What are the ethical issues in this case? What are some reasons why the decision maker in this case might be inclined to go along? Not go along? If you were the decision maker, how would you handle the situation?

QUESTION

You’ve recently been promoted into the position of marketing manager in the communications division of your company. Your new job involves managing a staff and creating the publications and marketing materials for insurance sales professionals in three regions. You have met the directors of the three regional sales forces before, and now you ask each one for a meeting to discuss in depth how your team can best meet their needs. Two of the sales directors were very cordial, and each explained what the technical demands of their areas are and how your department can best meet their needs. However, during your meeting with Bill—the sales director of the third region and one of your firm’s biggest moneymakers—he lays down the law. He says that his area is the largest of the three regions, and it produces significantly more revenue for your company than the other two regions combined. “You and your people need to know that when I say, ‘Jump,’” he says, “they need to ask, ‘How high?’” In return, he says, he’ll recommend you and your people for every award the company has to offer. In addition, he says he’ll personally give you a monetary bonus, based on your team’s performance, at the end of the year. Although you have never heard of a manager giving someone a bonus out of his own pocket, you suspect that your company would frown on such a practice.

1. What are the ethical issues in this case?
2. What are some reasons why the decision maker in this case might be inclined to go along? Not go along?
3. If you were the decision maker, how would you handle the situation?

ANSWER

Addressing Ethical Challenges in a Managerial Role

Introduction

In this scenario, as a newly appointed marketing manager in the communications division, I find myself facing ethical challenges while dealing with Bill, the sales director of the largest and most profitable region. Bill demands unquestioning obedience from my team in exchange for personal benefits, including recommendations for awards and a potential monetary bonus. This essay aims to discuss the ethical issues involved, explore the decision-making process of the manager, and propose an approach to handle the situation in a responsible and ethical manner.

Ethical Issues

 Fairness and Equality: Bill’s demand for unwavering obedience suggests a disregard for treating all regions and employees fairly  (Yip et al.,2016). It raises concerns about favoritism, creating an inequitable work environment.

 Employee Autonomy and Respect: Bill’s expectation of blind obedience disregards the autonomy and expertise of my team members. It undermines their ability to contribute their unique skills and knowledge to the decision-making process.

 Ethical Leadership: Bill’s proposal of offering personal bonuses may breach ethical guidelines within the company. It potentially involves a conflict of interest and may compromise impartiality, leading to questionable decision-making.

Reasons for Compliance

 Financial Incentives: The promise of increased rewards, recommendations, and personal bonuses may appeal to the decision-maker’s personal gain and financial security, making them inclined to comply (Taj et al., 2005).

Fear of Consequences: The manager may fear potential repercussions, such as a strained relationship with Bill or negative impact on their career progression, if they refuse to comply with his demands.

Reasons for Non-Compliance

Ethical Responsibility: As a manager, it is essential to uphold ethical standards, treat employees fairly, and promote a healthy work environment. Compliance with Bill’s demands may compromise these principles.

Organizational Integrity: Complying with Bill’s demands and accepting personal bonuses may violate the company’s code of conduct, thereby undermining the organization’s integrity and trust.

Handling the Situation

As the decision-maker, it is crucial to address the situation in a manner that upholds ethical values and maintains the organization’s integrity. The following steps outline an appropriate course of action:

 Assess the Situation: Evaluate the ethical implications and potential consequences of complying with Bill’s demands. Consider the impact on team morale, equity, and the company’s reputation.

Seek Guidance: Consult with senior management, HR, or an ethics committee within the organization to obtain advice and support in navigating this challenging situation. Their guidance can provide insights into the company’s policies and ethical standards.

Open Dialogue: Arrange a meeting with Bill to discuss the concerns raised by his demands. Clearly communicate the need for fairness, equal treatment, and respect for all regions and employees. Emphasize the importance of ethical leadership and adherence to company policies.

Offer Alternatives: Suggest alternative ways to acknowledge and appreciate the region’s success, such as team-wide recognition or rewards based on performance metrics that align with the organization’s guidelines and values (Zola et al., 1981).

Document Discussions: Maintain a record of all conversations and correspondence related to this situation, ensuring transparency and clarity regarding the decisions made and the reasons behind them.

 Engage the Team: Communicate with the entire team, explaining the importance of ethical conduct and the commitment to fairness. Reinforce the organization’s values and encourage a culture of open communication and mutual respect.

Conclusion

In this complex scenario, the ethical challenges of compliance versus non-compliance with Bill’s demands require careful consideration. As the decision-maker, it is essential to prioritize fairness, employee autonomy, and adherence to organizational values. By engaging in open dialogue, seeking guidance, and proposing alternative solutions, it is possible to address the situation ethically while maintaining a healthy work environment. Ultimately, a commitment to integrityand ethical leadership will contribute to the long-term success and reputation of the organization.

References

Taj, R., & Khan, S. (2005). A study of reasons of non-compliance to psychiatric treatment. Journal of Ayub Medical College Abbottabad, 17(2).http://www.demo.ayubmed.edu.pk/index.php/jamc/article/view/4160

Yip, C., Han, N. L. R., & Sng, B. L. (2016). Legal and ethical issues in research. Indian journal of anaesthesia, 60(9), 684.https://www.ncbi.nlm.nih.gov/pmc/articles/PMC5037952/

Zola, I. K. (1981). Structural constraints in the doctor-patient relationship: the case of non-compliance. The relevance of social science for medicine, 241-252.https://link.springer.com/chapter/10.1007/978-94-009-8379-3_11