R. Eric Reidenbach Donald P. Robin
ABSTRACT: The conceptual model presented in this article argues that corporations exhibit specificbehaviors that signal their true level of moral development. Accordingly, the authors identify five levels of moral development and discuss the dynamics that move corporations from one level to another. Examples of corporate behavior which are indicative of specific stages of moral development are offered.
their particular stage of moral development. Such a typology is useful for better understanding the dynamics that contribute to ethical decision making.
T h e role of corporate culture in moral
development
The moral development of a corporation is determined by the organizafon 's culture and, in reciprocal fashion, helps define that culture. In essence, it is the organization 's culture that undergoes moral development. Among the array of definitions of corporate culture are those that focus on the shared values and beliefs of organizational members (e.g., Sathe, 1985; Deal and Kennedy, 1982), specifically, beliefs about what works within an organization, and values about preferred end states and the instrumental approaches used to reach them. Among the constellation of beliefs and values that comprise an organization 's culture are those that speak to its beliefs and values about what is right and what is wrong. This is the focus of this article. The principal sources for cultural beliefs and values are from (1) individual organizational members, especially top management (e.g., Schein, 1983; Wiener, 1988), and (2) the reinforcing effect of the organization 's success in problem solving and achieving objectives (e.g., Schwartz and Davis, 1981; Sathe, 1985). Central to this latter source is the organization 's selection of a mission from which the more specific objectives and reward systems flow. One mission of profit-making organizations is economic. However,
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