Setting the Stage
Before exploring ethical theories and ethical decision-making, it is important to recognize that the ethical decision-making process does not happen in isolation. As part of the ethical decision-making (EDM) process, we need to underline the importance of understanding the context in which a decision is being made. It is important to recognize that this context may be shaped by a variety of factors that you may not necessarily be aware of or consciously consider. We will briefly discuss a few of these factors to set the stage for the course and the application of ethical theories in decision-making.
Political and Economic System
Ideologies are systems of ideas and beliefs that shape how people interpret the world and what they take as for-granted assumptions about the way the world operates, and consider to be right or wrong. For example, we know the political system and economic system can influence ethical decision-making by framing:
- What values are prioritized (e.g., equality, efficiency, tradition, innovation)
- How problems are defined and solutions are proposed
- Which stakeholders are considered most important
Awareness of ideology helps you critically examine your own underlying values, assumptions and beliefs to help understand why others might approach the same situation differently.
Cultural Orientation
Cultural orientations can look very different across cultures. For example, in some parts of the world, the individual is most important, whereas in other parts of the world, the betterment of the overall community is most important. Recognizing these differences encourages cross-cultural sensitivity and helps avoid assuming that your worldview is appropriate in all situations.
Stakeholder Perspective
Every ethical decision affects multiple groups of people, known as stakeholders. A stakeholder can be anyone directly or indirectly impacted by the decision, and can include employees, customers, shareholders, suppliers, communities, governments, or even future generations. Understanding the stakeholder landscape ensures that ethical reasoning accounts for the full range of consequences and perspectives.
Indigenous Perspective
An Indigenous perspective on ethics emphasizes interconnectedness, respect for the land, reciprocity, and the well-being of future generations. Decision-making often involves collective processes that balance human needs with the health of the environment. In business contexts, applying an Indigenous lens may involve:
- Honouring treaties and historical agreements
- Respecting traditional knowledge and governance systems
- Prioritizing long-term sustainability over short-term gain
Considering Indigenous perspectives challenges decision-makers to integrate relational and ecological responsibilities into their ethical reasoning.
Considering ethical decisions in their broader context, along dimensions such as those discussed above, can help you to make more effective and respectful decisions. This awareness helps to ensure that your ethical reasoning is not only logically sound but also culturally informed and socially responsible.
The short video that follows highlights some of the values and beliefs that can sometimes influence our view of the world.
Context refers to the circumstances and conditions that shape an ethical dilemma. It includes the broader environment in which the decision is made, such as political, social, cultural, economic, environmental, and legal factors. These forces create pressures and expectations that influence how organizations and individuals act.
