The literature on ethical behavior has called for studies that investigate the interaction between individual and contextual factors. This study examined whether moral identity interacts with ethical culture to predict unethical behavior at work and whether implicit and explicit moral identity affects unethical behavior distinctively. Our sample consisted of 238 participants who took part in an experiment involving an in-basket exercise that measured unethical behavior. Ethical culture was manipulated via a cover letter from (...) a fictitious company’s CEO, and moral identity was measured through a self-report scale and the Implicit Association Test (IAT). Findings indicate that implicit and explicit moral identity were negatively associated with unethical behavior and that organizational culture moderated the relationship between moral identity and unethical behavior. The results have theoretical and practical implications for understanding the interaction of predictors of unethical behavior by combining automatic and deliberate measures of moral identity with ethical culture. (shrink)

In the egoism philosophical framework, it is contended that when organizations focus on their long-term interests, they, without knowing it, advance the interests of society as a whole, which is perceived as ethical. In this research, this premise is challenged using data collected from the social media outlets of 29 randomly selected companies from the 2013 Fortune 500 list. Through qualitative comparative analysis, the exact opposite was found. In fact, the organizations that focused on striving for their long-term success are (...) perceived as unethical. It was also found that socially responsible organizations are perceived as ethical whereas those that misrepresent their positions and attempt to influence the decisions of others are perceived as unethical. Implications for managers are discussed, and future directions are suggested. (shrink)

This study is a comparison of the validity of theory of reasoned action and theory of planned behavior as applied to the area of moral behavior (i.e., illegal copying of software) using structural equation modeling. Data were collected from 181 university students on the various components of the theories and used to asses the influence of attitude, subjective norm, and perceived behavioral control on the intention to make unauthorized software copies. Theory of planned behavior was found to (...) be better than the theory of reasoned action in predicting unethical behavior. A modified version of the theory of planned behavior, with a causal path linking subjective norm to attitude, provided a significant improvement on model fit. The results indicated that perceived behavioral control is a better predictor of behavioral intention then attitude. The direct effect of subjective norm on behavioral intention was not significant, but the indirect effect through attitude was highly significant. Applicability of the theory of planned behavior for moral behavior and the implications for future research are discussed. (shrink)

This paper investigates the relationship between two outcomes of relationship marketing – affective commitment and behavioral loyalty – and consumers' unethical behavior. The main objective of the study is to assess whether affective commitment and behavioral loyalty to a store translate into more ethical behavior towards that store, controlling for the variables of age, gender, and ethical beliefs. The study does not rely on a single measurement tool, but is based on ten months' panel data and three (...) different mail surveys targeted at 359 Belgian households. The results provide support for our hypothesis that affective commitment is indeed negatively correlated with consumers' unethical behavior. The same conclusion could not be drawn for the relationship between behavioral loyalty and consumers' unethical behavior. No significant relationship was detected, not even in situations where affective commitment was high. The results hold major implications for retailing practice. (shrink)

Public university business schools appear to struggle in upholding their educational self. Corporate scandals linked to business graduates raise questions about the role of PUBS in the development of civilized societies. This study develops an ethical decision making model in the PUBS context based on moral theories and then empirically tests the model. The model hypothesizes that individuals’ moral philosophies in terms of egoism and utilitarianism as well as subjective norm in terms of peer influence affect their unethical behavioural (...) intention. Moreover, this study compares ethical levels between business students with those from other disciplines. Data was collected using a structured questionnaire from established public universities in Malaysia. The data was analysed using the Smart Partial Least Squares, a second generation structural equation modelling software, as well as the SPSS version 23. The results reveal that moral philosophies and subjective norm exert positive and significant effects on unethical behaviour intention. The study, however, found no significant effect with regard to unethical behaviours between business and non-business students. The authors argue that a university’s status may explain a student’s intentions towards ethics. Implications of the results and future research are proposed. (shrink)

Research suggests a direct negative relationship between peers’ unethical behavior and employees’ ethical intention. But several possible mechanisms might explain this relationship in more detail. For example, Machiavellianism is a personality trait characterized by interpersonal manipulation and the use of unethical means to achieve certain self‐interested ends, whether useful or pleasant. This article adopts an Aristotelian understanding of philia, related to three goods on which human relationships rest: useful, pleasant, and honest. We propose that Machiavellianism, a self‐interested, (...) pragmatic personality orientation, might explicate the relationship between peers’ unethical behavior and ethical intention. The results of a structural equation model applied to a sample of 436 banking employees in Spain reveals that Machiavellianism partially mediates the relationship between peers’ unethical behavior and employees’ ethical intention. We also find that with a greater level of peers’ unethical behavior, the negative effect of Machiavellianism on ethical intention increases, and that when peers’ unethical behavior is nonexistent, the negative effect of Machiavellianism on ethical intention disappears. These findings advance current literature by revealing that unethical peers can indirectly influence ethical intention, through shaping Machiavellianism. Our study is also the first to show that pairing high Machiavellians with ethical peers can help to cancel out the negative influence of Machiavellianism on ethical intention. (shrink)

