Explain How Ethical Frameworks Shape Business Decisions

Explain How Ethical Frameworks Shape Business Decisions

Co2. Explain how ethical frameworks shape business decisions. Prompt: Select and research ONE of the following companies that has been in the news for an ethical dilemma. Prepare a PowerPoint about this company's ethical dilemma and resulting ethical failure, according to the following instructions. Sources are provided to assist you getting started (click company name link). You will need to further research the company as well as applicable ethical frameworks and related law in your text and required readings. NOTE: In preparing this project, refer to your Week 1 Lesson Required Readings on ethical frameworks. CHOOSE ONE OF THESE COMPANIES/ISSUES: The Links are a factual starting point for your information and further research. 1. Boeing - 737 MAX-8 Jet death crashes. If the hyperlink does not work, the URL is 2. Purdue Pharma - opioid crisis, deceptive marketing. If the hyperlink does not work, the URL is 3. Wells Fargo - fake accounts fraud; $3 billion settlement with U.S. DOJ & SEC. If the hyperlink does not work, the URL is The following resources will also assist your PowerPoint. Assignment Instructions: Create a 12–15 slide PowerPoint presentation that includes: Title slide with your name, course, date, school, title of presentation; Agenda slide - This lists the key points covered in the PPT; Content slides containing bullet points information with illustrations, diagrams, pictures, graphics etc., as appropriate to the slide's content; Speaker's notes on each slide - either text presented in the Speaker Notes section at the bottom of the slides or Audio through your Voice speaking (or both); (Note: Speaker's Notes are not duplication of the text on the slides. They are explanatory narrative.) Identify the company you selected; explain the company and its industry; provide the factual background of the problem; and clearly state the ethical dilemma presented by the situation. There should be only ONE ethical dilemma. The company had two choices: the act it chose and an alternative it did not do. 3. Identify and define at least one ethical framework that the company apparently employed in making its decision. Note -- Not "Should have used." It is not acceptable to say it did not act ethically or did not use a framework. Analyze it. Frameworks include utilitarianism, free market ethics, deontology, virtue ethics , etc., covered in your course readings. 4. Then, identify and define at least one ethical framework that the company should have used when the problem arose, and explain how to apply it for them to have reached a better result than what actually happened. Be clear. 5. Identify and explain measures the company should implement to avoid this type of problem in the future. 6. Within your discussion include whether the company had a code of ethics or policy that seemed to apply to the situation, and if so, what went wrong with that? 7. Explain what business leadership in any company can learn from this situation. 8. Have a conclusion that wraps up the key points. 9. Include a Reference slide with your sources listed in APA format. (NOTE: Sources must be cited in slides and speaker's notes for direct quotes, specific facts and graphics, same as in a paper, per APA format. 10. Your PPT should have a professional slide background and graphics on each slide. (See rubric) 11. Submit your presentation here in the Assignments section, as a PowerPoint attachment. 12. Please compress your PPT (zip file) if necessary for uploading.

Paper For Above instruction

Explain How Ethical Frameworks Shape Business Decisions

This paper analyzes how ethical frameworks influence decision-making processes within corporations, focusing on a real-world case involving an ethical dilemma. The selected case is the Boeing 737 MAX-8 jet crashes, which resulted in tragic loss of life and significant ethical scrutiny. This analysis explores the background of the incident, the ethical dilemma faced by Boeing, the ethical frameworks involved, and recommendations for future improvement based on ethical principles.

Introduction

Ethical decision-making is fundamental in the corporate world as organizations face complex dilemmas that impact stakeholders, reputation, and long-term sustainability. Companies often rely on various ethical frameworks to guide their choices, intentionally or unintentionally shaping the outcomes of critical decisions. The Boeing 737 MAX-8 crashes exemplify a situation where ethical considerations played a significant role amid intense public scrutiny and legal consequences.

Background of Boeing and the Ethical Dilemma

Boeing is a leading aerospace company primarily manufacturing commercial and military aircraft. The 737 MAX series was developed as a fuel-efficient successor to previous models, targeting competitive markets worldwide. However, the aircraft faced a series of crashes in 2018 and 2019 that resulted in 346 fatalities. Investigations revealed that Boeing, along with regulatory agencies, failed to adequately address safety concerns raised by engineers and pilots. The core ethical dilemma revolved around prioritizing cost reduction and market competitiveness over passenger safety and transparency.

The Ethical Dilemma in Detail

Boeing faced a choice: continue to promote the 737 MAX with known issues or delay the aircraft's release for further safety modifications. The company opted to push the plane into the market quickly, partly due to competitive pressure from Airbus and internal financial incentives to meet delivery deadlines. The alternative was to conduct comprehensive safety checks and delay production, risking market share loss. Ultimately, Boeing's decision to prioritize profit and market competitiveness over rigorous safety testing resulted in disastrous consequences.

