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Blind Spots:
The Roots of
Unethical Behaviour
at Work
Acknowledging the perils of the want self and addressing the informal
values in an organization can lead to more ethical behaviour.
HOW ethical do you think you are, compared to the other people of us overestimate our own ethicality at some point. In effect, we
reading this magazine? On a scale of 0 to 100, rate yourself relative are unaware of the gap between how ethical we think we are and
to them: if you believe you are amongst the most ethical in the how ethical we truly are.
group, give yourself a score near 100; if you consider yourself av- Traditional approaches to ethics lack an understanding of the
erage, give yourself a score of 50. Now rate your organiza- unintentional-yet-predictable cognitive patterns that result in
tion: on a scale of 0 to 100, how ethical is it compared to others? unethical behaviour. Our aim in this article is to alert you to the
If youre like most of the people we ve asked, both scores blind spots that prevent us from seeing the gaps between our actu-
will be higher than 50. If we averaged the scores of all the people al and desired behaviour. Our own research on bounded ethicality
reading this, we guess the average would be about 75. Yet that and QGLQJs from the emerging HOd of Behavioural Ethics offer
cant be the case: the average score would have .to be 50. Some insights that can help us understand why we often behave
of you must be overestimating your ethicality. The fact is, most contrary to our
. best intentions.
NASA personnel reacted to the engineers recommendation because the engineers were constrained in their thinking, they only
not to launch with hostility, according to Roger Boisjoly, a Morton looked at a subset of the available data and missed seeing the connec-
Thiokol engineer who participated in the meeting. In response to tion. The failure of NASA and Morton Thiokol engineers to look
NASAs negative reaction to the recommendation not to launch, outside the bounds of the data in the room was an error committed
Mortons managers asked for the chance to caucus privately. Just as by well-intentioned people that caused seven astronauts to lose their
[NASA manager] Larry Mulloy gave his conclusion, writes lives and delivered an enormous blow to the U.S. space program.
Boisjoly, [Morton Thiokols] Joe Kilminster asked for a ve- Unfortunately, it is very common for decision makers to err by
minute, off-line caucus to re-evaluate the data and as soon as the limiting their analysis to the data in the room, rather than asking
mute button was pushed, our general manager, Jerry Mason, said what data would best answer the question being asked. These deci-
in a soft voice, We have to make a management decision. sion makers were guilty of a common form of bounded ethicality:
In the caucus that followed, No one in management wanted moving forward too quickly with readily-available information,
to discuss the facts, writes Boisjoly. In his opinion, his superiors rather than rst asking what data would be relevant to answer the
were primarily focused on pleasing their customer, which had question on the table and how the decision would affect other
placed Morton Thiokol in the position of proving that it was not safe aspects of the situation.
to y rather than the more typical default of not launching until An organizations ethical gap is more than just the sum of the
there was reason to believe it was safe to y. The managers were individual ethical gaps of its employees. In fact, group work the
struggling to make a list of data that would support a launch building block of organizations creates additional ethical gaps.
decision, he writes, but unfortunately for them, the data actual- Groupthink the tendency for cohesive groups to avoid a realistic
ly supported a no-launch decision. Against the objections of their appraisal of alternative courses of action in favour of unanimity
own engineers, the four Morton Thiokol senior managers present often prevents groups from challenging ethically-questionable
voted to recommend in favour of the launch. They then gave their decisions, as was the case with NASAs fateful decision.
recommendation to NASA, which quickly accepted the recom-
mendation to launch. Changing Yourself
Perhaps the most startling aspect of this story was the data that Confucious said that Only the wisest and stupidest of [people]
engineers analyzed when trying to determine whether low tempera- never change, and as a result, virtually all of us are ripe for
tures were connected to O-ring failure. NASA and Morton Thiokol change. Following are two ways to become more aware of your
engineers argued about the possible role of temperature based on ethical blind spots.