We suggest that understanding unethical behavior in organizations involves understanding how people view themselves and their relationships with others, a concept known as self-construal. Across multiple studies, employing both field and laboratory settings, we examine the impact of three dimensions of self-construal (independent, relational, and collective) on unethical behavior. Our results show that higher levels of relational self-construal relate negatively to unethical behavior. We also find that differences in levels of relational self for men (...) and women mediate gender differences in unethical behavior. We discuss both the theoretical and practical implications of these findings. (shrink)

This article reports the findings of a survey examining whether gender differences influence the degree to which individuals recognize unethical conduct in the use and development of information technology. The results show that, on the average, there is a significant gender gap in the recognition of unethical behavior in information systems. Although, women are better able to recognize unethical actions described in information systems scenarios than men, the existence of statistically significant differences varies depending upon the (...) nature of the ethical dilemma. The findings of this study provide both managers and researchers valuable understanding regarding the differences (and similarities) in the reactions of individuals of both genders to unethical situations in information systems. (shrink)

This study examines how codes of conduct, monitoring, and penalties for dishonest reporting affect reporting honesty in an online labor market setting. Prior research supports the efficacy of codes of conduct in promoting ethical behavior in a variety of contexts. However, the effects of such codes and other methods have not been examined in online labor markets, an increasingly utilized resource that differs from previously examined settings in several key regards (e.g., transient workforce, lack of an established culture). Leveraging (...) social norm activation theory, we predict and find experimental evidence that while codes of conduct and monitoring without economic penalties are ineffective in online settings, monitoring with economic penalties activates social norms for honesty and promotes honest reporting in an online setting. Further, we find that imposing penalties most effectively promotes honest reporting in workers who rate high in Machiavellianism, a trait that is highly correlated with dishonest reporting. In fact, while in the absence of penalties we observe significantly more dishonest reporting from workers who rate high versus low in Machiavellianism, this difference is eliminated in the presence of penalties. Implications of these findings for companies, researchers, online labor market administrators, and educators are discussed. (shrink)

ABSTRACT Although basic values have been linked with unethical attitudes and behavior in non-sport contexts, their association with doping in sport has yet to be established. We examined the relationships between basic values and doping likelihood. College athletes rated the importance of basic values using the Portrait Values Questionnaire Revised and indicated their likelihood of doping in a hypothetical scenario. In terms of basic value dimensions, self-enhancement values were positively related to doping likelihood, openness to change values were (...) unrelated to doping likelihood, and self-transcendence and conservation values were negatively related to doping likelihood. In terms of the values categories, the values-doping relationship was best characterized by an unethicality pattern of coefficients. In conclusion, the current evidence extends the values-unethicality relationship to the context of sport and confirms that doping resembles other forms of unethical behavior. (shrink)

This study examined the relationship between unethical employee behavior and the dimensions of the Ethical Climate Questionnaire (ECQ). In order to explore the relationship between the dimensions of the ECQ and unethical behavior, the factor structure of five previously identified empirical models and the hypothesized nine-dimension model for the ECQ was tested with a confirmatory factor analysis. The analysis revealed that the hypothesized nine-dimension model provided as good or even better fit to the data than the (...) five empirically derived models. Therefore, the nine-dimensional model was used to examine the criterion-related validity of the ECQ. The results demonstrated that the nine ethical climate dimensions were correlated with some of the unethical behaviors examined in this study, but not others. However, the results clearly demonstrated that most of the ethical climate dimensions were significantly related to an aggregate measure of unethical behavior. It was suggested that these results might account for the differences in previous studies on the criterion-related validity of the ECQ. The results also replicated a previous report that the association between unethical behavior and ethical climate is stronger in organizations that do not have a code of ethics. Finally, a difference was observed in the ethical climates for organizations with a code of ethics and organizations without a code of ethics. (shrink)

