Lahore University of Management Sciences

MGMT 242 – Business Ethics and Corporate Social Responsibility

Spring 2024
Instructor Asif Iftikhar

Room No. G-0076 Academic Block Ground Floor Opp. REDC

Office Hours TBA

Email [email protected]

Telephone 111-115-867 Ext: 2194

TA TBA

TA Office Hours TBA

Course URL (if any) suraj.lums.edu.pk

COURSE BASICS
Credit Hours 3

Lecture(s) Nbr of Lec(s) Per Week 2 Duration 1 Hr 15 Mins.

Recitation/Lab (per week) Nbr of Lec(s) Per Week Duration

Tutorial (per week) Nbr of Lec(s) Per Week Duration

COURSE DISTRIBUTION
Core Core

Elective

Open for Student Category Sophomore, Junior, and Senior

Closed for Student Category

COURSE DESCRIPTION
This course provides an introduction to morality and ethics and to their application in business. It begins with an exploration of theoretical concepts and related contestations in the field of moral philosophy. Thereafter,

descriptions and analyses of the problems and challenges posed by ethical dilemmas in real-world situations, using the lens of diverse conceptual frameworks, form a major part of this course. Issues at individual, organizational

and the social levels shall be taken up as they pertain to internal and external stakeholders of businesses. Furthermore, discourses vis-à-vis corporate social responsibility and its use as policy shall be one of the many aspects of

focus. Since the underpinnings of moral philosophy explored at the beginning of the course are primarily areligious and since a broad perspective on ethics and morality should include the role of religion and culture, this

becomes discusses Islamic ethical philosophies and views as well.

This course is divided into the following six modules:

Module 1: Foundations of Ethics: Introduction to Moral Philosophy

Module 2: The Business System: Government and Markets

Module 3: Ethical Issues in Business Settings: External Stakeholder Issues

Module 4: Ethical Issues in Business Settings: Internal Stakeholder Issues

Module 5: Ethics and Corporate Social Responsibility

Module 6: Islamic Business Ethics

COURSE PREREQUISITE(S)
● None

COURSE LEARNING OBJECTIVES

● To develop an in-depth comprehension of the “three-pillars” of the discipline, viz. moral philosophy, ethical issues and dilemmas, and corporate social responsibility
● To strengthen students’ ability to anticipate, analyze, evaluate, and appropriately respond to some critical ethical challenges, which managers confront in business world

● To enable students to appreciate Islamic principles of ethical conduct in business

UNDERGRADUATE PROGRAM LEARNING GOALS & OBJECTIVES

General Learning Goals & Objectives

Goal 1 –Effective Written and Oral Communication

Objective: Students will demonstrate effective writing and oral communication skills

Goal 2 –Ethical Understanding and Reasoning

Objective: Students will demonstrate that they are able to identify and address ethical issues in an organizational context.

Goal 3 – Analytical Thinking and Problem-Solving Skills

Objective: Students will demonstrate that they are able to identify key problems and generate viable solutions.

Goal 4 – Application of Information Technology

Objective: Students will demonstrate that they are able to use current technologies in business and management context.
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Goal 5 – Teamwork in Diverse and Multicultural Environments

Objective: Students will demonstrate that they are able to work effectively in diverse environments.

Goal 6 – Understanding Organizational Ecosystems

Objective: Students will demonstrate that they have an understanding of the economic, political, regulatory, legal, technological, and social environment of organizations.

Major Specific Learning Goals & Objectives

Goal 7 (a) – Program Specific Knowledge and Understanding

Objective: Students will demonstrate knowledge of key business disciplines and how they interact including application to real world situations.

Goal 7 (b) – Understanding the “science” behind the decision-making process (for MGS Majors)

Objective: Students will demonstrate ability to analyze a business problem, design and apply appropriate decision-support tools, interpret results and make meaningful recommendations to support

the decision-maker

PROGRAM LEARNING GOALS AND OBJECTIVES COURSE LEARNING OBJECTIVES COURSE ASSESSMENT ITEM
Goal 1 –Effective Written and Oral Communication Speaking and writing skills are honed through articulation of well- Class Participation, Assignment, Midterm, Final

formulated ideas during class discussion, and in assignments and exams

Goal 2 –Ethical Understanding and Reasoning An understanding of moral philosophy, ethical dilemmas and CSR is Quiz, Assignment, Midterm, Final

developed

Goal 3 – Analytical Thinking and Problem-Solving Skills The ability to anticipate, analyze, evaluate and appropriately respond to Class Participation, Quiz, Assignment, Midterm, Final

critical ethical challenges is strengthened

Goal 4 – Application of Information Technology

Goal 5 – Teamwork in Diverse and Multicultural Environments Resolve differences of opinion while working in teams by collaboratively Assignment

analyzing and evaluating ethical dilemmas

Goal 6 – Understanding Organizational Ecosystems Appreciate the criticality of the context in which organizations operate, Quiz, Final

particularly through the lens of CSR

Goal 7 (a) – Program Specific Knowledge and Understanding Understand how and what moral issues arise in various functional areas Quiz, Assignment, Midterm, Final

of a business

Goal 7 (b) – Understanding the “science” behind the decision-making Understand the models of moral development and frameworks of ethical Quiz, Assignment, Midterm, Final

process decision-making

LEARNING OUTCOMES
Upon successful completion of this course, students should be able to:
1. Demonstrate comprehension of principal ethical theories that can guide their thinking
2. Apply the moral reasoning process through the lens of various ethical theories
3. Appreciate the importance of ethical decision making and the difficulties inherent therein
4. Evaluate ethical problems by navigating the terrain of external and internal stakeholders of businesses
5. Understand the concept of CSR and the debates around it
6. Comprehend and debate the role of religion and culture in analyzing ethical issues

