Apply Hosmers 6 step process for ethical decision making: steps listed as: ONLY

Question

Apply Hosmers 6 step process for ethical decision making: steps listed as: ONLY NEED IDEAS FOR STEP 5

1. Identify the Moral Issue, the Harm to a Vulnerable Party.

2. Identify Additional Facts Helpful to Making the Decision.

3. Identify the Alternatives Available to Apply to the Problem.

4. Identify the Personal Impacts to the Decision-Maker

5. Apply Three Leading Contemporary Theories of Business Ethics.-

Shareholder

Stakeholder

Virtue/Principle

CASE:

Oakland County, located in the northwestern corner of the state, with a population of about 200,000 residents, is split into two predominant areas. The north county area has a rural demographic, and while it has many native or long-term residents, it does have one rapidly growing urban area boosted by an influx of military personnel, their families, and the supporting structures. The more affluent southern portion of the county, located along prime beachfront, has significant numbers of relatively new residents, part-year residents, and military families, and is the home of a popular beach resort city. While several of the cities in the county have their own local police departments, the beachside resort city of Darcy contracts with the Oakland County Sheriff's Department (OCSD) for police services, and there are a number of well-populated unincorporated areas such as Brighton-Wood Bay and Rustic Bayou whose police services are also provided by the OCSD. Oakland County is also the home of a significant Army and Air Force presence which provides an important economic augmentation for the county's critically important tourist and service industry. Loyalty, Ethics and "Whistleblowing A number of years ago a retired military officer, Carlton Marshall, ran for and was elected to the office of county sheriff. In addition to establishing a sterling reputation as a visionary sheriff, that reputation was significantly bolstered by his election to the office of President of the politically influential State Sheriff's Association. During his tenure, Marshall successfully transitioned the department into a modern law enforcement agency. To ensure that both administrative procedures and technology improvements supported his modernization of the OCSD, Marshall hired Tony Alveco, a professional administrator, as the department's Director of Administration and he hired Mark

Explanation / Answer

5) Three Leading Contemporary Theories of Business Ethics.-

Shareholder: According to Shareholder/Stock Holder Theory, The people running the business will run the business to fulfill shareholder/stockholder interest. But there should be no instance of deception or fraud in trying to fulfill the shareholder's interests.

So in this case, Marshall is making deduction from bonuses being provided to staff. And he says that this deduction will go in "Emergency fund" which will help other staff of the department whenever there is financial problem. But, it is not clear from the case that whether this step taken by Marshall is legal or not. So, assuming Marshall is not going to use emergency fund for any other purpose than it is meant to be. Then in such case the step taken by Marshall is legal as long as it is not against the OCSD's rules and regulation.

Stakeholder: The stakeholders in the ethical issue in the case (i.e, Ethical Issue: Part of bonus collected as part of "Emergency Fund") are as follows:

(i) Management

(ii) Staff

(iii) Staff family members (Because emergency fund will be used for their benefit in case of financial trouble)

The decision taken of deducting bonus if utilized for the exact pupose will benefit all the stakeholders, except the person's from whose bonus the amount has been deducted to create the emergency fund.

Virtue/Principle: Since from the case it is not clear wheter it is Immoral behaviour/decision by Marshall to collect the emergency fund out of bonuses given to staff. Thus I assume it is absolutely moral on Marshall's part (as there is no contradiction metioned in terms of people revolting against the decision of Sherrif, neither there is any such restriction mentioned (in the case) by OCSD or State or Local Government.

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