We investigate the extent to which perceptions of the authenticity of supervisor’s personal integrity and character (ASPIRE) moderate the relationship between people’s love of money (LOM) and propensity to engage in unethical behavior (PUB) among 266 part-time employees who were also business students in a five-wave panel study. We found that a high level of ASPIRE perceptions was related to high love-of-money orientation, high self-esteem, but low unethical behavior intention (PUB). Unethical behavior intention (PUB) (...) was significantly correlated with their high Machiavellianism, low self-esteem, and low intrinsic religiosity. Our counterintuitive results revealed that the main effect of LOM on PUB was not significant, but the main effect of ASPIRE on PUB was significant. Further, the significant interaction effect between LOM and ASPIRE on unethical behavior intention provided profoundly interesting findings: High LOM was related to high unethical behavior intention for people with low ASPIRE, but was related to low unethical intention for those with high ASPIRE. People with high LOM and low ASPIRE had the highest unethical behavior intention; whereas those with high LOM and high ASPIRE had the lowest. We discuss results in light of individual differences, ethical environment, and perceived demand characteristics. (shrink)

Research by academics, professional organizations, and businesses on ethics in the workplace often relies on surveys that ask employees to report how frequently they have observed others engaging in unethical behavior. But what do these frequencies in observer-reports say about the frequencies of committed unethical behavior? This paper is the first to address this question by empirically exploring the relationship between observer- and self-reports. Our survey research among the Swiss working population shows that for all 37 (...) different forms of unethical behavior investigated, observer-reports show higher frequencies than self-reports. Ratios of observer- to self-reports vary substantially among these forms, ranging from 1.46 for improperly gathering competitor’s confidential information to 6.4 for engaging in (sexual) harassment or creating a hostile work environment. The results indicate that researchers should not assume that the frequency in self-reports can generally be approximated by the frequency in observer-reports. Four possible explanations are presented for the differences in ratios, with recommendations for future research. (shrink)

This paper is designed to do four things. First, the paper discusses the importance of groupthink in contributing to unethical behavior. Second, the paper discribes how groupthink contributed to unethical behavior in three organizations (Beech-Nut, E. F. Hutton, and Salomon Brothers). Third, symptoms of groupthink (such as arrogance, overcommitment, and excessive loyalty to the group) will be presented along with two methods for programming conflict (devil's advocate and dialectic) into an organization and group's decisions. Finally, the (...) paper introduces some prescriptions for reducing the probability of groupthink. (shrink)

When corporations are accused of unethical behaviour by external actors, executives from those organizations are usually compelled to offer communicative responses to defend their corporate image. To demonstrate the effect that corporate executives'' communicative responses have on third parties'' perception of corporate image, we present the Corporate Communicative Response Model in this paper. Of the five potential communicative responses contained in this model (no response, denial, excuse, justification, and concession), results from our empirical test demonstrate that a concession is (...) the most effective and robust communicative option. (shrink)

Enterprise management often encourages their marketing personnel to offer gifts to purchasers of clients but won''t allow the purchasers of the company to accept gifts. This double standards create an atmosphere of dishonesty in the company.When considering that purchasers fulfilling the procurement function for a company are the major spenders of company funds, and that purchasers are frequently tempted to accept gifts and prevailing double standards within the company, it is no wonder that they sometimes succumb to unethical behaviour. (...) The purchasing environment thus creates an atmosphere conductive to unethical behaviour. (shrink)

ABSTRACT:We call for business ethics scholars to focus more attention on how individuals and organizations respond in the aftermath of unethical behavior. Insight into this issue is drawn from restorative justice, which moves beyond traditional approaches that emphasize retribution or rehabilitation to include restoring victims and other affected parties, reintegrating offenders, and facilitating moral repair in the workplace. We review relevant theoretical and empirical work in restorative justice and develop a conceptual model that highlights how this perspective can (...) enhance theory and empirical research in business ethics. We specifically identify topic areas that we believe have particular promise for business ethics scholars to pursue. We close our paper by discussing implications of the restorative justice approach for practicing managers. (shrink)

A business code of ethics is widely regarded as an important instrument to curb unethical behavior in the workplace. However, little is empirically known about the factors that determine the impact of a code on unethical behavior. Besides the existence of a code, this article studies five determining factors: the content of the code, the frequency of communication activities surrounding the code, the quality of the communication activities, and the embedment of the code in the organization (...) by senior management as well as local management. The full model explains 32% of observed unethical behavior while the explanatory value of a code alone is very modest. The study shows when codes are effective, and even when they become counter effective. (shrink)

