The current case of
P.Green and the demise of BHS provides an example of the whole purpose/ point
of business ethics. Green says he
has done nothing unlawful so it’s a pretty black and white case from his
perspective. Unfortunately his past
decisions and behaviours have placed him in the murky-grey and uncomfortable
area, just outside what’s legal, where the spirit, rather than the letter, of
the law begs the question “and is it ethical?”
The Milton Friedman view
of business that Green clearly propounds, that its only purpose is profit, has
been losing favour over recent years as shareholders, customers, politicians
and the public demand a wider view and consideration of all stakeholders,
including pensioners. But perhaps what
should be really questioned is at what stage of cognitive moral development the British business leaders like Green are at (see Kohlberg’s CMD theory)? It seems apparent that many are at level one where
decisions are made essentially for personal reward. It is probably unrealistic to hope that
future leaders develop to stage three, where they do “what’s right” both
personally and for society but it would be good to know that they were at least
getting some training in ethical decision making.
But possibly the much more challenging issue is that first they need to accept
that they fall short in this area - undoubtedly a much bigger task.,
