Bounded Awareness: Implications for Ethical Decision Making

Max   Bazerman; Ovul  Sezer

Article | Organizational Behavior and Human Decision Processes | September 2016

Bounded Awareness: Implications for Ethical Decision Making

by Max Bazerman and Ovul Sezer

Abstract

In many of the business scandals of the new millennium, the perpetrators were surrounded by people who could have recognized the misbehavior, yet failed to notice it. To explain such inaction, management scholars have been developing the area of behavioral ethics and the more specific topic of bounded ethicality—the systematic and predictable ways in which even good people engage in unethical conduct without their own awareness. In this paper, we review research on both bounded ethicality and bounded awareness and connect the two areas to highlight the challenges of encouraging managers and leaders to notice and act to stop unethical conduct. We close with directions for future research and suggest that noticing unethical behavior should be considered a critical leadership skill.

Keywords: Ethics;

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Citation:

Bazerman, Max, and Ovul Sezer. "Bounded Awareness: Implications for Ethical Decision Making." Organizational Behavior and Human Decision Processes 136 (September 2016): 95–106.

Working Paper | 2019

Veil-of-Ignorance Reasoning Favors the Greater Good

Karen Huang, Joshua D. Greene and Max Bazerman

The “veil of ignorance” is a moral reasoning device designed to promote impartial decision-making by denying decision-makers access to potentially biasing information about who will benefit most or least from the available options. Veil-of-ignorance reasoning was originally applied by philosophers and economists to foundational questions concerning the overall organization of society. Here we apply veil-of-ignorance reasoning in a more focused way to specific moral dilemmas, all of which involve a tension between the greater good and competing moral concerns. Across six experiments (N = 5,785), three pre-registered, we find that veil-of-ignorance reasoning favors the greater good. Participants first engaged in veil-of-ignorance reasoning about a specific dilemma, asking themselves what they would want if they did not know who among those affected they would be. Participants then responded to a more conventional version of the same dilemma with a moral judgment, a policy preference, or an economic choice. Participants who first engaged in veil-of-ignorance reasoning subsequently made more utilitarian choices in response to a classic philosophical dilemma, a medical dilemma, a real donation decision between a more vs. less effective charity, and a policy decision concerning the social dilemma of autonomous vehicles. These effects depend on the impartial thinking induced by veil-of-ignorance reasoning and cannot be explained by a simple anchoring account, probabilistic reasoning, or generic perspective-taking. These studies indicate that veil-of-ignorance reasoning may be a useful tool for decision-makers who wish to make more impartial and/or socially beneficial choices.

Keywords: policy-making; procedural justice; Ethics; Decision Making; Fairness;

Citation:

Huang, Karen, Joshua D. Greene, and Max Bazerman. "Veil-of-Ignorance Reasoning Favors the Greater Good." Working Paper, July 2019. View Details

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