GRADING BREAKUP AND POLICY

Assignment(s): 15%
● There shall be two assignments in the course; format and requirements shall be specified by the instructor. In addition to submitting a written report, students will have to present their work in groups.
● Assignments submitted after the deadline shall not be accepted.

Class Participation: 10%

● CP is graded between 0-4 points each session for each student; points are given primarily on a qualitative basis.
● Coming late to the class (after 5 minutes) causes you to lose one CP point for the session.

Attendance: 5%
● You can have up to three absences throughout the course without losing any attendance points.
● Coming late to the class (after 5 minutes) or being away from the class for more than 10 minutes gets you marked late for the session. Two late markings equal one absent marking.
● Please switch off your cell phones before entering the class. Anyone caught using the cell shall not get CP points.

Quiz(s): 20%
● Quizzes shall be fielded unannounced.
● Out of a total of five quizzes, one shall be dropped. No make-up quizzes shall be given.

Midterm Examination: 20%

Final Examination: 30%

EXAMINATION DETAIL
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Yes/No: Yes

Combine Separate:

Midterm Exam Duration:

Preferred Date:

Exam Specifications: Combination of multiple choice and subjective questions.

Yes/No: Yes

Combine Separate:

Duration:
Final Exam Exam Specifications: TBA

COURSE OVERVIEW

WEEK/ LECTURE/ RECOMMENDED OBJECTIVES/

TOPICS
MODULE READINGS APPLICATION
Introduction and Overview: Chapter 1 (Velasquez, 2012) Introduction and discussion on the importance of the

Why Study Business Ethics? subject

Week 1 Nature of Business Ethics Understand how moral reasoning works

Moral Reasoning

Module 1 Chapter 2 (Velasquez, 2012) Understand the four widely used bases for making ethical

Foundations of Ethics: decisions in various business contexts

Weeks 2, 3, 4 and 5 Introduction to Moral Philosophy

Consequentialist and Non-Consequentalist Theories

Virtue Ethics

Module 2 Chapter 3 (Velasquez, 2012) Appreciate the arguments for and against markets and

The Business System: Case/Discussion: The GM Bailout free trade

Government and Markets

Week 6 & 7
Mid Term

Module 3 Chapter 5 (Velasquez, 2012) Explore how certain business practices damage the

Week 8 Ethical Issues in Business Settings: External Stakeholder Issues environment, and the ethical responsibility of businesses

(Environment)

Module 3 Chapter 6 (Velasquez, 2012) Discuss different theories of a firm’s duties to consumers,

Ethical Issues in Business Settings: External Stakeholder Issues Short Cases and the ethical dimensions of advertising and consumer
Week 9 & 10
(Production and Marketing) privacy

Module 4 Chapter 7 (Velasquez, 2012) Analyze the nature and extent of job discrimination along

Week 10 & 11 Ethical Issues in Business Settings: Internal Stakeholder Issues (Job with the ethical dilemmas inherent in affirmative action

Discrimination)

Module 4 Chapter 8 (Velasquez, 2012) Understand the employee’s rights and responsibilities and

Week 12 & 13 Ethical Issues in Business Settings: Internal Stakeholder Issues Short Cases a firm’s duties to the employee

(Employee’s Rights and Obligations)

Module 5 Camilleri, M. A. The Corporate Social Responsibility Notion Discuss the varying views on CSR and evaluate the

Ethics and Corporate Social Freeman, R. Edward. A Stakeholder Theory of the Modern arguments for and against them

Responsibility: Corporation
Week 13
Arguments for and against CSR

Principles of Social Responsibility in Business

Schools of Thought on Social Responsibility

Week 14 Module 6 Calhoun, S.W. Grounding Normative Assertions: Arthur Understand the Islamic precepts of ethical business

Islamic Business Ethics Leff 's Still Irrefutable, But Incomplete, "Sez Who?" conduct and appreciate their relation with the Islamic

Critique Worldview

T Rice, Gillian. "Islamic ethics and the implications for

business." Journal of business

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ethics 18, no. 4 (1999): 345‐358.

Beekun, R.I. Islamic Business Ethics. Parts 1, 2, 3, 4 and 5

Week 14 Presentations

TEXTBOOK(S)/SUPPLEMENTARY READINGS

Velasquez, M. G. (2012). Business Ethics: Concept and Cases. Delhi: Pearson.

Beekun, R.I. (1996). Islamic Business Ethics. International Institute of Islamic Thought.

Ali. A.J. (2014). Business Ethics in Islam. Massachusetts: Edward Elgar