INDIAN INSTITUTE OF MANAGEMENT KOZHIKODE Post Graduate Programme Course Outline: Corporate and Business Ethics Instructors: Prof.

Mathai Fenn and Prof. G Venkat Raman Number of Teaching Hours: 20 (16 Sessions of 75 minutes) Introduction Interest in... Business Ethics, or the lack thereof, rose during the 1980s and 1990s and peaked in 2006, the year where the financial markets were hit by the collapse of two companies, Enron and WorldCom, due to financial irregularities. One can see parallels between this and the way the Second World War stimulated academic interest in the destructive obedience of Nazi Officers and people in General. On the other hand there are those who suggest that Business Ethics is an oxymoron. Bringing up the idea that Self Interest (albeit enlightened) is part of the very definition of Business. In more recent years (1970), Milton Friedman claimed that The Social Responsibility of Business is to Increase its Profits1. Like Leadership, ethics too cannot be learned exclusively from a book. Understanding the different theories of ethics (descriptive) does not help people to act ethically. Herein lies the difference between a descriptive and normative ethics. Behaving ethically is not purely about intellectual understanding it requires a holistic approach involving cognitive, affective and behavioral components. Training ethical sense is different from learning a theory. Given this fact, the present course is structured around movies, projects, debates (among students) and discussion challenges (with the faculty). Objectives The objectives of the course are to help participants..... 1. ... understand what business ethics is and what is its scope - through the different topics selected for the discussion and the prescribed textbook. 2. comprehend the conceptual and analytical tools to use in an ethical dilemma, both individual and corporate through theoretical discussions, case-lets and project work guided by the faculty. 3. to develop compassion and an inner sense of ethics through projects, case discussions and seeing things through documentaries and movies. 4. . to learn to stand up for what is right through uploading their work online and learning to unabashedly proud of their ethical position. Ac. Year: 2011-12

1 The New York Times Magazine, September 13, 1970.

Session Topics Special Session Screening of Michael Moore's Capitalism a Love Story Session 1: Capitalism and the perils of unbridled Avarice MBF Birth of the corporation and its capital structure with the Dutch East-India Company. Is there room for temperance in capitalism? Session 2 Introduction MBF: How the course will be conducted and Overall Introduction to the Course and Managing Business Ethics This session will cover issues like origins of ethics, temporal and cultural variance and their impact on ethics. It is worth asking questions like does ethical conduct pay? Are some businesses unethical by nature? Where are we going and Why? Moving Beyond cynicism-Can Business Ethics Be Taught or it is just a fad? Should we be ethical the ethical imperative Sessions by Prof. Venkat Session 3: Moral Duty, Rights, and Justice Moral Relativism, Business Ethics-Restrictive or Empowering? Dilemma of Business Ethics versus Economic Incentives Session 4: Descriptive Vs. Normative approaches to ethics Two origins of economics by Amarthya Sen, Relation between ethics and justice, The decline of interest in normative ethics and John Rawls' A theory of Justice and modern revival of interest Session 5: Classical Perspectives on Ethics Virtue, Utilitarian and Deontological Session 6: Ethics and Modern Society: Globalization and Ethics, Ethical Issues and Civil Society Organizations, Government, Regulation and Business Ethics Session 7: Integrated Case discussion 1/2 Session 8: Integrated Case discussion 2/2 Session 9 and Session 10: Guest Lectures

Sessions by MBF

 Session 11: Contemporary Perspectives on Ethics Stakeholder Perspective, Inalienable Human Rights Session 12: Handling People Fairly HR and Customer Care. Session 13: Handling information ethically Marketing, Customer information, confidentiality, informed consent, etc. Session 14: The Environment and the triple bottom line Session 15: Ethical Investments Session 14 and 15: Project Presentations Session 16: Concluding Lecture Social Entrepreneurship an oxymoron?

Evaluation Components:

1. Project : My idea for an unethical business (group)17% This project requires students to come up with a viable, legal, but unethical business idea. This helps students to think of the nuances of ethics in the same way that Ethical Hacking is a great way to teach about computer security. The business idea is evaluated for viability and sustainability. 1. Final Presentations peer evaluation + faculty evaluation 10% 2. BIG IDEA - Each team is given 10 min to present the core idea in as innovative a way as possible. Teams are asked to use POWER POINT only where unavoidable. As much as possible the ideas have to be communicated using theatrical acts like a SKIT or a story or showing short video clips 7% 2. Mid Term Exams 20% 3. End Term Exams 35% 4. Assignment: My ethical dilemma, a video presentation (individual) 8% In a short two minute video present the toughest ethical dilemma you had to face on a 2-3.5 minute video. The video must be well thought out, scripted and edited to show the core issue. You can add further details with a short write up of upto 350 words. 5. Class Preparation (individual) 20% Each participant is expected to come prepared to discuss the topics for the day. Preparation includes but is not limited to the textbook. The participant is expected to not just come with the facts but is expected to have an OPINION regarding the material. Study Material Text Book: Ethics and the Conduct of Business by John R Boatright (Latest edition) Important articles and relevant study material will be uploaded on Moodle as and when necessary