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This is a 3 page paper that provides an overview of ethical systems. Using a case study, powerpoint speaker notes address formal and informal components of ethical systems. Bibliography lists 1 source.
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3 pages (~225 words per page)
File: KW60_KFbzeth5.doc
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Speaker Notes: All ethical systems are comprised of both formal and informal systems. Formal refers to the actual structure of processes and management, whereas informal refers more to the
corporate culture and its abstract values (Trevino & Nelson, 2007). Slide Two: Norms "Norms" refers to the standards that have become commonly accepted within an organizational culture
(Trevino & Nelson, 2007). At TAP, it had become the norm to bribe physicians Because the norm is so commonly accepted, doesnt "seem" unethical Speaker Notes: In the case
of TAP Pharmaceuticals, informal norms contributed to the ethical troubles. When Durand tried to counter the bribing of physicians, he was told it was simply "how TAP did things" (Trevino
& Nelson, 2007). Unethical behavior had become the "norm" for TAP. Slide Three: Rituals "Rituals" refers to the commonly repeated actions that an organization performs as a
part of its ongoing operations (Trevino & Nelson, 2007). At TAP, one ritual was to throw wasteful and lavish parties to bribe physicians More ethical approach would be attracting physicians
trust through a quality product Speaker Notes: Additionally, TAPs corporate rituals enabled unethical behavior. For instance, the company held lavish parties for physicians on a regular basis, to incite
them to prescribe the companys drugs more often (Trevino & Nelson, 2007). Slide Four: Performance Management Performance management refers to the systems an organization has in place
to reward good behavior and punish negative behavior (Trevino & Nelson, 2007). Durand attempted this by offering bonuses to reps who kept accurate records of their samples (rewarding good behavior)
Speaker Notes: Performance management, as a formal ethical system, had a chance of success at TAP. Durand used performance management when he offered bonuses to sales reps who kept
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