SMG SM 131 Study Guide - Final Guide: International Financial Reporting Standards, Certified Public Accountant, Cash Flow

• School: Boston University
• Department: School of Management
• Course: SMG SM 131
• Professor: John Dixon

Document Summary

Ethics the unwritten, accepted rules used in interactions with others & govern society. Virtues in action: honesty, fairness, and justice. Unethical decisions are costly to you & your business. Ethical fading erosion & inconsideration of ethical standards that leads to unconscious ethical behaviors no longer see ethical implications of our business decisions. Develops when biases & blind spots are left unchecked. Ill-conceived goals setting goals & incentives to promote a desired behavior but encourages a negative one. Leaders that give difficult & narrow (like exact production quantities) goals can encourage employees to neglect other areas or ethics; ends justify means . Sears auto mechanics fix cars that do not need to be fixed to meet sales goal. Motivated blindness overlooking unethical behavior of others when it is in our interest to remain ignorant. Ethical people can be victims (cannot use integrity as way to stop) need to be mindful of conflict of interests, even in existing systems, & remove them.