It has become very important for the modern organisation to identify as well as also deal with the complex ethics of business. Company needs to trace various types of well-documented issues and scandals and on that very time, the bad behaviour of the leaders might bring about lots of consequences and also problems for the organisation and also for surrounding (Adams, 2009). All the scandals results in public outrage which then involves loss of trust, involvement of law suits, as well as dependability among the customers, employees, clients and also public. It is the ethical decision making which deals with the moral problems. It is seen that moral issues generally is present on those areas where the actions performed by an individual’s either hampers or benefits the other people. Hence, it could be said that the decision made by an individual will have a severe effects on various peoples and also involves the choice of the decision makers (Banks, 2010). The ethical decision making helps the organisation in upgrading the performance thus to become effective managers, they should have the capability to take an ethical decision.
This assignment will discuss regarding the concept of the ethical decision making and also the way which influences the ability of the managers to become effective. It will understand the concept of the ethical decision making and also its relationship to effective managerial practices. It will also identify the capabilities as well as skills which will be necessary to promote the good ethical decision making. Furthermore, a discussion will be made related to how the personality will make good ethical decision making. Moreover, an evaluation will be made where three questionnaires will be instructed. This report will also make a thorough plan which specifies the individual goals using the SMART goal framework.
Thesis statement: This assignment will wind up regarding the role of ethical decision making in becoming an effective manager.
The concept of ethical decision making and its relationship to effective managerial practice
The ethical decision making assist the people is taking tough choices when it face the ethical dilemma which describes that there is no exact right or wrong decision. The ethical decision making helps in examining the three major perspectives which includes ethics of obedience’s, ethics of reason and also ethics of care. The ethics of obedience not only reviews the letter of law but also it views the moral values or the spirit behind it. On the other hand, ethics of care will get engaged in their emotional intelligence and also on the empathy which will make a decision from the perspectives of the people. Lastly, the ethics of reason will be engaging the rational brain where wisdom and experiences are used to measure the likely outcomes (Barsky, 2010). Ethical decision making also have some vital ingredients which includes the social dimension. When the people faces the difficult choices then it is reviewed that human being try to make the right and better decision but sometimes ends up taking unethical decision and following wrong route.
It is stated that ethical decision making process have some defined steps which should be followed in order to achieve the required outcomes. At first, decision maker needs to gather the facts and define the ethical problems. Then, it should identify the parties who have got affected such as stakeholders. Decision makers needs to then identify the results and also the obligations which include rights, justice and principles. They should then consider the character and integrity and should make creative thoughts regarding the potential actions (Daly & Mansfield, 2014). It is important for the decision maker to check the gut and make a Decision on the ethical actions and make oneself prepared in dealing with the offensive and opposing decisions.
An organisation can have effective managerial practices if all the managers and the leaders have the capability to analyse the things and make right decisions. If the managerial body analyse the situations and tackle with the organisational issues and thus make any kind of decision then organisation can get success. The managerial body needs to be aware and knowledgeable regarding the best decision for the organisation where they should know that decision either good or bad can have consequences (Dolgoff, Harrington & Loewenberg, 2012). It is seen that decision making process and managerial activities are inter-related to each other as when the managerial body makes ethical decisions than it has an effects either positive or negative on the entire organisation. The organisation’s success mainly depends on the decisions of the managerial bodies. Thus, for any organisation to achieve success and for the effective managerial practices, one must make correct ethical decisions.
What capabilities and skills are necessary to promote good ethical decision making?
The organisational employees needs to have various types of skills and capability which will include ethical problem solving skills, reasoning skills, moral skills, critical thinking capability and also listening skills. One must have problem solving skills as decision makers have to encounter lots of problems in both large and small scales in day to day life. Most of the problems and decisions are so natural and small then an individual don’t even notice it but solving those problems would be overwhelming to another people (Dougherty, Cheung & Florea, 2008). If one can effectively solve problems then they can also make ethical decisions. It means to say that problem solving skills is very necessary in promoting the decision making process in an effective manner.
Moreover, an individual should have proper listening skills and also reflecting skills as this skill helps in developing one’s ability to reflect the words and also understand one another feelings (Edwards & Addae, 2015). These skills help in restating both the words and the feelings of the people and thus, taking decision on the problems of an individual becomes easy. When an individual incorporate moral values in their life than it is easy to take ethical decision. The moral skills present in an individual helps them to decide the difference between right and wrong and assist them in taking right and ethical decisions(Jones, 2009). Furthermore, reasoning skills is also one of the important skills where it helps in taking the decision by making various reasons and cultivating the right decisions. Moreover, it also helps in introducing the logic before making a decision-making process, thus reasoning skills makes a right decision. It is also noted that critical thinking capability also helps in understanding the links of the ideas and also determine importance of the ideas (Nevins, Bearden & Money, 2007). This capability helps in recognising, appraise and building the argument and also make systematic approach.
