organization. nd should not use their potentialities
for public welfare.
Y Three arguments have been framed in support of this
view. These are :-

 
Y The very purpose of profit in perfectly competitive free
market is to serve the greater society in the most
socially beneficial ways.
Y Each business firm has to produce only what the
members of the society demands, using the most
efficient means available.
Y The members of the society will benefited most, if
managers do not impose their own values on business.
Y On the contrary managers should concentrate more
on profit with a single mind and devote to produce
something effectively and efficiently what the
members of society value.

Y But the arguments generate some questionable


assumptions:-


Y There are firms despite inefficient production
maximizes profit where markets are not perfectly
competitive.

Y ny steps taken to enhance profit will be socially


beneficial-is not correct always. Because in the name
of profit business used to affect the societal interest
like: uncontrolled pollution, unethical advertising,
fraud, bribery, tax evasion etc.
Y Firms are producing what ever buying public demands
is also not true always, because the poor and
disadvantaged are not taken care of due to least scope
of their participation in the market place.

Y @anagers should single mindedly pursue profit on the


ground of some assumed but unproved moral
standards.

  
lex C @ichael says managers as loyal agents of his
employer should single mindedly pursue the interest
of the firm and should reject ethical consideration.
Loyal agents argument categorized into two parts:-

1. @anager as a loyal agent should serve his employer,


the way the employer want to be served.
2. n employer want to be served in a way that will
advance his self interests.


 
 
 

 
Y The manager should serve his employer in whatever
way the employer want to be served, is an unproved
moral standard.
Y The loyal agents argument says that there are no limits
to the managers duties to serve the employer but an
agent can not perform his duty that is unethical.
Y The argument assumes that if a manager agrees to
serve the firm, whatever manager does on behalf of the
firm is correct. But the assumption is wrong, because
agreements do not change the moral character of
wrongful acts.

 
To be ethical it is enough for business to obey the law.
Business ethics means to obey the law.



 
Y It is wrong to equalize both law and ethics. In some
cases law and ethics coincide like-both prohibits theft,
murder, rape etc. But some laws even violate our
moral standards like : at Saudi rabia business
discriminate against women are blatantly immoral.
Y @any of us feel that moral standards should be
implemented through the legal system. But sometimes
laws are criticized if they violates our moral standards.
Therefore morality has shaped and influenced many of
our laws.

     
 
Y In general, ethics should govern all voluntary human
activities. Likewise ethics should also govern business
operation, because business is a voluntary human
activity.
Y ny human activity canǯt exist unless people and the
surrounding society adhere to minimal standards of
ethics. Business as a cooperative activity need ethical
behavior.
Y minimal adherence to ethics is required on the part
of those who involved in business.
Y ll businesses need a stable society where societal
members practice the minimal standards of ethics.
society where lying, theft, cheating become rampant
business activities breakdown.

Y Several studies have found a positive relationship


between socially responsible behavior and
profitability, some studies found no relationship. But
no studies have at least found a negative correlation
that indicates ethics has an impact on business.
Y Though by being unethical other party sometimes
becomes gainer. But unethical behavior undermines
the long-term harmonious relationships with
customers, employees, and community members upon
whom business success ultimately depends.

Y Business becomes short sighted when they fail to


implement ethical values in the organization.


 á



 
²  
²
 2 ²
Y The present day global scenario is overshadowed with
rationalist and positive management thinking like:
target centric approach, performance management
and excellence.
Y Number of questions have been raised about the
authenticity, validity and long-term result of this
thinking.
Y On the other hand few practitioners in business and
academics laid stress on the role of shared culture,
ethics and values, organizational health, quality of
work life and so on in managing business.
Y This new enthusiasm helps to study and practice
ethics in business is gradually getting momentum in
India and other countries of the world.
Y Question is, whether the end result (the final resultant
value) be attained through the use of fair means and
honesty or not.
Y In this context it would be wise to examine the
relationship that exists between science and
technology on one side, and ethics and moral values
on the other in the context of Ǯworkǯ to be performed.
Y Is it exclusively the products of science and technology
to be utilized for achieving the dominant tenets of
modern era like: high performance, target orientation
and excellence in work or some other options are left
to be considered for improved and healthy work
performance in the long run.
2   É   2
Y ?ere the subjective art of work has been explained in
the modern business management context.
Y Different sections have been designed to understand
and focus upon the essence of the chapter.
SECTO -1
Characteristics of work in the Present usiness
scenario
Y Characteristics of work has been broadly categorized
into two parts. One is Work-ethic and another is Ethics
<in- work.
Y Work-ethic (     ) is dominated with
characteristics like: success, efficiency etc.
Y The present domestic and institutional pattern of
educational system largely contributes to work ethic or
work holism (carrier centric, skill prone and amoral in
nature).
Y Work-ethic is generally accepted as values free. On the
other hand ethics-in V      ) is value
based and characterized with such noble attributes
like: perfection effectiveness etc.
Y Neither of the two when operate as separate water tight
compartments are good and healthy.
Y They should operate together where Ǯethics <in- workǯ
should slightly dominate over Ǯwork-ethic Ǯand not the vice-
versa.
Y Work holism when deprived of noble qualities like
compassion, humility and large-heartedness at the work
place canǯt give a complete shape to the very essence of
Ǯworkǯ.
Y So attempt needs to be made to integrate and blend the
both in the Indian business world to make it more healthy
and productive.
@oksha