the fact that low temperatures were present during many of the
seven launches that had O-ring problems. Many of the engineers on 1. Anticipate your want self. System 1 thinking refers to our
both teams saw no clear observable pattern regarding the O-rings. fast, automatic, effortless and emotional decision processes, while
These were experienced engineers with rigorous analytic training. System 2 thinking refers to slower, conscious, logical and more
They were talented enough to know that, to nd out whether out- reasoned decision processes. Not surprisingly, System 1 responses
door temperature was related to engine failure, they should are more likely to be immoral than System 2 thoughts. This suggests
examine temperatures when problems occurred and temperatures that learning to think before acting, in more reective and analytical
when they did not. Yet no one asked for the temperatures for the 17 ways, can help us move toward the ideal image we hold of ourselves.
past launches in which no O-ring failure had occurred. But doing so entails being prepared for the hidden psychological
An examination of all of the data shows a clear connection forces that crop up before, during and after we confront ethical
between temperature and O-ring failure, predicting that the dilemmas. The want self that part of us that behaves according
Challenger had a greater than 99 per cent chance of failure. But to self interest and often without regard for moral principles is
behaviour disguised as misrepresenting the facts? Is stealing General Electric paid nes ranging from a $20,000 criminal ne
described as an inappropriate allocation of resources? There is to a $24.6 million civil ne for unethical behaviour that included
power in calling unethical behaviour by its name: if it isnt money laundering, defective pricing and mail fraud. In one 1992
labeled as such, it is unlikely that an intervention will be incident, GE pled guilty to defrauding the Pentagon and agreed to
attempted, let alone succeed. pay $69 million in nes. The company took responsibility for the
behaviour of a former marketing employee who, working with an
Ethical sink holes. The difcult task of identifying how informal Israeli Air Force general, helped to divert Pentagon funds to their
values differ from desired values can be made easier by identifying personal bank accounts and to Israeli military programs that were
characteristics that make misalignment more likely. We suggest unauthorized by the United States. As a result of these and other
paying close attention to three particular characteristics: uncertain- incidents (and being shut out of government contracts for six
ty, time pressure and isolation. months), GE now strives to prevent isolated groups from hatching
The more uncertainty there is in an environment, the more likely fraudulent plots.
unethical behaviour is to occur. In environments characterized by
high uncertainty, individuals may be able to downplay the ethical In closing
implications of a decision and, in doing so, become more likely to Once you identify your organizations own sink holes, focus on
code the decision as a business decision rather than an ethical one. promoting ethical values to key individuals, particularly those with
Uncertainty has also been identied as a catalyst in the divergence access to and control over information and staff. Communicating
between the want and should self. By introducing the idea that an desired values to these employees and nding ways to make them
outcome may not have ethical implications, the want self may be stick will provide the biggest payoff in terms of reforming your
able to focus on its own desires, increasing the probability that the organizations informal culture.
individual will make an unethical choice. In the case of the Ford While we have no way of knowing what ethical challenges you
Pinto, focusing on the likelihood that the engines would not com- are facing in your personal and professional life, we do know that
bust upon impact faded other possible outcomes including many of us fall short of our own ethical standards. Applying the lens
engine combustion and subsequent loss of life from considera- of Behavioural Ethics, we have identied some of the ways in which
tion, allowing the decision to be re-coded as a business rather than you can make choices that better align with your own and your
an ethical decision. organizations values. In the end, using the tools at our disposal,
Time pressure is another likely source of unethical behaviour. each one of us can contribute to creating a more ethical world.
The busier and more rushed people are, the more likely they are to
rely on (automatic) System 1 thinking. Time pressure reduces the
cognitive resources available and decreases the odds of making
should choices. This clearly characterized the Ford Pinto sce-
nario: described in the book as the shortest production planning
Max Bazerman is the Jesse Isidor Straus
period in modern automotive history, the Pintos production
Professor of Business Administration at
schedule was set at under 25 months, in stark contrast to the aver- Harvard Business School. Ann Tenbrunsel is
age of 43 months. We can increase our likelihood of making the Rex and Alice Martin Professor of Business
should choices by analyzing ethical dilemmas in an environment Ethics in the Department of Management at
Mendoza College of Business at the University of Notre Dame and co-director
free of distractions and time pressures.
of the Institute for Ethical Business Worldwide. The preceeding is adapted
Isolated individuals and groups also tend to develop norms that from their new book, Blind Spots: Why We Fail to Do Whats Right and What to Do
diverge from an organizations stated norms. From 1990 to 1994, About It (Princeton University Press, 2011).