BA 354 Final Exam Note

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Oregon State University, Corvallis *

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Course

354

Subject

Psychology

Date

Feb 20, 2024

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docx

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3

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Zimbardo Prison Experiment - The purpose was to understand the development of norms and the effects of roles, label, and social expectations in a simulated prison environment. - The study took paid participants and assigned them to be “inmates” or “guards: in a mock prison at Stanford university. Soon after the experiment began, the “guards” began mistreating the “prisoners”, implying evil is brought out by circumstances. - In conclusion, the authors suggested that innocent people are thrown into a situation where they have power over others, will begin to abuse that power over others, and people who are put into a situation where they are powerless will be driven to submission, even madness. Milgram Studies Dennis Levine - The goal of the Milgram experiment was to test the extent of humans’ willingness to obey orders from an authority figure. - Participants were told by an experimenter to administer increasingly powerful electric shocks to another individual. Unbeknownst to the participants, shocks were fake and the individual being shocked was an actor. - The majority of participants obeyed, even when the individual being shocked screamed in pain. - the experiment has been widely criticized on ethical grounds. Milgram’s participants were led to believe that they acted in a way that harmed someone else, an experience that could have had long-term consequences. Enron Scandal (CH7) - Enron was founded in 1985 by Ken Lay by merging 2 energy companies. - In 2000, Enron was one of the world’s leading companies – a fast growing respectable company. - 1996 to 2000, incredible growth in revenues, very low debt, stock price wen t form $20- $80 - In 2001, stock went from $80 to $0.50. - Enron employees lost jobs, retirement funds and money in stock investments. Dan Ariely - He explains how conflict of interest can bias research. He tells 2 personal stories that explore scientific conflict of interest: how the pursuit of knowledge and insight can be affected, consciously or not, by short sighted personal goals.
Difference/relationship between law, ethics, and compliance - One way to think about the distinction between the law and ethics is that the law tells us what to do or not do and ethics tells us why we should or should not do certain things. Compliance tells us the how. From an organizational perspective, compliance is how the organizational will interpret and respond to laws and ethical requirements. It may seem somewhat surprising that an organization would need a whole department dedicated to this, but if you think about it laws and ethics are quite complex. New regulations, for example, are not always written in such a way that how to comply with them is abundantly clear. Therefore, organizations hire individuals that are tasked with understanding how the law applies to the organization and then setting up programs and procedures to comply with it. Partly because of media attention to scandals in business as well as new US sentencing guidelines have caused organizations to contribute more time and resources to formal ethical and legal compliance programs. - There are times when things are legal but unethical as well as ethical but not legal. - Ethics are imposed on an individual by the larger society one is a member off. - Morals are imposed by an individual upon themselves. The Corporate Social Responsibility Pyramid - Philanthropic: includes company’s participation in activities that promote human welfare or goodwill. Usually done through donations of money or goods. - Ethical: goes beyond legal responsibilities to include the responsibility to avoid hard and to do what’s right. - Legal: in this level the business is expected to carry out its work in accordance with the current law and government regulations - Economic: involves a business’s primary function of producing goods or services that consumers need and want while making a profit
What is needed to have an aligned ethical culture? - Ethical culture is created and maintained through both formal and informal organization systems. To create a consistent ethical message the two systems must be aligned. - With alignment, all systems are “pushing” employees in the same direction – either ethical or unethical. - With misalignment, employees get mixed messages about expectations. - A multisystem approach: Formal Systems and Informal Systems Guidelines for disciplining an employee. - Punishment must be administered fairly. Fits the crime. Consistent with what others have received. Employee has input (explaining his or her side of the story). Conducted in private. Explanation that ties punishment to misconduct. When it comes to the use of punishment, there are some best practices as well. First, if punishment is relied on to heavily, it will be ineffective at promoting lasting chances in behaviors. This is because punishment tend to only be effective in the short term and only in the presence of the punisher. Therefore, an over-reliance on punishment can undermine efforts to reduce unethicality. However, when serious ethical lapses or illegal behavior are detected within the organization it is important to use punishment in these instances. When these situations occur it is important that the punishment is consistent with the severity of the infraction and that it is explained to the person receiving it such that they are most likely to see it as fair and just. Also remember that you should be concerned with observers who pay a great deal of attention to how rule violations are handled.
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