Integrative social contracts theory is a novel approach to normative questions and has been widely evaluated, discussed, and applied by academics and practitioners alike. While the "I" in ISCT leads the title, it has not received the analytical attention it deserves, especially since the "integrative" component in ISCT is multifaceted and at the conceptual core of the theory. In this paper we therefore take a closer look at two facets of integration. First, we examine the normative integration that takes place (...) in ISCT. For our analysis we draw on theories of legitimacy and obligation. Second, given that empirical inquiry is an important part of the normative integration, we take a closer look at how research that has applied or used ISCT has embraced the empirical components of the theory. This analysis of the normative–empirical integration focuses on problems and realities of empirical inquiry in ISCT. (shrink)

Businesses increasingly rely on algorithms that are data-trained sets of decision rules (i.e., the output of the processes often called “machine learning”) and implement decisions with little or no human intermediation. In this article, we provide a philosophical foundation for the claim that algorithmic decision-making gives rise to a “right to explanation.” It is often said that, in the digital era, informed consent is dead. This negative view originates from a rigid understanding that presumes informed consent is a static and (...) complete transaction. Such a view is insufficient, especially when data are used in a secondary, noncontextual, and unpredictable manner—which is the inescapable nature of advanced artificial intelligence systems. We submit that an alternative view of informed consent—as an assurance of trust for incomplete transactions—allows for an understanding of why the rationale of informed consent already entails a right to ex post explanation. (shrink)

We offer a precautionary account of why business managers should proactively rethink about what kinds of automation firms ought to implement, by exploring two challenges that automation will potentially pose. We engage the current debate concerning whether life without work opportunities will incur a meaning crisis, offering an argument in favor of the position that if technological unemployment occurs, the machine age may be a structurally limited condition for many without work opportunities to have or add meaning to their lives. (...) We term this the axiological challenge. This challenge, if it turns out to be persuasive, leads to a second challenge, to which managers should pay special attention: the teleological challenge, a topic especially relevant to the broad literature about corporate purpose and governance. We argue that both the shareholder profit-maximization model and its major alternative, stakeholder theory, are insufficient to address the meaning crisis. Unless rebutted, the two challenges compel business leaders to proactively rethink the purpose of business for future society. Otherwise, businesses will be contributors to a major ethical crisis and societal externality in the coming society. (shrink)

This study integrates theories of diffusion and social identity to conceptualize the diffusion of Sustainability Report as a result of a firm’s identification with its reference groups. Specifically, we first hypothesize four different sources of external stakeholder pressures driving the diffusion. Next, we argue that the source of external stakeholder pressures has a differential effect on the adoption of SR for firms that claim their identity on sustainability management. For firms with organizational identity claims, in-group stakeholder pressure will amplify whereas (...) out-group stakeholder pressure will dampen the adoption. We test our theory using an event-history analysis of 675 publicly traded firms in Korea during the period of 2003–2010. The results show that all four sources of external pressure serve as mechanisms through which SR spread in Korea. More importantly, we find support for the moderating role of organizational identity claims in the effect of external pressures. We discuss how organizational identity matters in the diffusion of corporate social initiatives along with implications for policy makers. (shrink)

ABSTRACT:We discuss workers’ dignity in hierarchical organizations. First, we explain why a conflict exists between high-ranking individuals’ authority and low-ranking individuals’ dignity. Then, we ask whether there is any justification that reconciles hierarchical authority with the dignity of workers. We advance a communitarian justification for hierarchical authority, drawing upon Confucianism, which provides that workers can justifiably accept hierarchical authority when it enables a certain type of social functioning critical for the good life of workers and other involved parties. The Confucian (...) communitarian perspective shows that promoting workers’ good life or well-being is an important condition for protecting their dignity. (shrink)

Most management researchers pause at the threshold of objective right and wrong. Their hesitation is understandable. Values imply a “subjective,” personal dimension, one that can invite religious and moral interference in research. The dominant epistemological camps of positivism and subjectivism in management stumble over the notion of moral objectivity. Empirical research can study values in human behavior, but hard-headed scientists should not assume that one value can be objectively better than another. In this article, we invite management researchers to rethink (...) this presumption. We show how accepting at least a limited form of moral objectivity, namely, an epistemic orientation that seeks objective moral reasons, can benefit management research by 1. guiding research practice; 2. using patterns of moral objectivity as clues for formulating empirical hypotheses for psychological explanations; and 3. adding prescriptive power to empirical theories. (shrink)