This research examines business and psychology students’ attitude toward unethical behavior (measured at Time 1) and their propensity to engage in unethical behavior (measured at Time 1 and at Time 2, 4 weeks later) using a 15-item Unethical Behavior measure with five Factors: Abuse Resources, Not Whistle Blowing, Theft, Corruption, and Deception. Results suggested that male students had stronger unethical attitudes and had higher propensity to engage in unethical behavior than female (...) students. Attitude at Time 1 predicted Propensity at Time 1 accurately for all five factors (concurrent validity): If students consider it to be unethical, then, they are less likely to engage in that unethical behavior. Attitude at Time 1 predicted only Factor Abuse Resources for Propensity at Time 2. Propensity at Time 1 was significantly related to Propensity at Time 2. Attitude at Time 1, Propensity at Time 1, and Propensity at Time 2 had achieved configural and metric measurement invariance across major (business vs. psychology). Thus, researchers may have confidence in using these measures in future research. (shrink)

The social scientific study of ethical-unethical behavior in work organizations is in an early stage of development. This paper discusses some of the problems of conducting social scientific research in this area and explores the potential contribution of experimental research approaches. Both laboratory and field experimentation allow the investigator to test theory-based hypotheses and to study causal relations. Examples are provided of investigations that have applied these methods to the study of business ethics.

This paper investigates the relationship between two outcomes of relationship marketing - affective commitment and behavioral loyalty - and consumers' unethical behavior. The main objective of the study is to assess whether affective commitment and behavioral loyalty to a store translate into more ethical behavior towards that store, controlling for the variables of age, gender, and ethical beliefs. The study does not rely on a single measurement tool, but is based on ten months' panel data and three (...) different mail surveys targeted at 359 Belgian households. The results provide support for our hypothesis that affective commitment is indeed negatively correlated with consumers' unethical behavior. The same conclusion could not be drawn for the relationship between behavioral loyalty and consumers' unethical behavior. No significant relationship was detected, not even in situations where affective commitment was high. The results hold major implications for retailing practice. (shrink)

Largely due to the difficulty of observing behavior, empirical business ethics research relies heavily on the scenario methodology. While not disputing the usefulness of the technique, this paper highlights the importance of a careful assessment of the fit between the context of the situation described in the scenario and the knowledge and experience of the respondents. Based on a study of online auctions, we provide evidence that even respondents who have direct knowledge of the situation portrayed in the scenario (...) may develop significantly different assessments of the level of unethical behavior. Further, those assessments may be conditioned in different ways by the same moderating variables. We conclude that care should be exercised when recruiting respondents to choose only those who can be expected to understand the scenario in its true context and that separate analyses should be conducted for groups of respondents who have different perspectives within that context. (shrink)

There is a possibility that the ethical problems that have recently surfaced at General Electric, E. F. Hutton and General Dynamics are not simple anomalies, but the direct result of corporate pressures on individual managers. The author looks at the nature of these pressures, which come from the strategic planning systems in use at most large corporations, and concludes that the current emphasis upon improvements in competitive positioning have led many managers to take actions that are directly contrary to the (...) moral standards, either explicit or implied, of their organizations. (shrink)

In this study, we propose and test a model of the effects of organizational ethical culture and organizational architecture on the perceived unethical behavior of employees towards customers. This study also examines the relationship between organizational ethical culture and moral acceptability judgment, hypothesizing that moral acceptability judgment is an important stage in the ethical decision-making process. Based on a field study in one of the largest financial institutions in Europe, we found that organizational ethical culture was significantly related (...) to the perceived frequency of unethical behavior towards customers and to the moral acceptability judgment of this type of unethical behavior. No support was found for the claim that features of organizational architecture are associated with the perceived frequency of unethical behavior towards customers. This is the first study to document the differential effects of organizational architecture and organizational ethical culture on perceived unethical behavior of employees towards customers, in wholesale banking. Implications for managers and future research are discussed. (shrink)

Purpose – The purpose of this study is to investigate the reasons behind unethical behaviour in the Australian Information and Communications Technology workplace. Design/methodology/approach – The study employed a qualitative research methodology. A total of 43 ICT professionals were interviewed during the month of February 2014 in six Australian capital cities. All interviews were conducted face-to-face and followed a semi-structured interviewing format utilising open-end questions and further probing questions. The purposive sample represented ICT professionals from large and small organisations, (...) government and private sector, different geographic locations, ages, genders, types of jobs and employment experience. Data analysis was completed with the help of QSR NVivo 10, a software package for managing qualitative data. Findings – Of the 25 reasons identified for unethical behaviour in ICT workplaces, 30 per cent of participants agreed on five major ones: pressure, bad management, greed, lack of respect towards ICT and communication issues. Practical implications – By focussing on the reasons behind unethical behaviour in the Australian ICT workplace, this article helps those identifying strategies for dealing with unprofessional behaviour to take into account the root causes of unprofessional behaviour. Originality/value – There is hardly any literature on reasons for unethical behaviour in the ICT workplaces. This article seeks to address this imbalance in the literature. Also, integrity systems in ICT are a new focus in collective, organisational ethics. Identification of and resolving unethical ICT workplace practice is an innovative contribution to the literature. (shrink)

