Unethical Issues in the Banking Industry
Tiffany Pace
Timothy McAlister
MSD 113 – Business Ethics
Research Paper
3/11/10
Unethical Issues in the Banking Industry Ethical issues in banking are currently receiving a great deal of attention, and those who manage these organizations seem to be under constant public scrutiny. This paper presents and discusses the certain ethical issues and concerns with banking managers. Suggestions for enhancing the degree of ethicalness in organizational practices and decision behaviors’ have also been attempted. Ethical issues in banking and financial service organizations are currently receiving a great deal of attention the world over. With the financial markets in most countries now opening up further through deregulation, arid technology fast replacing face-to- face contact, there may a rise new problems and issues pertaining to organizational ethics. The variety of changes and challenges brought about by the continuing trends towards liberalization, greater autonomy to organizations, more emphasis on profit and intensifying competition are beginning to have their impact on organizational dynamics and performance. Banks provide "credit". The word “credit" has its origin in the Latin word for “trust", and it is "credit", rather than loans, which is fundamental to the success of financial service organizations. Through their objectives, intentions and actions related to lending money, investment decisions or those concerning personnel policies, practices and other transactions, bank executives affect the lives of a large part of society. As such, the degree of their moral sensitivity, their leadership role as "value shaper” and commitment for institutionalizing their organizations ' operational and continuing concern for sound professionalism and ethical integrity becomes important.
TABLE 3
Managers ' perceptions of superiors differentiating between ethical behaviors’
1. If a manager in my organization is discovered to have engaged in unethical
Timothy McAlister
MSD 113 – Business Ethics
Research Paper
3/11/10
Unethical Issues in the Banking Industry Ethical issues in banking are currently receiving a great deal of attention, and those who manage these organizations seem to be under constant public scrutiny. This paper presents and discusses the certain ethical issues and concerns with banking managers. Suggestions for enhancing the degree of ethicalness in organizational practices and decision behaviors’ have also been attempted. Ethical issues in banking and financial service organizations are currently receiving a great deal of attention the world over. With the financial markets in most countries now opening up further through deregulation, arid technology fast replacing face-to- face contact, there may a rise new problems and issues pertaining to organizational ethics. The variety of changes and challenges brought about by the continuing trends towards liberalization, greater autonomy to organizations, more emphasis on profit and intensifying competition are beginning to have their impact on organizational dynamics and performance. Banks provide "credit". The word “credit" has its origin in the Latin word for “trust", and it is "credit", rather than loans, which is fundamental to the success of financial service organizations. Through their objectives, intentions and actions related to lending money, investment decisions or those concerning personnel policies, practices and other transactions, bank executives affect the lives of a large part of society. As such, the degree of their moral sensitivity, their leadership role as "value shaper” and commitment for institutionalizing their organizations ' operational and continuing concern for sound professionalism and ethical integrity becomes important.
TABLE 3
Managers ' perceptions of superiors differentiating between ethical behaviors’
1. If a manager in my organization is discovered to have engaged in unethical
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