MGT 125 Chapter Notes - Chapter 6: Reward System, Stamen, Performance Appraisal

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Describe management"s role in encouraging ethical behaviour. As different individuals are at different stages of ethical development, an organisation"s hiring practices should be designed to eliminate ethically questionable applications. Having and using a code of ethics; Code of ethics: a formal statement of an organisation"s primary values and ethical rules it expects its employees to follow. It is recommended that a decision maker go through the following criteria when facing ethical dilemmas: It is recommended that managers should use the 5 step process when dealing with ethical dilemmas: Recognising the important ethical leadership role they play and how what they do is far more important than what they says: it is top managers who uphold the shared values and set the cultural tone; Management must set precedent when unethical behaviour is uncovered. Establishing protective mechanisms: to provide a method of communication to let employees openly verbalise their ethical problem, the problem"s cause and their own options.

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