This paper aims to integrate insights from psychoanalytic theory into business ethics research on the sources of ethical failures within organizations. We particularly draw from the analysis of sources and outcomes of neurotic processes that are part of human development, as described by the psychoanalyst Karen Horney and more recently by Manfred Kets de Vries; we interpret their insights from a stakeholder theory perspective. Business ethics research seems to have overlooked how “neurotic management styles” could be the antecedents of unethical (...) behavior within organizations. After showing the connection between five managerial neuroses and the corresponding potential ethical failures within organizations that have been already identified within business ethics research, we suggest three organizational strategies to counteract these failures. First, we argue that managers should pay greater attention at the complexity of human motivation, avoiding the simplistic view of compliance‐based approaches. Second, we discuss the importance of developing a conversation around values within organizations, enabling healthy individual growth and limiting the emergence of neurotic processes. Finally, we discuss the role of the business ethicist in facilitating such a process, suggesting a parallel between the role of the business ethicist and that of the psychoanalytic therapist. (shrink)

This paper aims to integrate insights from psychoanalytic theory into business ethics research on the sources of ethical failures within organizations. We particularly draw from the analysis of sources and outcomes of neurotic processes that are part of human development, as described by the psychoanalyst Karen Horney and more recently by Manfred Kets de Vries; we interpret their insights from a stakeholder theory perspective. Business ethics research seems to have overlooked how “neurotic management styles” could be the antecedents of unethical (...) behavior within organizations. After showing the connection between five managerial neuroses and the corresponding potential ethical failures within organizations that have been already identified within business ethics research, we suggest three organizational strategies to counteract these failures. First, we argue that managers should pay greater attention at the complexity of human motivation, avoiding the simplistic view of compliance‐based approaches. Second, we discuss the importance of developing a conversation around values within organizations, enabling healthy individual growth and limiting the emergence of neurotic processes. Finally, we discuss the role of the business ethicist in facilitating such a process, suggesting a parallel between the role of the business ethicist and that of the psychoanalytic therapist. (shrink)

Although empowering leadership is central to employees, leaders, and organizations, few studies have examined follower behavior and its role in incentivizing leaders to engage in empowering leadership. We use an exploratory, sequential mixed methods approach to explore comprehensively the influence of employee characteristics (i.e., work performance and ethical behavior) and leader-perceived threats on empowering leadership. We conducted two studies—the first entailed in-depth interviews of 24 managers from different industries to identify (i) the primary employee factors that determine empowering leadership and (...) (ii) the types of leader-perceived threats. The five employee factors and three leader-perceived threats identified lay the groundwork for the quantitative research in the second study. We used leader–member exchange theory and social dominance theory in analyzing data from 357 pairs of employee–supervisor questionnaires. The analysis confirmed the importance of employee ethical behavior (versus work performance) in predicting empowering leadership, and the crucial role of leader trust in connecting employee ethical behavior and work performance with empowering leadership. Leader-perceived power threats negatively influence empowering leadership and mitigate the positive impact of leader trust on empowering leadership. Thus, this study extends the literature’s perspective about empowering leadership to include ethical concerns and leader–member interaction. (shrink)

In today’s marketing conditions, it becomes really vital for companies to establish an appropriate relationship with suppliers and salesperson based on ethical values in order to survive. Besides, ensuring an effective relationship between the parties would contribute to increase buyer satisfaction along with economic and social satisfaction. In this study, the direct effects of suppliers’ and salespersons’ unethical behaviors on buyer satisfaction, and the moderator effect of communication between buyer–supplier relationships are examined. The results of the study have revealed that (...) unethical behaviors of suppliers and salesperson affect buyer satisfaction negatively and the communication variable has moderately affected. The results are providing important advantages for buyers who want to improve the relationships between the suppliers and their salesperson for pharmaceutical enterprises. (shrink)

Many popular business strategies, such as re-engineering, core competency, and value engineering, may achieve short-term profits by antagonizing workers and alienating customers. We contend that self-actualized companies must create an ethical business environment grounded in three ethical principles. To suggest these principles, which characterize all "volitionist companies", we first review two typical problems and the questionable ways that some companies resolved them. Then, we discuss these principles and compare "volitionism" to three well- known normative ethical theories. Finally, we show that (...) these principles form the core of at least four popular management theories. (shrink)

The study of Social Issues in Management (SIM) has exhausted its primary analytic framework based on corporate social performance (social science), business ethics (philosophy), and stakeholder theory (organizational science), and needs to move to a new paradigmatic level based on the natural sciences. Doing so would expand research horizons to include cosmological perspectives (astrophysics), evolutionary theory (biology, genetics, ecology), and non-sectarian spirituality concepts (theological naturalism, cognitive neuroscience). Absent this shift, SIM studies risk increasing irrelevance for scholars and business practitioners.

Abstract:A marketplace of morality (MOM) is a place where individuals act under the influence of their moral desires. A MOM produces an output representing the aggregate acted-upon moral preferences of its participants. Individual behavior is influenced by POPs, or passions of propriety. People implement POP preferences when they buy stock, purchase goods and services, choose jobs and so on. Firms respond by social cause marketing and other devices which encourage customers to align their social preferences with those represented by the (...) firm. The outputs of MOM constitute an important reference point for understanding business morality. Even so, the normative status of MOM outputs must be subject to principles of universal morality. A principle of greater preponderance is offered as a means for determining when a MOM output is ethically legitimate.A theory of moral choice, based upon the concept of a MOM, may have potential for providing a unifying framework integrating moral preferences, reasoning, behaviors and organizational contexts with broader political and economic concepts. (shrink)

Abstract:A marketplace of morality (MOM) is a place where individuals act under the influence of their moral desires. A MOM produces an output representing the aggregate acted-upon moral preferences of its participants. Individual behavior is influenced by POPs, or passions of propriety. People implement POP preferences when they buy stock, purchase goods and services, choose jobs and so on. Firms respond by social cause marketing and other devices which encourage customers to align their social preferences with those represented by the (...) firm. The outputs of MOM constitute an important reference point for understanding business morality. Even so, the normative status of MOM outputs must be subject to principles of universal morality. A principle of greater preponderance is offered as a means for determining when a MOM output is ethically legitimate.A theory of moral choice, based upon the concept of a MOM, may have potential for providing a unifying framework integrating moral preferences, reasoning, behaviors and organizational contexts with broader political and economic concepts. (shrink)