Skip to main content
Log in

Evolutionary Processes, Moral Luck, and the Ethical Responsibilities of the Manager

  • Published:
Journal of Business Ethics Aims and scope Submit manuscript

Abstract

The responsibilities of the manager have been examined through several lenses in the business ethics literature: Kantian (Bowie, 1999), contractarian (Donaldson and Dunfee, 1999), consequentialist (Friedman, 1970), and virtue ethics (Solomon,1992), to name just four. This paper explores what the ethical responsibilities of the manager would look like if viewed through an evolutionary lens. Discussion is focused on the impact of evolutionary thinking on the process of moral reasoning, rather than on the sources or the substance of morality. The conclusion is reached that the evolutionary lens supports the view that moral luck plays an important role in how we assign ethical responsibilities.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Aldrich, H. 1999. Organizations Evolving. Sage Publications, Thousand Oaks, CA.

    Google Scholar 

  • Aldrich, H., & Ruef, M. 2006. Organizations Evolving, 2nd edition. Sage Publications, London.

    Google Scholar 

  • Barnett, W. P., & Carroll, G. R. (1995). Modeling Internal Organizational Change. Annual Review of Sociology, 21, 217–236. doi:10.1146/annurev.so.21.080195.001245.

    Article  Google Scholar 

  • Borges, J. L. 1962. Ficciones. New York: Grove.

    Google Scholar 

  • Bowie, N. 1999. Business Ethics: A Kantian Perspective. Blackwell Publishers, Malden, MA.

    Google Scholar 

  • Burgelman, R. A. (1983). Corporate Entrepreneurship and Strategic Management: Insights from a Process Study. Management Science, 29(12), 1349–1364. doi:10.1287/mnsc.29.12.1349.

    Article  Google Scholar 

  • Campbell, D. (1969). Variation and Selective Retention in Socio-Cultural Evolution. General Systems, 14, 69–85.

    Google Scholar 

  • Cohen, M. D., March, J. G., & Olsen, J. P. (1972). A Garbage Can Model of Organizational Choice. Administrative Science Quarterly, 17, 1–25. doi:10.2307/2392088.

    Article  Google Scholar 

  • Cohendet, P. and P. Llerena: 1998, Theory of the Firm in an Evolutionary Perspective: A Critical Development. Unpublished Manuscript Presented to the Conference “Competence, Governance, and Entrepreneurship”, Copenhagen, June 9–11, 1998.

  • Cyert, R. M., & March, J. G. 1963. A Behavioral Theory of the Firm. Englewood Cliffs, NJ: Prentice-Hall.

    Google Scholar 

  • Dawkins, R. 1983. The Selfish Gene. Oxford: Oxford University Press.

    Google Scholar 

  • Dennett, D. C. 1995. Darwin’s Dangerous Idea. New York: Simon and Schuster.

    Google Scholar 

  • Denrell, J., & Kovács, B. (2008). Selective Sampling of Empirical Settings in Organizational Studies. Administrative Science Quarterly, 53, 109–144. doi:10.2189/asqu.53.1.109.

    Article  Google Scholar 

  • Donaldson, T., and Dunfee, T.: 1999, Ties that Bind: A Social Contracts Approach to Business Ethics. Harvard Business School Press, Cambridge, MA.

    Google Scholar 

  • Durand, R. 2006. Organizational Evolution and Strategic Management. Thousand Oaks, CA: Sage.

    Google Scholar 

  • Eckhardt, J., S. Shane and F. Delmar: 2001, ‹Multi-level Selection and the Funding of New Ventures’, Unpublished Manuscript (Robert H. Smith School of Business, University of Maryland, College Park, MD).

  • Feldman, M.S., & Pentland, B.T. (2003). Reconceptualizing Organizational Routines as a Source of Flexibility and Change. Administrative Science Quarterly, 48(1), 94–118. doi:10.2307/3556620.

    Article  Google Scholar 

  • Friedman, M.: 1970, ‹The Social Responsibility of Business is to Increase Its Profits’, New York Times Magazine, 13 September 1970.

