Abstract
In this essay Werhane et al expand a topic she first explored in “Why do good people do bad things” (2005). The suggestion here is that it may be easy to understand evil when it is done with deliberate intent, but it is harder to explain why good managers and companies with good reputations engage in questionable or aberrant behavior. Currently, for example, Volkswagen, a company that had an excellent reputation on the basis of fine engineering and managerial excellence, has pleaded guilty to an engineering scandal that involves lying and illegal reengineering of emissions software in their diesel cars. Were these – otherwise fine – engineers and their excellent managers simply blinded by company loyalty? Were they perhaps just following orders? Or were they genuinely interested in hoodwinking their customers and the public? Werhane mediates a discussion through such possibilities exploring the generally haphazard ways in which accidents of good judgement may arise.
Original publication: This is excerpted and edited from Chapter 4 of Obstacles to Ethical Decision-Making: Mental Models, Milgram and the Problem of Obedience by Patricia Werhane, Laura P. Hartman, Crina Archer, Elaine E. Englehardt and Michael S. Prichard (Cambridge: Cambridge University Press, 2013) pp. 63–89. Reprinted with permission.
This is excerpted and edited from Chapter 4 of Obstacles to Ethical Decision-Making: Mental Models, Milgram and the Problem of Obedience by Patricia Werhane, Laura P. Hartman, Crina Archer, Elaine E. Englehardt and Michael S. Prichard (Cambridge: Cambridge University Press, 2013) pp. 63–89. Reprinted with permission.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Aerospace Guide. 2003. “Space Shuttle Columbia Disaster.” Accessed July 24, 2011. www.aerospaceguide.net/spaceshuttle/columbiadisaster.html.
Allison, Scott T., Messick, David M. and Goethals, George R. 1989. “On Being Better But Not Smarter Than Others: The Muhammad Ali Effect.” Social Cognition 7 (3): 275–96.
Arendt, Hannah. [1951] 1973. The Origins of Totalitarianism. New York: Harcourt/Harvest.
Arendt, Hannah. 1969; 1972. “On Violence” Special Supplement to the New York Review of Books. February 27, 1969 cited in Hannah Arendt 1972. Crises of the Republic: Lying in Politics, Civil Disobedience, On Violence. New York: Harcourt Brace and Co. pp. 103–184.
Bandura, A. 1990. “Mechanisms of Moral Disengagement”. In Origins of Terrorism, Psychologies, Ideologies, Theologies, States of Mind. Ed. W. Reich. Cambridge: Cambridge University Press, 161–91.
Barry, D., Barstow, D., Glater, J. D., Liptak, A. and Steinberg, J. 2003. “Correcting the Record: Times Reporter Who Resigned Leaves Long Trail of Deception.” The New York Times, May 11. Accessed on March 16, 2012. www.nytimes.com/2003/05/11/us/correcting-the-recordtimes-reporter-who-resigned-leaves-long-trail-of-deception.html?
Baumeister, Roy F. 1998. “The Self.” In Handbook of Social Psychology, edited by D. T. Gilbert, S. T. Fiske, and G. Lindzey, 680–740. New York: McGraw-Hill.
Bazerman, Max and Chugh, Dolly. 2005. “Bounded Awareness: Focusing Problems in Negotiation.” In Frontiers of Social Psychology: Negotiations, edited by L. Thompson. College Park, MD: Psychology Press.
Bazerman, Max and Chugh, Dolly. 2006. “Decisions without Blinders.” Harvard Business Review 84 (1): 88–97.
Bazerman, M. H., and Moore, D. A. 2008. Judgment in Managerial Decision Making. 7th edn. New York: Wiley.
Bazerman, M. and Ann Tenbrunsel. 2011. Blind Spots. Princeton: Princeton University Press.
Boddy, Clive R. 2010. “Corporate Psychopaths and Organisational Type.” Journal of Public Affairs 10 (4): 300–12.
Boddy, Clive R. 2011. “The Corporate Psychopaths Theory of the Global Financial Crisis.” Journal of Business Ethics 102: 255–9. doi https://doi.org/10.1007/s10551-011-0810-4.
Campbell, A., Whitehead, J. and Finklestein, S. 2009. “Why Good Leaders Make Bad Decisions.” Harvard Business Review. February. Accessed September 12, 2011. http://hbr.org/2009/02/why-good-leaders-make-bad-decisions/ar/1.