The spread of unethical behavior in organizations has mainly been studied in terms of processes occurring in a general social context, rather than in terms of actors’ reactions in the context of their specific social relationships. This paper introduces a dynamic social network analysis framework in which this spread is conceptualized as the result of the reactions of perpetrators, victims, and observers to an initial act of unethical behavior. This theoretical framework shows that the social relationships (...) of the actors involved in an initial act impact in multiple ways the likelihood that unethical behavior spreads. It reveals furthermore that social relationships may change in the wake of unethical behavior, such that indirect negative consequences can arise for organizations. The proposed framework provides a basis for the development of a formal stochastic actor-oriented model of network dynamics which would enable simulations of the spread of unethical behavior. (shrink)

Background:This study is the result of findings from a previous dissertation conducted by this author on Student Nurses’ Unethical Behavior, Boundaries, and Social Media. The use of social media can be detrimental to the nurse–patient relationship if used in an unethical manner.Method:A mixed method, using a quantitative approach based on research questions that explored differences in student nurses’ unethical behavior by age and clinical cohort, the relationship of unethical behavior to the utilization of (...) social media, and analysis on year of birth and unethical behavior. A qualitative approach was used based on a guided faculty interview and common themes of student nurses’ unethical behavior.Participants and Research Context:In total, 55 Associate Degree nursing students participated in the study; the research was conducted at Central Texas College. There were eight faculty-guided interviews.Ethical considerations:The main research instrument was an anonymous survey. All participants were assured of their right to an informed consent. All participants were informed of the right to withdraw from the study at any time.Findings:Findings indicate a significant correlation between student nurses’ unethical behavior and use of social media and a significant difference between student unethical conduct by generation ) and by clinical cohort. Further findings from the follow-up study on year of birth and student unethical behavior reveal a correlation coefficient of 0.384 with a significance level of 0.003.Discussion:Surprisingly, the study found that second-semester students had less unethical behavior than first-, third-, and fourth-semester students. The follow-up study found that this is because second-semester students were the oldest cohort.Conclusion:Implications for positive social change for nursing students include improved ethics education that may motivate ethical conduct throughout students’ careers nationally and globally for better understanding and promotion of ethics and behavior. (shrink)

A significant body of research has emerged in order to better understand unethical behavior at work and how gender plays a role in the process. In this study, we look to add to this literature by exploring how perpetrator gender influences reactions to distinct types of unethicality. Rather than viewing unethical behavior as a unitary construct, where all forms of lying, cheating, and stealing are the same, we integrate theories and concepts from the criminal justice and (...) moral psychology literatures to categorize certain unethical behaviors as either impulsive or premeditated. Given the agentic nature of premeditated unethical behavior, we draw from role congruity theory to predict that women will be punished more severely than men for their role incongruous actions. Impulsive unethical behavior, on the other hand, will be less likely to elicit perceptions of congruity or incongruity, leading to less of a gender effect. Results from three studies sampling both undergraduates and working adults in the United States, Singapore, and South Korea showed that participants were more likely to associate premeditated unethical behavior with a male perpetrator because it was seen as less feminine, and female perpetrators who engaged in premeditated unethical behavior received more severe punishment than male perpetrators due to the perceived role incongruity of their actions. Implications are discussed as well as possible limitations and directions for future research. (shrink)

While top-down descriptors have received much attention in explaining corruption, we develop a grassroots model to describe structural factors that may influence the emergence and spread of an individual’s (un)ethical behavior within organizations. We begin with a discussion of the economics justification of the benefits of competition, a rationale used by firms to adopt structural aides such as the ‹stacking’ practice that was implemented at Enron. We discuss and develop an individual-level theory of planned behavior, then extend it (...) to the dyadic level in an internally competitive organization, and finally extend the dyadic model to the social network. We apply social network theory to predict favorable and unfavorable conditions for the emergence and diffusion of an intraorganizational instance of unethical behavior and find that network conditions favoring the suppression of the emergence of unethical behavior also promote its diffusion. For illustrative purposes, we utilize examples from Enron’s internally competitive structure to embed our arguments in a real world context and bring reality to our theorizing. Implications for both researchers and managers are discussed. (shrink)