  • Goodman, N. 1983. Ways of Worldmaking. Indianapolis Lancaster: Hackett.

    Google Scholar 

  • Gould, S.J. 2002. The Structure of Evolutionary Theory. Cambridge, MA: Belknap Press of Harvard University, Cambridge, MA.

    Google Scholar 

  • Hannan, M. T., & Freeman, J. (1977). The Population Ecology of Organizations. American Journal of Sociology, 82(5), 929–964. doi:10.1086/226424.

    Article  Google Scholar 

  • Hannan, M. T., & Freeman, J. H. (1984). Structural Inertia and Organizational Change. American Sociological Review, 49(2), 149–164. doi:10.2307/2095567.

    Article  Google Scholar 

  • Hayek, F.A. 1960, The Constitution of Liberty. Chicago: University of Chicago Press.

    Google Scholar 

  • Henderson, A.D., & Stern, I. (2004). Selection-based Learning: The Coevolution of Internal and External Selection in High-velocity Environments. Administrative Science Quarterly, 49, 39–75.

    Google Scholar 

  • Hodgson, G.M. 1993. Economics and Evolution: Bringing Life Back into Economics. University of Michigan Press, Ann Arbor, MI.

    Google Scholar 

  • Hodgson, G. M. (1997). The ubiquity of habits and rules. Cambridge Journal of Economics, 21(6), 663–684.

    Google Scholar 

  • Hodgson, G. M. (2002). Darwinism in economics: from analogy to ontology. Journal of Evolutionary Economics, 12, 259–281. doi:10.1007/s00191-002-0118-8.

    Article  Google Scholar 

  • Hodgson, G. M., & Knudsen, T. (2004). The firm as an interactor: firms as vehicles for habits and routines. Journal of Evolutionary Economics, 14(3), 281–308. doi:10.1007/s00191-004-0192-1.

    Article  Google Scholar 

  • Irwin, T. 1999. Aristotle – Nicomachean Ethics, Second edition. Hackett Publishing Company, Indianapolis.

    Google Scholar 

  • James, W.: 1890/1997, Habit. Reprinted in Pragmatism – A Reader, in L. Menand (ed.), Vintage Books (A Division of Random House, New York).

  • Jawahar, I. M. and G. L. McLaughlin: 2001, ‹Toward a Descriptive Stakeholder Theory: An Organizational Life Cycle Approach’, Academy of Management Review 26(3). doi:10.2307/259184.

  • Kelley, A. L.: 1977/1999, Italian Tax Mores. Presented at Loyola University in Chicago in April 1977. Reprinted in Ethical Issues in Business, 6th edition, in T. Donaldson and P. Werhane (eds.) (Prentice Hall, Englewood Cliffs, NJ).

  • Langton, J. (1984). The Ecological Theory of Bureaucracy. Administrative Science Quarterly, 29(3), 330–354. doi:10.2307/2393028.

    Article  Google Scholar 

  • MacDonald, C.: 2001, Evolutionary Ethics: Value, Psychology, Strategy, and Conventions. Evolution and Cognition, 7(1), 98–105.

    Google Scholar 

  • March, J.G. (1991). Exploration and Exploitation in Organizational Learning. Organization Science, 2(1), 71–87. doi:10.1287/orsc.2.1.71.

    Article  Google Scholar 

  • Marshall, A. 1948. Principles of Economics. Macmillan, New York

    Google Scholar 

  • Maynard Smith, J. 1972. On Evolution, Edinburgh University Press, UK.

    Google Scholar 

  • Maynard Smith, J. 1993. The Theory of Evolution, Canto edition. Cambridge University Press, UK.

    Google Scholar 

  • Michaelson, C.: 2008, ‹Moral Luck and Business Ethics’, Journal of Business Ethics 83, 773–787. (online edition)

    Google Scholar 

  • Nagel, T.: 1979, ‹Moral Luck’, in Mortal Questions (Cambridge University Press, New York), pp. 24–38.

  • Nelkin, D.: 2004, ‹Moral luck’, Stanford encyclopedia of philosophy. http://www.plato.stanford.edu/entries.

