On Understanding the Human Nature of Good and Bad Behavior in Business: A Behavioral Ethics Approach
Abstract
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The numerous scandals in business, such as those at AIG, Tyco, WorldCom, Enron and Ahold, have made all of us concerned about the emergence of unethical and irresponsible behavior in organizations. Such widespread corruption in business and politics has, as result, prompted a growth of interest in the field of business ethics. At the same time, however, within the academic world it is also recognized that to tackle those unethical actions in an efficient way, the field of business ethics needs to integrate insights from behavioral science. In this inaugural address I focus more closely on the benefits that a behavioral approach can bring to the field of business ethics. In presenting these benefits, I draw a distinction between prescriptive and descriptive approaches and outline how the field of psychology can help in integrating these two perspectives so that we can towards a more comprehensive understanding of behavioral business ethics. This integration is illustrated by my own research addressing how sanctioning and regulation systems affect behavior, the benefits of procedural fairness and the workings of trust repair strategies. Finally, I formulate some implications for academia, the government and economics are formulated. |
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Erasmus Centre for Behavioural Ethics: www.erim.nl/behaviouralethics |
| David De Cremer is Professor of Behavioral Business Ethics at Rotterdam School of Management, Erasmus University and visiting professor at London Business School and Ghent University. His research focuses on understanding why people value morality and justice and how these concerns affect social and economic decision making, trust repair, leadership effectiveness and the emergence of both cooperation and conflict. In his inaugural address he focuses more closely on the benefits that a behavioral approach can bring to the field of business ethics. In presenting these benefits, a distinction is drawn between prescriptive and descriptive approaches and it is illustrated by means of own research how the field of psychology can help in integrating both perspectives towards formulating a more comprehensive field of behavioural business ethics. David De Cremer holds a Ph.D. in Social Psychology from the University of Southampton, England, and an M.A. in Social Psychology from the University of Leuven, Belgium. He is the recipient of the British Psychology Society award for “Outstanding Ph.D. thesis in social psychology” (year 2000), the “Jos Jaspars early career for outstanding contributions to social psychology” (year 2005), the “Comenius European Young Psychologist award” (year 2007), and the “International Society for Justice Research Early Career Contribution Award” (year 2008). In 2000 he received the Innovation Research Grant Old style from NWO (Netherlands Organization for Scientific Research). He is currently the scientific director of the Erasmus Centre of Behavioural Ethics and a young fellow of the Dutch Academy of Science (KNAW). His research is published in such academic outlets as Journal of Applied Psychology, Organizational Behavior and Human Decision Processes, and Journal of Personality and Social Psychology and he is a regular contributor of opinion pieces and columns to the financial and economic newspapers in the Netherlands and Belgium. |
| Contact information: |
| Marianne Schouten |