Pornography is no longer an activity confined to a small group of individuals or the privacy of one’s home. Rather, it has permeated modern culture, including the work environment. Given the pervasive nature of pornography, we study how viewing pornography affects unethical behavior at work. Using survey data from a sample that approximates a nationally representative sample in terms of demographics, we find a positive correlation between viewing pornography and intended unethical behavior. We then conduct an (...) experiment to provide causal evidence. The experiment confirms the survey—consuming pornography causes individuals to be less ethical. We find that this relationship is mediated by increased moral disengagement from dehumanization of others due to viewing pornography. Combined, our results suggest that choosing to consume pornography causes individuals to behave less ethically. Because unethical employee behavior has been linked to numerous negative organization outcomes including fraud, collusion, and other self-serving behaviors, our results have implications for most societal organizations. (shrink)

This field survey in a fast food restaurant setting tested the hypothesized influences of two social context variables (role responsibility and interests of group members) and justice evaluations (distributive, procedural, and retributive) on respondents' inclination to report theft and their theft reporting behavior. The results provided mixed support for the hypotheses. Inclination to report a peer for theft was associated with role responsibility, the interests of group members, and procedural justice perceptions. Actual reporting behavior was associated with the (...) inclination to report and with retributive justice evaluations. Implications for future research and for management are discussed. (shrink)

This study explores the relationship between individual birthplace [rural birthplace (RB) and urban birthplace (UB)] and consumer unethical behavior (CUB). As a result, CUB is verified to closely relate to individual birthplace, and those new urban residents with RB are found to behave more ethically than the patrimonial urban residents with UB in CUB4 (“no harm/no foul”). This study also finds that the differentiation of CUB between two categories of consumers is correlated with the personal moral ideology or (...) Machiavellianism (MA) functioning with varying degree, which idealism ideology is a main variable impacting on the unethical behaviors of the members born in the rural subculture while MA for those in the urban one. Additionally, the “no harm/no foul” (CUB4) and the “actively benefiting from a questionable action” (CUB3) in the list of CUBs are found to be more efficient in discriminating the two groups than the other two kinds, the “passively benefiting at the expense of others” (CUB2) and the “actively benefiting from an illegal activity” (CUB1). The results shed light on the roles of individual birthplace in influencing CUB and contribute to a better understanding on the effects of subculture on CUB. (shrink)

Business Ethics, the Environment & Responsibility, Volume 31, Issue 2, Page 577-588, April 2022.

The existing literature provides conflicting evidence of whether a collectivistic value orientation is associated with ethical or unethical behavior. To address this confusion, we integrate collectivism theory and research with prior work on social identity, moral boundedness, group morality, and moral identity to develop a model of the double-edged effects of collectivism on employee conduct. We argue that collectivism is morally bounded depending on who the other is, and thus it inhibits employees’ motivation to engage in unethical (...) pro-self behavior, yet strengthens their motivation to engage in unethical pro-organization behavior. We further predict that these effects are mediated by the psychological mechanism of organizational goal commitment and moderated by a person’s strength of moral identity. Results of three studies conducted in China and the United States and involving both field and experimental data offer strong support for our hypotheses. Theoretical and practical implications of the research are discussed. (shrink)

This research investigates the efficacy of business ethics intervention, tests a theoretical model that the love of money is directly or indirectly related to propensity to engage in unethical behavior (PUB), and treats college major (business vs. psychology) and gender (male vs. female) as moderators in multi-group analyses. Results suggested that business students who received business ethics intervention significantly changed their conceptions of unethical behavior and reduced their propensity to engage in theft; while psychology students without (...) intervention had no such changes. Therefore, ethics training had some impacts on business students' learning and education (intelligence). For our theoretical model, results of the whole sample (N = 298) revealed that Machiavellianism (measured at Time 1) was a mediator of the relationship between the love of money (measured at Time 1) and unethical behavior (measured at Time 2) (the Love of Money → Machiavellianism → Unethical Behavior). Further, this mediating effect existed for business students (n = 198) but not for psychology students (n = 100), for male students (n = 165) but not for female students (n = 133), and for male business students (n = 128) but not for female business students (n = 70). Moreover, when examined alone, the direct effect (the Love of Money → Unethical Behavior) existed for business students but not for psychology students. We concluded that a short business ethics intervention may have no impact on the issue of virtue (wisdom). (shrink)

In this study, we propose and test a model of the effects of organizational ethical culture and organizational architecture on the perceived unethical behavior of employees towards customers. This study also examines the relationship between organizational ethical culture and moral acceptability judgment, hypothesizing that moral acceptability judgment is an important stage in the ethical decision-making process. Based on a field study in one of the largest financial institutions in Europe, we found that organizational ethical culture was significantly related (...) to the perceived frequency of unethical behavior towards customers and to the moral acceptability judgment of this type of unethical behavior. No support was found for the claim that features of organizational architecture are associated with the perceived frequency of unethical behavior towards customers. This is the first study to document the differential effects of organizational architecture and organizational ethical culture on perceived unethical behavior of employees towards customers, in wholesale banking. Implications for managers and future research are discussed. (shrink)