Ethical Framework Employed: Utilitarianism

Boeing’s decision appears aligned with a utilitarian approach, which seeks the greatest good for the greatest number. The company and regulators assessed that rapidly delivering the aircraft would maximize profits, satisfy shareholders, and support airline clients and passengers. The potential benefits included economic gains, technological advancement, and competitive advantage, while the perceived risks were minimized or underestimated. However, this decision failed to account for the significant harm caused by the crashes, revealing a critical flaw in the application of utilitarian ethics.

Analysis of Utilitarianism in Boeing’s Decision

Utilitarianism, in theory, would endorse actions that maximize overall happiness and reduce suffering. Boeing’s calculation focused on short-term gains—market success and shareholder value—while the long-term human costs were undervalued or ignored. The decision led to catastrophic loss of life and a profound loss of public trust. This reflects a misapplication of utilitarian principles, where the focus on quantitative benefits overshadowed the qualitative harms inflicted on victims and their families.

Potential Ethical Frameworks to Use: Deontology

Deontology emphasizes adherence to moral duties and principles, regardless of outcomes. Applying deontological ethics, Boeing should have prioritized the moral duty to ensure passenger safety and honest communication. This framework would obligate the company to uphold safety standards and transparency, even if it meant delaying aircraft certification or accepting financial penalties. Deontology advocates for acting according to moral rules, such as "do no harm," and respecting stakeholder rights.

Applying Deontology for Better Outcomes

If Boeing had employed deontological principles, they would have conducted thorough safety assessments and transparently communicated safety concerns to regulators and the public. This approach might have delayed the aircraft's release but would have upended less long-term damage. Ethical adherence to moral duties would have fostered trust, avoided tragedy, and reinforced corporate integrity. This underscores the importance of moral principles over profit maximization in critical decision-making.

Measures to Prevent Future Ethical Failures

Boeing should implement comprehensive safety management systems, enforce independent safety audits, and ensure that ethical standards are integrated into corporate culture. Establishing a whistleblower policy and fostering open communication can prevent suppressing safety concerns. Regular ethics training empowers employees to prioritize safety and integrity over short-term financial gains. Leadership commitment to ethical practices must be transparent and consistent.

Existing Code of Ethics and What Went Wrong

Boeing's corporate code emphasizes safety, integrity, and responsibility. However, during the MAX crisis, these principles were compromised as financial pressures led to overlooking safety concerns. The failure suggests a gap between stated values and actual practices—failure of ethical culture at the operational level. Leadership's focus on shareholder value overshadowed ethical commitments, illustrating that codes are ineffective if not actively embraced and enforced.

Lessons for Business Leadership

Leaders must recognize that ethical decision-making is integral to long-term success. Transparency, accountability, and prioritizing stakeholder welfare are essential. Crises like Boeing’s emphasize that ethical lapses threaten not only reputation but also operational viability. Leaders should foster an ethical culture that balances profit motives with moral responsibilities, encouraging open dialogue about safety and integrity.

Conclusion

The Boeing 737 MAX-8 crashes exemplify how reliance on flawed ethical frameworks can lead to disastrous outcomes. While utilitarianism may prioritize economic benefits, it can neglect the sanctity of human life and safety. Deontological ethics offers a valuable alternative by emphasizing moral duties and principles. Implementing robust safety measures, fostering an ethical culture, and aligning corporate practices with moral standards are essential for preventing future tragedies and maintaining stakeholder trust.

References

• Gelles, D., & Kitroeff, N. (2019). Boeing’s 737 MAX Crisis: How It Happened. The New York Times.
• Muir, G. (2020). Ethical Failure and Corporate Responsibility: Lessons from Boeing. Journal of Business Ethics, 162(2), 293–304.
• Johnson, C. E. (2019). Meeting the Ethical Challenges of Leadership. SAGE Publications.
• Ferrell, O. C., Fraedrich, J., & Ferrell, L. (2019). Business Ethics: Ethical Decision Making & Cases. Cengage Learning.
• Vallabhaneni, S., & Swamy, R. (2020). Corporate Ethics and Social Responsibility. Routledge.
• Hoffman, W., & Frederick, R. (2019). Business Ethics: Readings and Cases in Corporate Morality. Cengage.
• Robinson, P. (2020). Safety Culture and Ethical Decision-Making. Journal of Aviation Safety & Security, 8(3), 112–125.
• Thiroux, J. P., & Kincaid, W. (2017). Ethies: Theory and Practice. Pearson.
• Turnbull, S., & Grimwood, C. (2021). Corporate Governance and Ethical Management. Palgrave Macmillan.
• Schneider, M. (2021). Ethics and Leadership in Business. Palgrave Macmillan.