ABSTRACT:We argue that Confucianism makes a fundamental contribution to understanding why civility is necessary for a morally decent workplace. We begin by reviewing some limits that traditional moral theories face in analyzing issues of civility. We then seek to establish a Confucian alternative. We develop the Confucian idea that even in business, humans may be sacred when they observe rituals culturally determined to express particular ceremonial significance. We conclude that managers and workers should understand that there is a broad range (...) of morally important rituals in organizational life and that managers should preserve and develop the intelligibility and integrity of many of these rituals. (shrink)

People are often involuntarily laid off from their jobs through no fault of their own. Employees who are dismissed in this manner cannot always legitimately hold employers accountable for these miserable situations because the decision to implement layoffs is often the best possible outcome given the context—that is, layoffs in and of themselves may be “necessary evils.” Yet, even in circumstances in which layoffs qualify as “necessary evils,” morality demands that employers respect the dignity of those whose employment is involuntarily (...) terminated. In this paper I argue that to preserve the dignity of employees who are involuntarily terminated, in most cases employers have a substantial reason to offer a special kind of unemployment benefit, “severance pay.” To support my claim I draw and expand upon Bernard Williams’s analysis of “agent-regret,” which I believe greatly helps to address and articulate employers’ obligations in the context of involuntary termination. (shrink)

ABSTRACT:In this article I inquire into Confucian ethics from a non-ideal stance investigating the complex interaction between Confucian ideals and the reality of the modern workplace. I contend that even Confucian workers who regularly engage in social rites at the workplace have an internal, Confucian reason to appreciate the value of rights at the workplace. I explain, from a Confucian non-ideal perspective, why I disagree with the presumptuous idea that labor rights are necessarily incompatible with Confucian ideals and values. Specifically, (...) I argue that if managers were “sages,” the highest moral exemplars and authorities in the Confucian tradition, they would perceive that social rituals alone are often not a contextually intelligent and valued response for the development of intimate communities in the modern workplace. The sage perspective will lead Confucian managers to realize, from their own moral perspective, that they have good reason to balance rites with rights, so long as the adoption is extrinsically valuable and consistent with the Confucian ideal. This article contributes to the debates about Confucianism's compatibility with rights, helps Western human rights scholars better contextualize their arguments in Confucianism-influenced cultures, and contributes to the development of a Confucian or Chinese approach to business ethics. (shrink)

ABSTRACT:In this article we investigate a philosophical problem for normative business ethics theory suggested by a phenomenon that contemporary psychologists call “bounded ethicality,” which can be identified with the putative fact that well-intentioned people, constrained by psychological limitations, make ethical choices inconsistent with their own ethical beliefs and commitments. When one combines the idea that bounded ethicality is pervasive with the idea that a person morally ought to do something only if she can, it raises a doubt about the practical (...) relevance of the moral principles that business ethics theory prescribes. We call this doubt the Radical Behavioral Challenge. It consists in the idea that people cannot generally conform to the normative ethical principles that business ethics theorists prescribe, and that these principles are therefore practically irrelevant. We answer the Radical Behavioral Challenge and explore normative implications of our answer. (shrink)

ABSTRACT:We argue that Confucianism makes a fundamental contribution to understanding why civility is necessary for a morally decent workplace. We begin by reviewing some limits that traditional moral theories face in analyzing issues of civility. We then seek to establish a Confucian alternative. We develop the Confucian idea that even in business, humans may be sacred when they observe rituals culturally determined to express particular ceremonial significance. We conclude that managers and workers should understand that there is a broad range (...) of morally important rituals in organizational life and that managers should preserve and develop the intelligibility and integrity of many of these rituals. (shrink)