  • Nelson, R.R., & Sampat, B.N. (2001). Making sense of institutions as a factor shaping economic performance. Journal of Economic Behavior & Organization, 44, 31–54. doi:10.1016/S0167-2681(00)00152-9.

    Article  Google Scholar 

  • Nelson, R. R., & Winter, S. G. 1982. An Evolutionary Theory of Economic Change. The Belknap Press of the Harvard University Press, Cambridge, MA.

    Google Scholar 

  • North, D. C. 1990. Institutions, Institutional Change and Economic Performance. Cambridge: Cambridge University Press.

    Google Scholar 

  • North, D. C. 2005. Understanding the Process of Economic Change. Princeton: Princeton University Press.

    Google Scholar 

  • Nussbaum, M. C. 1986. The fragility of goodness: luck and ethics in Greek tragedy and philosophy. Cambridge: Cambridge University Press.

    Google Scholar 

  • Rorty, R. 1979. Philosophy and the Mirror of Nature. Princeton University Press, Princeton.

    Google Scholar 

  • Rorty, R.: 1995, Contingency, Irony, and solidarity. Cambridge University Press, Cambridge.

    Google Scholar 

  • Ruse, M. 1986. Taking Darwin Seriously: A Naturalistic Approach to Philosophy, Blackwell, Oxford

    Google Scholar 

  • Schweber, S. S. (1977). The Origin of the Origin Revisited. Journal of the History of Biology, 10(2), 229–316. doi:10.1007/BF00572644.

    Article  Google Scholar 

  • Schweber, S. S. (1980). Darwin and the Political Economists: Divergence of Character. Journal of the History of Biology, 13(2), 195–289. doi:10.1007/BF00125744.

    Article  Google Scholar 

  • Solomon, R. C.: 1992, Ethics and Excellence: Cooperation and Integrity in Business. The Ruffin Series in Business Ethics (Oxford University Press, Oxford).

  • Stinchcombe, A. 1965. Social structure and organizations. In J. March (Ed.), Handbook of organizations:142–193. Chicago: Rand McNally.

    Google Scholar 

  • Stoelhorst, J. W.: 2003, Universal Darwinism from the Bottom-Up: An Evolutionary View of Socio-Economic Behavior and Organization. Working Paper, Amsterdam Business School.

  • Stoelhorst, J. W.: 2008, ‹Why is Management not an Evolutionary Science? Evolutionary Theory in Strategy and Organization’, Journal of Management Studies, 45(5) 1008–1023.

    Google Scholar 

  • Teece, D. J., & Pisano, G. (1994). The dynamic capabilities of firms: An introduction. Industrial and Corporate Change, 3, 537–556. doi:10.1093/icc/3.3.537-a.

    Article  Google Scholar 

  • Tushman, M. E., & Romanelli, E. 1985. Organizational Evolution: A Metamorphosis Model of Convergence and Reorientation. In: B. Straw and L. Cummings (eds.). Research in Organizational Behavior. JAI Press, Greenwich, CT.

    Google Scholar 

  • Van de Ven, A., & Grazman, D.N.(1999) “Evolution in a Nested Hierarchy: A Genealogy of Twin-Cities Health Care Organizations, 1853-1995,” in Baum and McKelvey (eds), Variations in Organization Science: Perspectives in Honor of Donald T. Campbell. Thousand Oaks, CA: Sage, pp. 185-212.

    Google Scholar 

  • Williams, B.: 1979/1981, Moral Luck (Cambridge University Press, Cambridge), pp. 20–39.

  • Williams, B. 1985. Ethics and the limits of philosophy. Cambridge, MA: Harvard University Press.

    Google Scholar 

  • Wilson, E.O. (1998). The Biological Basis of Morality. Atlantic Monthly, 281(4), 53–70.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to S. Ramakrishna Velamuri.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Velamuri, S.R., Dew, N. Evolutionary Processes, Moral Luck, and the Ethical Responsibilities of the Manager. J Bus Ethics 91, 113–126 (2010). https://doi.org/10.1007/s10551-009-0071-7

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10551-009-0071-7

Keywords

Navigation