How personality relates to good ethical decision making?
The amount of logic which is put into the decisions, the personality will make an affects in the choice made. The individual personality is a predictable factor where the decision is affected by the combined effects of maturity and experiences. However, the practical self-awareness will be helpful in measuring the amount of decision making process which is influenced by their individuality. It is very amazing to know that all the decision is totally dependent on one’s behaviour and thinking ability (Ford & Richardson, 1994). No one in the world can make exactly same decision as of the other with the same process. It is because all the people have different personality and also different decision making process. It is the combination of the experience, maturity level, ego and strength which actually deals with the stress and also maintains the stability. The personality plays a major role in the making of the decisions and also the process of making it. Decision –making is the multiply-determined process which means that many of the forces work together simultaneously (Craft, 2013.). For instances, if the person is a reputed one and have a good social image in the society then he/she will make the ethical decision which will not hamper their image. On the other hand, those people who have no social image or no personality will not make decision thoughtfully. So, it is the personality which relates and reflects the good decision making process.
A one-paragraph summary of the literature review
Ethical decision making helps the people in taking the tough decision and also describes which is the right or wrong decision. Ethics of obedience’s, ethics of care and also ethics of reason are the three perspectives of examining the ethical decision making. It is seen that ethical decision making have various steps in order to achieve required outcomes (McKinney & Kempson, 2012). An organization will have effective managerial process if the managerial body will have the capability to analyze the things and also make right decisions. Ethical decisions need to be considered in place in order to achieve success and also for effective managerial practices (Bentham, 1982). It is analyzed that various types of skills and also capability is needed by the organizational employees in order to promote the good ethical decision making. Problem solving skills, reasoning skills, moral skills, critical thinking capability and listening skills are some of the capabilities and skills needed. It is analyzed that the people suffers from various types of issues in their regular life either large or small but if they have proper skills and capability then they can easily face the situation and fights with it. It is important for an individual either professional or unprofessional should equally have all these qualities and skills so as to achieve good result and make ethical decisions. It is essential to note that personality have a greater link with the good ethical decision making process (McDermott, 2011). If the person has good and reflexive personality then they will make a good and ethical decision whereas if the person has non-reflective personality then they will not make a right decision. It is the personality and ability of an individual to either take ethical or unethical decision. Thus, it can be reviewed from the whole literature review that ethical decision making plays a major role in becoming an effective manager (Craft, 2013). Effective manager are those people who manage all the jobs encountered in their daily life in an effective ways where they will require various types of skills. Decision making is one of the prime role and duty of a manager and thus they should cultivate the habit of decision making.
The first question was asked to the respondents about what ethical is according to them. On this question, majority of respondents (about 54%) have stated that ethical according to them is their individual morality. On the other hand, 37% respondents have stated that according to them ethical is general obedience of general rules and regulations. Only 9% respondents believe ethical is considering the opinions of people.
Fig 1: What is ethical according to you?
The respondents are also asked to express the significance of different aspects in decision making as a manager. Five aspects have been considered in this context. The first aspect is high financial return. In this context, majority of respondents (54% and 39% respectively) stated that it is extremely important and very import aspect for decision making. The second aspect bring in line with the organizational mission and objectives. On this aspect, most of the respondents (about 59%) stated that it is very important for them in order to make decision. The third aspect is organizational rules and regulations. In this context, about 51% respondents have stated that organizational rules and regulations are very important for decision making process. The fourth aspect is state and federal regulations. In this context, majority of the respondents (about 54%) have stated that obeying laws and regulations of the government is fairly important for making decisions. The fifth aspect is being in line with core personal values. Most respondents (about 57%) considered this as very important for decision making process.
Fig 2: Findings of Second Question
The respondents are asked if adhering to ethical principles has influence on the profitability of the organization. In this context, majority of the respondents (about 57%) believe that ethical principles have little effect on profit, while 29% respondents stated adhering to ethical principles led to increasing profit. Very few respondents (about 14%) believe ethical principles have no connection with the profit of the company.
Fig 3: Do you believe that adhering to ethical principles have some impact on profitability?
The respondents are also asked what they will do if they find that their organizations are performing unethically. In this context, most of the respondents (about 54%) have stated that they will leave the organization. 29% respondents have stated that they will ignore the problem and only 17% respondents stated that they will protest the unethical act of the organization.
Fig 4: When you find that your organization is acting unethically, which tactic will you choose?