In light of the dramatic growth of Chinese learners worldwide and a need for cross-linguistic research on Chinese literacy development, this study drew upon theories of visual complexity effect (Su & Samuels, 2010) and dual-coding processing (Sadoski & Paivio, 2013) and investigated a) the effects of character properties (i.e., visual complexity and radical presence) on character acquisition and b) the relationship between individual learner differences in radical awareness and character acquisition. Participants included adolescent English-speaking beginning learners of Chinese in the (...) U.S. Following Kuo et al. (2014), a novel character acquisition task was used to investigate the process of acquiring the meaning of new characters. Results showed that a) characters with radicals and with less visual complexity were easier to acquire than characters without radicals and with greater visual complexity; and b) individual differences in radical awareness were associated with the acquisition of all types of characters, but the association was more pronounced with the acquisition of characters with radicals. Theoretical and practical implications of the findings were discussed. (shrink)

This study examines the participation and interaction of relevant individuals in the process of developing an accounting standard for South Korea’s emission trading scheme (ETS). Despite the enormous accounting implications of such schemes, there is a paucity of research on the development and application of ETS accounting. Ulrich Beck’s and Anthony Giddens’s risk society framework is utilised to scrutinise the process of setting accounting standards—from the agenda-setting stage all the way to the final publication of the standard. In this case (...) study, we take an interpretive approach in analysing the rich data collected through face-to-face interviews with prominent standard-setters, accounting experts and representatives of industry and government. Participant observation and relevant documents were also considered. The findings highlight the political nature of accounting standard-setting and identify the risks and responsibilities of the key agents in the process along with the means of sub-political action taken to influence decisions. We reveal that the agents involved in standard-setting attempted to balance their anthropocentric priorities with ecocentric responsibilities and prioritised the production of a standard with minimal impact on economic, reputational, and operational risk. Having authority as a standard-setter, referring frequently to precedents and, perhaps most importantly, engaging actively with the stakeholders throughout the process seem to have contributed to a widely accepted standard, which can serve as a benchmark for future attempts to factor in ETSs. (shrink)

Recently, business organizations have increasingly turned to a novel form of non-monetary incentives—that is, “gamification,” which refers to a motivation technique using video game elements, such as digital points, badges, and friendly competition in non-game contexts like workplaces. The introduction of gamification to the context of human resource management has immediately become embroiled in serious moral debates. Most notable is the accusation that using gamification as a motivation tool, employers exploit workers. This article offers an in-depth analysis of the moral (...) charge of exploitation. This article maintains that there are no clear grounds for believing that gamification of labor is exploitative and that if gamification of labor involves a wrong or vice, it must be something other than exploitation. (shrink)

The massive introduction of artificial intelligence has triggered significant societal concerns, ranging from “technological unemployment” and the dominance of algorithms in the work place and in everyday life, among others. While AI is made by humans and is, therefore, dependent on the latter for its purpose, the increasing capabilities of AI to carry out productive activities for humans can lead the latter to unwitting slavish existence. This has become evident, for example, in the area of social media use, where AI (...) programmers tie psychology and persuasion to the human social need for approval and validation in ways that few users can resist. We argue that AI should serve humans with humans as masters and not the other way around. Moreover, we propose that virtue ethics might play a role to solidify the human as master of AI and guard against the alternative of AI as the master. (shrink)

Using a survey of 393 employees who were natives and residents of China, Japan, and South Korea, we examined the extent to which employees from different countries within East Asia experience distributive justice when they perceived that their work outcomes relative to a referent other were equally poor, equally favorable, more poor, or more favorable. As predicted, we found that when employees perceived themselves relative to a referent other to be recipients of more favorable outcomes, Chinese and Korean employees were (...) less likely than Japanese employees to experience distributive injustice. We also found that these differences were partially mediated by employees’ level of materialism. Theoretical and practical implications of our findings are discussed. (shrink)

Stable and enduring cooperative relationships among people are primarily based on mutual trust. However, little evidence exists about the effects of mutual trust between supervisor and subordinate on work outcomes. To understand better the dynamics of trust in supervisor–subordinate relationships, we examined how mutual trust between supervisor and subordinate is associated with work outcomes. Based on a sample of 247 subordinate–supervisor pairs, multilevel analyses revealed a positive effect of perceived mutual trust on task performance and interpersonal facilitation after controlling for (...) trust in leader and felt trust. In addition, task performance and interpersonal facilitation increased as trust in leader and felt trust or trust in subordinate both increased. (shrink)

