Chapter 2 notes

Chapter 2 – Challenges for Managers

This chapter discusses a variety of concepts that a manager must consider when performing as a manager.  Issues range from globalization, diversity, ethics and social responsibility.  A one-line summary of the chapter might be that it covers issues based on differences in countries, cultures, lifestyles and beliefs.  A manager needs to understand these concepts in order to help maintain organizational cohesion.

All of the typical topics are discussed here and the ones that interests me most are ethics and social responsibility.  With increasing diversity, how does a company unify concepts of ethics and responsibility across an organization in the form of a code of ethics?  The book discusses three types theories on ethics:  consequential theories, rule-based theories and character theories.  These theories look to be a good foundation for being able to articulate a reasonable code of ethics that can work for a company.

Social responsibility is more challenging, since the concept implies that there is an ethical standard for how a company is to relate to the community in which it does business.  It is more likely that the definition of social responsibility is going to be determined by the company’s board of directors.

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