While choosing the matters of ethics majority of the respondents (about 96%) have stated that they would prefer economic performance over the social performance. Only 4% respondents have stated they would prefer social performance to economic performance.
Fig 5: While choosing on the aspects of ethics what would you prefer?
The respondents asked if they believe ethical code in an organization assist managers to act more ethically. In this question, most of the respondents (about 67%) have stated that ethical codes of the company are the best method for strengthening ethical principles. On the other hand, 24% respondents believe ethical code of conduct can help a little for the managers to act ethically. Only 9% respondents stated that ethical code of conduct is a formal exercise.
Fig 6: Do you believe that ethical code of an organization can assist managers to act more ethically?
Finally, the respondents are asked about if management ethics has practical usage on workplace. Most of the respondents (about 67%) stated that ethics has practical usage as it strengthens the connections and impact on working environment. Furthermore, 33% respondents have stated that management ethics is for philosophers, but reality is different.
Fig 7: Do you believe that organizational ethics has practical utility in workplace?
Big Five Personality Instrument
The respondents are asked to take test on “Big Five personality instrument” to understand their personality. On the basis of the test, it can be observed that 62.5% respondents are openness towards others. 67% of the respondents are conscientiousness, i.e. having self discipline and control. About 35% respondents have found to be extrovert, i.e. seek stimulation from external world. 62.5% are agreeable in nature, i.e. have a tendency to put others requirements ahead of their own and 62.5% are neuroticism in nature, i.e. have a tendency to experience negative emotions (Tuity, 2018).
Fig 8: Big Five Personality Test
S.M.A.R.T. Goal Guidelines
Developing an S.M.A.R.T. goal requires considerable thought and commitment. Goals assist in identifying what is required to achieve and ensure about the goal is realistic or not. SMART goals also help in determining a realistic deadline. When developing an S.M.A.R.T. goal, an individual needs to use very concise language to describe the key components of what is trying to achieve (Gray, 2010). This also includes all relevant information and be written in a way that can be understood by others.
My goal is to build up the problem-making skills. I also want to upgrade my listening skills.
I specifically want to make my ethical decision making skills more effective. So, at first, I have to build-up as well as upgrade my listening and problem-solving skills. I will be doing all of this during my course of work and also of my study course. I have selected this goal as I am very weak in problem solving and listening which makes difficult for me to take decision. The two goals of mine might get impacted because of the limited time period experienced by me.
Although, there is no proper baseline measurement data for my goal but I will be regularly evaluating my works and skills in terms of problem solving and listening. I will solve all the small and big problems which might arise in my daily activities and I will also listen all the information given to me by my family member, colleagues and faculties which will help me to acknowledge if I am progressing in a right manner or not. If I will be able to tackle the problem and also listen to the people properly then it means that I successfully met the goal. Internet resources can also be used as another system where I will solve the problems and also listen to some videos and audios already present in it.
The goal of mine to upgrade the problem solving skills and also the listening skills can be achieved by regularly reviewing the situations and handling them in a more significant manner. I will require my skills of becoming patience in order to achieve the goal. I will keep calm and wait for the result until and unless I don’t get the success. I have seen many of the famous leaders who have tackled almost all of the situations and made effective decisions with the help of proper problem solving skills and also with sharp listening skills. This has motivated me also to improve my skills so that I can also make ethical decisions. If I will be regularly evaluating my work then very soon, I can achieve the desired goal.
This goal is relevant to my workforce development and also performance as if I will be having good problem solving and listening skills then I will be able to take the decision in an effective manner and can give good output in the workplace. It will make me strong and confident. Since, I will be having problem solving, ethical decision making and good listening skills then; organization will never achieve failure as I will be solving all the issues. Yes, it is aligned with my overall objectives. Yes, it is right time to set this goal because this goal requires longer time and if I will start now then I will be good in making decision and solve problem when I will be working in a company.
The deadline to achieve this goal is approximately six months. It is not totally realistic but I will try to make my goal finish as per deadline. In short term, one can take proper attention, medium term it should analyse the entire small and big situation and in long term, it should review all the problems.
I will be enhancing my problem solving skills and also sharpen by listening skills.
This report have analysed that ethical decision making have a direct relationship with the effective managerial practice and it requires skills and capability such as problem solving skills, listening skills, creative thinking capability, etc in order to promote ethical decision making. It is also reviewed that personality has a good relation with the ethical decision making. Questionnaire is made in order to evaluate the result and SMART goals framework is made which had evaluated the current capability and makes plan to improve it. Hence, after reviewing the whole report, it could be feasible to consider that ethical decision making plays a major role in becoming an effective manager.
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