Super
Nihsreyasa
thical
t the
Vanaprastha Sanyasa
Intuitional
evel

bhyudaya

thical
Brahma Charya Grahasthya
t the
rtha Kama
mpirical
evel
Dharma
 
j   or Life Goals
Y In Indian culture human life goals has been
categorized into two orders.
Y First order life goals constitutes of two pairs: One is


(prosperity) and the other one is
 
 (supreme or ultimate fulfillment).
Y The majority moves from the level of 

to
 
 
Y But in case of second order life goals, only few reach
 
 directly without 


Y  

itself constitutes of three Ê    
like:      (   ).
Y This    open avenues for the establishment of
first two    (phases of human life)
like:    
(ideal studentship) and   

(house holder ship).


Y ²  or ethical conduct is the cause,  (the
economic means) is the effect and helps to fulfill
  (the legitimate socially sanctioned pleasures).
Y Besides, the second order life goal constitutes of
 
 (the supreme and highest
fulfillment of human life) leads to   the
fourth and the last subsidiary of Ê    
Y @  predicts experiencing the supreme
charm of life that goes beyond all superficial
and materialistic enjoyments of life. The
  Ê  and  
    (the last
two phases of human life) helps people to
achieve this highest goal of   
Y In Indian culture   kept at the bottom and
  at the top to strategically manage the total life
span.
Y   means a place where one has to use labor
for the fulfillment of a solemn promise or a vow.
Y The degree of the intrinsic quality of a vow determines
everything in life.
Y This system framework of first two    project
the outer, mundane and material aspects of life. These
are  and   
Y The use of both of these aspects of life are justified because
they are considered as Ǯmeansǯ to unravel the spiritual or
sacred (the end result) in life.
Y So both    
and   
   need to
be practiced ethically in pursuit of prosperity (abhyudaya)
for future generations.
Y People need to stand on the strong foundation of ethical-
empirical phase of existence and try to soak his
consciousness with his supreme-ethical destiny.
Y s a consequence merging of      with
  -   becomes spontaneous and natural.
 
É É 
Y The virtues and vices has been interpreted as    
and     respectively in Indian philosophy.
Y In Bhagabat Gita both of these gunas have been
described as daivi sampat (demonic qualities).These
are:
‡   

‡ ÷   
Y Telling truth Y Calmness
Y bsence of wrath Y bsence of greed
Y Self control Y ?umility(modesty)
Y ?abit of giving Y Gentleness
Y Purity of temperament Y Freedom from restlessness.
Y Fearlessness(courage) Y Compassion to all
Y Steadfastness in yoga Y Forgiveness
Y Study of scriptures Y bsence of envy and pride
Y Self denial Y Patience
Y bsence of fault finding Y Energy
tendency with others.
   
‡ ÷    
Y Ignorance Y Cruelty
Y Pride Y @ultiplying needless
Y rrogance needs
Y Egoistic Y ?ating the supreme in
Y Extreme self-esteem
oneself as well as others.
Y Giving importance to the
Y ?arshness
Ǯendǯ than the Ǯmeansǯ.
Y Besides the above mentioned list of     and
    there are also descriptions about them in
         etc.
Y In     few essential virtues in the name of
      has been described. These are:-
Y   (non-violence)
Y ú  (forgiveness)
Y ú  (peace)
Y Ì
      
Y ²
(sympathy)
Y ²  (donation)
Y ‡  (cleanliness)
Y ‡ 
(truth)
Y  Ê (austerity)
Y ›
 (wisdom)
Besides the above mentioned     there are also
    that cause several injuries towards others
in the professional set up. These are:-
a) Stabbing from behind (back-biting)
b) Betrayal of trust (conspiracy betrayal)
c) Erecting obstacles against others good.

The above mentioned three injuries could be added with the


previous list of    .