Cane, Will. 2011. “Harold Camping ‘Flabbergasted’: Rapture a No-Show.” San Francisco Chronicle, May 23. Accessed September 12, 2011. www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/05/22/BAKO1JJIK7.DTL.
Chabris, Christopher F., Weinberger, Adam, Fontaine, Matthew, and Simons, Daniel J. 2011. “You Do Not Talk about Fight Club If You Do Not Notice Fight Club: Inattentional Blindness for a Simulated Real-World Assault.” iPerception 2: 150–3.
Chance, Z. and Norton, M. 2009. “‘I Read Playboy for the Articles’: Justifying and Rationalizing Questionable Preferences.” Harvard Business School Working Paper Series 10–018. Accessed on September 12, 2011. http://hbswk.hbs.edu/item/6283.html.
Chugh, D. and Bazerman, M. 2007. “Bounded Awareness: What You Fail To See Can Hurt You.” Mind & Society 6: 1–18.
Columbia Accident Investigation Board (CAIB). 2003. Report. Accessed September 25, 2011. http://caib.nasa.gov/.
Darley, J. and Latané, B. 1968. “Bystander Intervention in Emergencies: Dif-´ fusion of Responsibility.” Journal of Personality and Social Psychology 8 (4): 377–83.
Dellavigna, Stefano and Pollet, Joshua M. 2009. “Investor Inattention and Friday Earnings Announcements.” The Journal of Finance 64 (2): 709– 49.
Dembe, Allard E. 2009. “Ethical Issues Relating to the Health Effects of Long Working Hours.” Journal of Business Ethics 84: 195–208.
Doty, Elizabeth. 2007. “Winning the Devil’s Bargain.” strategy +business 46. Accessed September 16, 2011. www.strategy-business.com/article/07101?pg=all–authors.
Dozier, Janelle Brinker, and Miceli, Marcia P. 1985. “Potential Predictors of Whistle-Blowing: A Prosocial Behavior Perspective.” The Academy of Management Review 10 (4): 823–36.
Fukuyama, Francis. 1995. Trust: The Social Virtues and the Creation of Prosperity. New York: Free Press.
Gaventa, John. 1982. Power and Powerlessness: Quiescence and Rebellion in an Appalachian Valley. Urbana, IL: University of Chicago Press.
Gino, F. and Bazerman, M. H. 2006. “Slippery Slopes and Misconduct: The Effect of Gradual Degradation on the Failure to Notice Others’ Unethical Behavior.” Harvard Business School Working Paper (#06– 007). Accessed September 13, 2011. www.people.hbs.edu/mbazerman/Papers/Gino-Baz-06–007-SlipperySlopes.pdf.
Gino, Francesca, Moore, Don A., and Bazerman, M. H. 2009. “See No Evil: Why We Fail to Notice Unethical Behavior.” In Social Decision Making: Social Dilemmas, Social Values, and Ethical Judgments, edited by R. M. Kramer, A. E. Tenbrunsel and M. H. Bazerman, 241–63. New York: Routledge.
Grisham, John. 1995. The Rainmaker. New York: Doubleday.
Heffernan, Margaret. 2011. Willful Blindness. New York: Walker and Company.
Hirshleifer, David, Lim, Sonya Seongyeon, and Hong Teoh, Siew. 2009. “Driven to Distraction: Extraneous Events and Underreaction to Earnings News.” Journal of Finance 64 (5): 2289–325.
Hudson, James M. and Bruckman, Amy S. 2004. “The Bystander Effect: A Lens for Understanding Patterns of Participation.” The Journal of the Learning Sciences 13 (2): 165–95.
Hutton, Robert, and Morales, Alex. 2011. “Rupert Murdoch Denies Knowledge of Phone-Hacking, Vows to ‘Clean This Up.’” Bloomberg, July 19. Accessed September 19, 2011. www.bloomberg.com/news/2011–07-19/rupert-murdoch-has-most-humble-day-in-u-k-testimonyover-hacking-probe.html.
James, Scott.2011.“From Oakland to the World, Words of Warning: Time’s Up.” The New York Times, May 20. Accessed September 13, 2011. www.nytimes.com/2011/05/20/us/20bcjames.html.
