Why Ethical People Make Unethical Choices

Despite having ethics and compliance policies, organizations may still face ethical misconduct among their employees. To understand the causes of such behavior, it is essential to examine individual, issue-specific, and environmental factors.

Key Facts

  1. Individual Factors:
    • Personal characteristics: Some individuals may be more inclined to make unethical choices due to their specific views, values, and self-interest.
    • Lack of ethical awareness: Employees who are not aware of what constitutes ethical behavior may engage in misconduct.
  2. Issue-Specific Factors:
    • Perceived distance or delayed harm: When individuals do not see the direct impact or immediate consequences of their actions, they may be more likely to act unethically.
    • Influence of peers: People may be influenced by the unethical behavior of their colleagues, perceiving it as more acceptable.
  3. Environmental Factors:
    • Organizational culture: If an organization promotes individualistic behavior and rewards bottom-line achievements without considering ethical conduct, employees may be more prone to unethical behavior.
    • Lack of ethical leadership: When leaders do not demonstrate personal character and ethical behavior, it can set a negative tone and influence employees to engage in misconduct.

Individual Factors

  • Personal characteristics: Some individuals may be more inclined to make unethical choices due to their specific views, values, and self-interest. They may prioritize personal gain over ethical considerations and fail to recognize the consequences of their actions.
  • Lack of ethical awareness: Employees who are not aware of what constitutes ethical behavior may engage in misconduct. This can result from a lack of training or guidance on ethical decision-making.

Issue-Specific Factors

  • Perceived distance or delayed harm: When individuals do not see the direct impact or immediate consequences of their actions, they may be more likely to act unethically. This is common in situations where the victim is distant or the harm is not immediately apparent.
  • Influence of peers: People may be influenced by the unethical behavior of their colleagues, perceiving it as more acceptable. This can occur when unethical behavior is normalized within a team or organization.

Environmental Factors

  • Organizational culture: If an organization promotes individualistic behavior and rewards bottom-line achievements without considering ethical conduct, employees may be more prone to unethical behavior. This can create a culture where ethical considerations are overlooked in favor of personal success.
  • Lack of ethical leadership: When leaders do not demonstrate personal character and ethical behavior, it can set a negative tone and influence employees to engage in misconduct. Leaders who engage in unethical behavior or fail to address ethical issues create a permissive environment for misconduct.

In conclusion, ethical misconduct can result from a combination of individual, issue-specific, and environmental factors. To promote ethical behavior in organizations, it is crucial to address these factors through training, leadership development, and the creation of a culture that values and rewards ethical conduct.

References:

  1. Carucci, R. (2016, December 16). Why Ethical People Make Unethical Choices. Harvard Business Review. https://hbr.org/2016/12/why-ethical-people-make-unethical-choices
  2. Tobah, B., & Fischhoff, M. (2022, June 17). 3 Reasons Employees Act Unethically. Network for Business Sustainability. https://nbs.net/3-reasons-employees-act-unethically/
  3. Allgaier, M. W. (2021, August 15). Chapter 7: Possible Root Causes of Unethical Behavior. LinkedIn. https://www.linkedin.com/pulse/chapter-7-possible-root-causes-unethical-behavior-michael-w-allgaier

FAQs

What are the individual factors that can contribute to ethical misconduct?

Individual factors include personal characteristics such as self-interest, lack of ethical awareness, and a tendency to prioritize personal gain over ethical considerations.

How do issue-specific factors influence ethical decision-making?

Issue-specific factors such as perceived distance or delayed harm, and the influence of peers’ unethical behavior can impact ethical decision-making.

What role does organizational culture play in ethical misconduct?

Organizational culture that promotes individualistic behavior, rewards bottom-line achievements without considering ethical conduct, and lacks ethical leadership can contribute to ethical misconduct.

How does a lack of ethical leadership contribute to unethical behavior?

When leaders do not demonstrate personal character and ethical behavior, it sets a negative tone and influences employees to engage in misconduct.

What are some strategies to promote ethical behavior in organizations?

Strategies include providing ethics training, developing ethical leadership, creating a culture that values and rewards ethical conduct, and establishing clear policies and procedures that guide ethical decision-making.

How can organizations address the issue of perceived distance or delayed harm?

Organizations can address this issue by making the consequences of unethical behavior more immediate and tangible, and by emphasizing the importance of considering the long-term impact of decisions.

What are some ways to mitigate the influence of peers’ unethical behavior?

Organizations can mitigate this influence by promoting a culture of ethical conduct, providing ethics training, and encouraging employees to report unethical behavior.

How can organizations create a culture that values and rewards ethical conduct?

Organizations can create such a culture by setting a clear ethical tone from the top, providing ethics training, recognizing and rewarding ethical behavior, and holding employees accountable for unethical conduct.