December 2, 2012
Ethics and Advocacy for Hr Professionals- HRM 522
Dr. Jack Huddleston, Instructor
Assignment #4 – Banking Industry Meltdown
1. Determine which moral philosophies (as discussed in chapter 6) is most applicable to an understanding of the banking industry meltdown. Explain your rationale. “Moral philosophy is the study of moral judgements or the value that is placed on decisions about what is right or wrong” (http://www.smallbusiness.chron.com). There is a distinction between moral philosophies and business ethics. A moral philosophy refers to an individual’s principles and values that help to define and determine what is considered to be moral or immoral. Business ethics is usually based on decisions in groups or those made when carrying out tasks to meet business objectives (Fraedrich/Ferrell, page 151). Moral philosophies can be considered as guidelines or a blueprint to aid in “determing how conflicts in human interests are to be settled and for optimizing mutual benefit of people living together in groups” (Fraedrich/Ferrell, page 151). Moral philosophies also guide businesspeople in formulating business strategies as well as offering guidelines for resolving ethical issues. The moral philosophies used in business decisions are teleology, deontology, the relativist perspective, virtue ethics, and justice theories (Fraedrich/Ferrell, page 153). Teleology derives from the Greek term for end or purpose and teleology refers to “moral philosopher in which an act is considered morally right or acceptable if it produces some desired result such as pleasure, knowledge, career growth, the realization of self-interest, utility, wealth, or even fame” (Fraedrich/Ferrell, page 155). Basically, teleology is in place to assess the moral value or worth of a behavior by examining the consequences. There are two theories that fall...