Johnson, C. E. 2009. Meeting the Ethical Challenges of Leadership: Casting Light or Shadow. 3rd edn. San Francisco: Sage
Jones, Ashby. 2009. “Madoff Speaks: The Plea Allocution.” Wall Street Journal Blogs: The Law Blog, March 12. Accessed August 27, 2011. http://blogs.wsj.com/law/2009/03/12/madoff-speaks-the-pleaallocution/.
Karavidas, M., Lim, N. K., and Katsikas, S. L. 2005. “The Effects of Computers on Older Adult Users.” Computers in Human Behavior 21 (5): 697–711.
Kilham, Wesley and Mann, Leon. 1974. “Level of Destructive Obedience as a Function of Transmitter and Executant Roles in the Milgram Obedience Paradigm.” Journal of Personality and Social Psychology 29: 696–702.
Krasemann, Keith W. and Patricia H. Werhane, editors, 1006.Contemporary Issues in Business Ethics: Contemporary Approaches to Business Ethics: The Callista Wicklander Lectures. DePaul University 1991–2005. Lanham MD: University Press of America.
Landrigan, Christopher P., Rothschild, Jeffrey M., Cronin, John W., Kaushal, Rainu, Burdick, Elisabeth, Katz, Joel, Lilly, Craig M., Stone, Peter H., Lockley, Steven W., Bates, David W., and Czeisler, Charles A., for the Harvard Work Hours, Health and Safety Group. 2004. “Effect of Reducing Interns’ Work Hours on Serious Medical Errors in Intensive Care Units.” The New England Journal of Medicine 351: 1838–48.
Latané, Bibb and Darley, John M. 1969. “Bystander ‘Apathy.’” American Scientist 57 (2): 244–68.
Latané, B. and Nina, S. 1981. “Ten Years of Research on Group Size and Helping.” Psychological Bulletin. 89: 308–24.
Levin, D. T. and Simons, D. J. 1997. “Failure to Detect Changes to Attended Objects in Motion Pictures.” Psychonomic Bulletin and Review 4: 501–6.
Mack, A. and Rock, I.1998.Inattentional Blindness. Cambridge: MIT Press.
Markus, Hazel Rose and Kitayama, Shinobu. 1991. “Culture and the Self: Implications for Cognition, Emotion, and Motivation.” Psychological Review 98 (2): 224–53.
Matanda, M., Jenvey, V. B., and Phillips, J. G. 2004. “Internet Use in Adulthood: Loneliness, Computer Anxiety and Education.” Behaviour Change 21 (2): 103–14.
McKinley, Jesse. 2011. “An Autumn Date for the Apocalypse,” The New York Times, May 23. Accessed September 12, 2011. www.nytimes.com/2011/05/24/us/24rapture.html.
Milgram, Stanley 1970. “The Experience of Living in Cities.” Science 167: 1461–8.
Milgram, Stanley 1974. Obedience to Authority. New York: Harper & Row.
Mitler, Merrill M., Carskadon, Mary A., Czeisler, Charles A., Dement, William C., Dinges, David F., and Graeber, R. Curtis. 1988. “Catastrophes, Sleep, and Public Policy: Consensus Report.” Sleep 11: 100–9.
Mnookin, Seth. 2004. Hard News: The Scandals at the New York Times and Their Meaning for American Media. New York: Random House.
Moberg, Dennis J. 2006. “Ethics Blind Spots in Organizations: How Systematic Errors in Person Perception Undermine Moral Agency.” Organizational Studies, 27 (3): 413–28.
Securities and Exchange Commission (SEC). 2012. “The Laws That Govern the Securities Industry.” Accessed April 24, 2012. www.sec.gov/about/laws.shtml#sox2002.
Securities and Exchange Commission, Office of Investigations (SEC). 2009. “Investigation of Failure of the SEC to uncover Bernard Madoff’s Ponzi scheme.” Accessed March 21, 2012. www.sec.gov/news/studies/2009/oig-509.pdf.
Senge, Peter. 1990. The Fifth Discipline. New York: Doubleday.
Simons, D. 2010 “Movie Perception Test.” The Invisible Gorilla. Video. Accessed May 2, 2011. www.theinvisiblegorilla.com/videos.html.