An increasing number of studies explore the relationship between ethical leadership and subordinates’ work behavior. However, it remains unclear whether ethical leadership affects subordinates’ perceptions of the person-job fit and perceived person-organization fit. We examine the effects of ethical leadership on subordinates’ sense of person-environment fit in terms of its effect on displays of positive and negative behaviors. We collected data from 414 employees from various industries over three time periods. Hypotheses were tested using structural equation modeling (SEM). The (...) SEM results show that person-job fit and person-organization fit mediate the effects of ethical leadership on proactive, and unethical behavior. Person-organization fit mediates the effects of ethical leadership on proactive behavior by the organization and unethical behavior by the organization. These results have implications for management. (shrink)

This article uses behavioral theories to develop an ethical decision-making model that describes how psychological factors affect the development of unethical intentions to commit fraud. We evaluate the effects of the dark triad of personality traits on fraud intentions and behaviors. We use a combination of survey results, an experiment, and structural equation modeling to empirically test our model. The theoretical insights demonstrate that psychopathy, Machiavellianism, and narcissism affect different parts of the unethical decision-making process. Narcissism motivates individuals (...) to act unethically for their personal benefit and changes their perceptions of their abilities to successfully commit fraud. Machiavellianism motivates individuals not only to act unethically, but also alters perceptions about the opportunities that exist to deceive others. Psychopathy has a prominent effect on how individuals rationalize their fraudulent behaviors. Accordingly, we find that the dark triad elements act in concert as powerful psychological antecedents to fraud behaviors. (shrink)

This paper is designed to do three things. First, it discusses some of the key trends in business ethics in the academic and corporate communities. Initiatives like the Arthur Andersen Business Ethics Program are noted. Secondly, the paper examines certain basic misconceptions about the field and concludes that the adage that good ethics is good business is still true. Finally, the paper highlights fourteen business attitudes or practices that may put a firm at ethical risk. For example, the paper discusses (...) the risk of using ethics as simply a public relations initiative.Man's life is not a state of unalloyed happiness. The earth is no paradise. Although this is not the fault of social institutions, people are wont to hold them responsible for it. The foundation of any and every civilization, including our own, is private ownership of the means of production. Whoever wishes to criticize modern civilization, therefore, begins with private property. It is blamed for everything that does not please the critic, especially those evils that have their origin in the fact that private property has been hampered and restrained in various respects so that its full social potentialities cannot be realized.1. (shrink)

How are individuals affected by their own self-interested unethical behavior? Although self-interested unethical behavior commonly occurs as people attempt to advantage themselves, we argue that this unethical behavior can have deleterious implications for individuals and their social relationships. We propose that engaging in self-interested unethical behavior is positively related to state paranoia—an aversive psychological state. In turn, the social cognitive biases underlying state paranoia can prompt people to misjudge the potential for social (...) threat. This may motivate them to curtail coworker-directed affiliative behavior, thereby inadvertently undermining their social relationships. Our predictions were supported across four studies, including a behavioral study in a controlled environment, a recall study, a field survey in a single organization, and a two-wave survey. Theoretical and practical implications include highlighting the importance of understanding the personal and social consequences of self-interested unethical behavior as well as the impact of state paranoia in the workplace. (shrink)

This study examines a model involving income, the love of money, pay satisfaction, organizational commitment, job changes, and unethical behavior among 211 full-time employees in Hong Kong, China. Direct paths suggested that the love of money was related to unethical behavior, but income (money) was not. Indirect paths showed that income was negatively related to the love of money that, in turn, was negatively related to pay satisfaction that, in turn, was negatively associated with unethical (...) behavior. Pay satisfaction was positively related to organizational commitment. Thus, the love of money is the root of evil, but money is not. (shrink)

Time pressure has been shown to have a negative impact on ethical decision-making. This paper uses an experimental approach to examine the impact of an antecedent of time pressure, whether it is anticipated or not, on participants’ perceptions of unethical behaviour. Utilising 60 business school students at an Australian university, we examine the differential impact of anticipated and unanticipated time deadline pressure on participants’ perceptions of the likelihood of unethical behaviour occurring. We find the perception of the likelihood (...) of unethical behaviour occurring to be significantly reduced when time pressure is anticipated rather than unanticipated. The implications of this finding for both professional service organisations and tertiary institutions are considered. (shrink)