Split liver transplantation (SLT) provides an opportunity to divide a donor liver, offering transplants to two small patients (one or both could be a child) rather than keeping it whole and providing a transplant to a single larger adult patient. In this article, we attempt to address the following question that is identified by the Organ Procurement and Transplant Network and United Network for Organ Sharing: ‘Should a large liver always be split if medically safe?’ This article aims to defend (...) an answer—‘not always’—and clarify under what circumstances SLT is ethically desirable. Our answer will show why a more dynamic approach is needed to the ethics of SLT. First, we discuss a case that does not need a dynamic approach. Then, we explain what is meant by a dynamic approach and why it is needed. (shrink)

The Anticipatory and Consummatory Interpersonal Pleasure Scale is a psychometric instrument that has been used to indirectly measure social anhedonia in many cross-cultural contexts, such as in Western, European, Eastern, and Israeli samples. However, little is known about the psychometric properties of the ACIPS in Korean samples. The primary goal of this study was to validate the Korean version of the ACIPS among non-help-seeking individuals. The sample consisted of 307 adult individuals who had no current or prior psychiatric history. Participants (...) were administered the ACIPS, along with the Behavioral Inhibition and Behavioral Activation Scales and Beck Depression Inventory. We examined the association of the total ACIPS scores with the other measures. The ACIPS showed good internal consistency. We also explored the factor structure of the Korean translation of the ACIPS using principal component analysis with Promax rotation and Kaiser normalization. Factor analysis yielded a three-factor structure that accounted for 58.8% of the variance. The three-factor model included the following subdomains: interactions involving close relationships, casual interactions, and interactions involving family members. Total BAS and BIS scores were significantly associated with total ACIPS scores, while BDI scores were inversely associated with total ACIPS scores. The current research indicates that the Korean version of the ACIPS is a useful and valid scale. Future directions include using the Korean translation of the ACIPS to elucidate the varying degrees of hedonic capacity in psychiatric patients. (shrink)

This study examined the relationship between person–organization (PO) fit on prosocial identity (prosocial PO fit) and various employee outcomes. The results of polynomial regression analysis based on a sample of 589 hospital employees, which included medical doctors, nurses, and staff, indicate joint effects of personal and organizational prosocial identity on the development of a sense of organizational identification and on the engagement in prosocial behaviors toward colleagues, organizations, and patients. Specifically, prosocial PO fit had a curvilinear relationship with organizational identification, (...) such that organizational identification increased as organizational prosocial characteristics increased toward personal prosocial identity and then decreased when the organizational prosocial characteristics exceeded the personal prosocial identity. In addition, organizational identification and prosocial behaviors increased as both personal and organizational prosocial identity increased from low to high. (shrink)

Business and Society Review, Volume 127, Issue 2, Page 493-529, Summer 2022.

This study examined how leaders’ moral competence is linked to employees’ task performance and organizational citizenship behaviors. Based on a sample of 102 employee–supervisor pairs from seven organizations in South Korea, the results of this study revealed that leaders’ moral competence was positively associated with employees’ task performance and organizational citizenship behaviors toward leaders (OCBS). As expected, employees’ psychological empowerment partially mediated the relationship between leaders’ moral competence and employees’ task performance and OCBS. Furthermore, person–supervisor fit (PS fit) moderated the (...) relationship between leaders’ moral competence and employees’ psychological empowerment such that the relationships became stronger for individuals higher rather than lower in PS fit. (shrink)

Research shows that the effects of creative personality on moral disengagement and unethical behaviors are mixed. To reconcile the disparate findings, we draw on interdependence theory to unravel how and when creative personality is related to moral disengagement through countervailing pathways. Specifically, we propose competitive motivation and prosocial motivation as two distinct mechanisms that explain the double-edged effects of creative personality on moral disengagement and subsequent unethical behaviors. Furthermore, we hypothesize a cross-level moderating effect of competitive climate on the relationships (...) between competitive/prosocial motivation and moral disengagement. Results based on three-wave data from 753 employees showed that creative personality increased moral disengagement and subsequent unethical behaviors through competitive motivation but decreased moral disengagement and subsequent unethical behaviors through prosocial motivation. In addition, competitive climate weakened the negative relationship between prosocial motivation and moral disengagement and the negative indirect relationship between creative personality and unethical behaviors via prosocial motivation and moral disengagement. (shrink)