Simons, D. J., and Chabris, C. F. 1999. “Gorillas in Our Midst: Sustained Inattentional Blindness for Dynamic Events.” Perception 28: 1059–74.
Spurgeon, A., Harrington, J., and Cooper, C. 1997. “Health and Safety Problems Associated with Long Working Hours: A review of the Current Position.” Occupational and Environmental Medicine. 54: 367–75.
Suri, R., Lee, J. A., Manchanda, R. V., and Monroe, K. B. 2003. “The Effect of Computer Anxiety on Price Value Trade-Off in the On-line Environment.” Psychology & Marketing 20 (6): 515–36.
Tepper, Bennett. 2010. “When Managers Pressure Employees to Behave Badly: Toward a Comprehensive Response.” Business Horizons 53: 591–8.
Tocqueville, Alexis de. 2000. Democracy in America, translated by George Lawrence, edited by J. P. Mayer. NY: HarperCollins/Perennial Classics.
Veenendaal, Paul van. 2008. “Case Study: Transport For London – Do the Test.” Viral Blog. Accessed September 17, 2011. www.viralblog.com/viral-cases/case-study-transport-for-london-do-the-test/.
Vohs, Kathleen D., Mead, N. L., and Goode, Miranda R. 2006. “The Psychological Consequences of Money.” Science 314 (5802): 1154–6.
Werhane, Patricia H. 1999. Moral Imagination and Management Decision-Making. New York: Oxford University Press.
Werhane, Patricia H. 2005. “Why Do Good People Do Bad Things?” Business Ethics: New Challenges for Business Schools and Corporate Leaders edited by O. C. Ferrell and Robert Peterson (Armonk, NY: M. E. Sharpe, Inc., 2005) pp. 38–55, revised and reprinted in Contemporary Issues in Business Ethics: The Callista Wicklander Lectures, DePaul University, 1991–2005 edited by Keith W. Krasemann and Patricia H. Werhane (Lanham, MD: University Press of America, 2006) pp. 227–48.
Werhane, Patricia H. 2007. “A Place for Philosophers in Applied Ethics and the Role of Moral Reasoning in Moral Imagination: A Response to Richard Rorty.” Business Ethics Quarterly 16 (3): 401–8.
Werhane, Patricia and Moriarty, Brian. 2009. “Moral Imagination and Management Decision Making.” Business Roundtable: Institute for Corporate Ethics. Accessed September 13, 2011. www.corporateethics.org/pdf/moralimagination.pdf.
Werhane, P., Hartman, L, Moberg, D., Parmar, B. Englehardt, E. and Pritchard, M. 2011a. Social Construction, Mental Models, and the Problem of Obedience. Journal of Business Ethics, 100: 103–118.
Werhane, Patricia,, Hartman, Laura, Archer, Crina, Bevan, David, and Clark, Kim. 2011[b]. “Trust After the Global Financial Crisis.” Business and Society Review 16 (4): 403–33.
Werhane, Patricia H.,Laura P. Hartman, Crina Archer, Elaine E. Englehardt and Michael S. Prichard 2013. Obstacles to Ethical Decision-Making. Cambridge: Cambridge University Press.
Wilfong, J. D. 2006. “Computer Anxiety and Anger: The Impact of Computer Use, Computer Experience, and Self-Efficacy Beliefs.” Computers in Human Behavior 22 (6): 1001–11.
Williamson, Dianne. 2011. “Murdoch Scandal Taints All Journalists.” Worcester Telegram & Gazette, July 24. Accessed September 19, 2011. www.telegram.com/article/20110724/COLUMN01/107249834/1101/.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2019 Springer International Publishing AG, part of Springer Nature
About this chapter
Cite this chapter
Werhane, P.H., Hartman, L.P., Archer, C., Englehardt, E., Pritchard, M.S. (2019). Obstacles to Ethical Decision-Making in the Perception of Ethical Context. In: Bevan, D.J., Wolfe, R.W., Werhane, P.H. (eds) Systems Thinking and Moral Imagination. Issues in Business Ethics(), vol 48. Springer, Cham. https://doi.org/10.1007/978-3-319-89797-4_21
Download citation
DOI: https://doi.org/10.1007/978-3-319-89797-4_21
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-319-89796-7
Online ISBN: 978-3-319-89797-4
eBook Packages: Religion and PhilosophyPhilosophy and Religion (R0)