The purpose of this study is to investigate the influence of the dimensions of the theory of planned behavior, gender and course majors on unethical behavior intentions among Generation Y undergraduates. The sample of this study comprises 245 undergraduates from a private higher education institution (PHEI) in Malaysia. The instrument of this study is developed based on concepts developed from extant literature. Reliability and validity is accessed using Cronbach’s Alpha and Exploratory Factor Analysis respectively. Social desirability bias (...) was monitored utilizing concepts adapted from Phillips and Clancy (American Journal of Sociology, 77(5), 921–940, 1972 ). Multiple Linear Regression and Independent sample T-tests were used for hypotheses testing. As a whole, results indicate that egoism, utilitarianism and magnitude of consequences exerted significant influence on unethical behavior intentions. Peer influence was not significant. In terms of gender, unethical intentions among males were influenced by egoism and peer influenced while females by utilitarianism and magnitude of consequences. Business majors did not consider magnitude of consequences significant in unethical behavior intentions. Ethical values form the fundamentals of ethical culture within organizations and a business environment which is increasingly based on self-regulation. Ethics is an essential part of the holistic personal development of future business leaders. As such, by understanding ethical attitudes and perceptions, we can draw implications for the further enhancements of teaching and learning of Business Ethics in academia as well as the development of ethical culture in the Malaysian context. Educators, parents and society also need to realise their role in the ethical development of these future Malaysian leaders. The framework of this study could be extended to actual behaviors, adult samples and also account for religiosity and age. This study utilizes the established dimensions and framework of the Theory of Planned Behavior in bridging the gap of research in unethical behavior within the context of a PHEI in Malaysia. (shrink)

Previous research indicates that students in engineering self-report cheating in college at higher rates than those in most other disciplines. Prior work also suggests that participation in one deviant behavior is a reasonable predictor of future deviant behavior. This combination of factors leads to a situation where engineering students who frequently participate in academic dishonesty are more likely to make unethical decisions in professional practice. To investigate this scenario, we propose the hypotheses that (1) there are similarities (...) in the decision-making processes used by engineering students when considering whether or not to participate in academic and professional dishonesty, and (2) prior academic dishonesty by engineering students is an indicator of future decisions to act dishonestly. Our sample consisted of undergraduate engineering students from two technically-oriented private universities. As a group, the sample reported working full-time an average of six months per year as professionals in addition to attending classes during the remaining six months. This combination of both academic and professional experience provides a sample of students who are experienced in both settings. Responses to open-ended questions on an exploratory survey indicate that students identify common themes in describing both temptations to cheat or to violate workplace policies and factors which caused them to hesitate in acting unethically, thus supporting our first hypothesis and laying the foundation for future surveys having forced-choice responses. As indicated by the responses to forced-choice questions for the engineering students surveyed, there is a relationship between self-reported rates of cheating in high school and decisions to cheat in college and to violate workplace policies; supporting our second hypothesis. Thus, this exploratory study demonstrates connections between decision-making about both academic and professional dishonesty. If better understood, these connections could lead to practical approaches for encouraging ethical behavior in the academic setting, which might then influence future ethical decision-making in workplace settings. (shrink)

Many organizations have adopted an organizational ethics program to prevent unethical behavior within the organization. Decoupling the adoption of ethics programs from their implementation has been identified in the literature as an explanation for the ineffectiveness of such programs. In addition to this so-called policy–practice decoupling, means–ends decoupling may also occur when a well-implemented ethics program is nevertheless ineffective. This study investigates whether team ethical culture (TEC) acts as a coupling mechanism that mediates the effects of a well-implemented (...) ethics program on unethical behavior in teams. We conducted a survey of 202 teams working in a business organization in the UK. The results of a structural equation analysis support the claim that TEC mediates this relationship. Based on this team-level case study, we argue that organizations that aim to implement an effective ethics program should acknowledge and manage TECs to avoid means-ends decoupling. (shrink)

Although the ethical dimension of transformational leadership has frequently been discussed over the last years, there is little empirical research on employees’ ethical behavior as an outcome of transformational leadership. This two-study investigation examined the relationship between transformational leadership and unethical yet pro-organizational follower behavior. Moreover, mediating and moderating processes were addressed. Our research yielded a positive relationship between transformational leadership and employees’ willingness to engage in UPB. Furthermore, both studies showed employees’ organizational identification to function as (...) a mediating mechanism and employees’ personal disposition toward ethical/unethical behavior to moderate the relationship between organizational identification and willingness to engage in UPB. Altogether, results indicate transformational leadership to entail a certain risk of encouraging followers to contribute to their company’s success in ways that are generally considered to be unethical. Implications regarding the ethical dimension of transformational leadership are discussed. (shrink)