It is the Ǯ   ( ethical conduct) the first   of


Ê     responsible for 

(prosperity) that
talk not only of adoption of     but also encourage
non-adoption of the    
 ²
    
   
"  or Substance Characteristics of Characteristics of
attributes "    expressed in
terms of positive and
negative qualities
     and Ê   ‡   (positive)
(eternal great happiness enlightenment or divine
and illumination) qualities
V
 V  and       (negative)
(attachment and craving) demonic qualities
  @  and        (negative)
(delusion and negligence) demonic qualities
Y For performance improvement the dynamism of   
is obligatory.
Y ú  (craving) ,ú  (anger),   (greed) ,and
  (delusion) together laid the foundation of all the
    in a man.
Y Both craving and anger are the products of    ( 
             ).
Y ?ere a dilemma emerges regarding the interpretation
of the   (craving) which is one of the   
nurtured by   
Y Simultaneously,   is practiced legitimately and
moderately as per the sanction of the society (as per
dharma or ethical conduct) it will not be degraded into
an    .
SECTO-É ÷ RM YOG 
Y In verse 2.47 in      the principle of work
psychology i.e.      (work without
expectation) has been beautifully described.
Y This principle of Dz work without expectationdz seems to
be an impossible as well as an unexpected task before
the selfish prone empirical modern mind.
Y Itǯs authenticity can be tested through another version
3.9 i.e. Dz     dz (all work to be done as a
yajna or sacrifice).
Y The simple inner divine logic behind this says that
sacrifice promotes interdependent living.
Y So humble sacrifice promotes interdependent living
and create a healthy Ǯwin and winǯ situation in
business.
Y But performing anxiety prone work with pure selfish
motive is an energy dissipater.
Y In      the version Dz


  
V  dz has been translated as Ǯto fight without
mental feverǯ.
Y This mental fever is nothing but work related stress
that arises due to the incessant prompting of our
immature ego which indulged in the calculation of
pure selfish interest.
Y So stress like this leads to mental excitement and
confusion that prompts worker to be indecisive about
both Ǯendǯ and Ǯmeansǯ.
Y This state of mental fever can be cured by adopting the
philosophy of      where a worker not only
become more effective (ethics-in-work) but also
efficient (work-ethic).
Y ¯ ú  advised   to express equality to
manage the existential V   (duality).
Y Nobody in this empirical world is free from the dual
nature of work.
Y That is why one has to reduce the dissipating impact of
these empirical V   (duality) upon his mind
through the practice of      .
Y In   , two important verses used like Dz
 
      dz (the real skill of work is yoga)
and Dz  V 
  
 dz (the psychological state
of inner poise and equality in
 ) to reduce the
impact of these existential dualities.
Y The real technique to perform effective work is

i.e. (equality).
Y The cultivation of Ǯ     ǯ and Ǯ
 
   attitude in the performers mind help him to
operate with least stress in the organizations.
Y People generally perform work when they are too
much attached to their subsistence-level of wants.
Y Besides this, other option left before him is to perform
work with   
Y This Ǯ   ǯ comes when a man perform all his work
with an enlightened mind and love.
Y ?is spontaneous love and care for man, nature and the
entire humanity prompts him to perform all of his
work.
Y Through this   
 the true nexus between man
and the divine, the empirical and trans empirical be
established.
Y Then only the style of performing work get
transformed from the level of arrogance and self-
aggrandizement to the level of    (eternal
joy).
Y This definition of work perfectly combines Dzwork-
ethicdz with Dzethics-in workdz.
Y The learning organizations of today must humbly
adopt this holistic lesson from the ancient wisdom like
Ǯ     ǯ and Ǯ      Ê
 ǯ (all work
you perform offer and consecrate it to the    or
the supreme.
Y This type of attitude towards work inject the value of
accountability within and made people normally
creative and innovative in their work life.
Y It is always a positive, healthy and rich mind that can
transform and enrich all negativity of work and not the
vice versa.
 ÷     

Y Based upon the rule of Ǯcause and effectǯ relationship
duties are preferred over rights which is the philosophy
of true socialism.
Y Preferring duty-orientation is a healthy practice that
unites Ǯwork-ethicǯ with Ǯethics- in -workǯ is a healthy
practice but not the vice versa.
Y When people become more right centric than duty
centric, negligence in their performance creates an
unhealthy society.
Y Duty has to be performed for the sake of duty without
arrogance.
Y Your action is ethically correct if Ǯmeans justifies the
endǯ.
Y When work performance is conditioned too much
with materialistic or monetary expectation then the
sanctity and dignity of work as a Ǯmeansǯ gets diluted.
Y But question is, if duty performed without any
expectation, then what type of reward one gets from
his performance.
Y ?e gets reward but in a different fashion i,e. in terms
of intrinsic self-satisfaction (    ) and
possession of an enlightened and healthy mind etc.

Y Further, the Dzdoctrine of    adds: any good work


performed will procreate proportionately equal
amount of reward both in terms of financial and non-
financial as a consequence of the action performed.