Business ethics and technology Technology advances quicker than

Business ethics and technology • Technology advances quicker than society government or business can grasp its consequences or ethics. • Privacy invasion through cell phones • New Facebook and My Space Linked. In • Zoodango and business collaboration • Employers and rental car companies have installed GPS without knowledge

Technology • ‘Totality of the means employed to provide objects necessary for human sustenance and comfort’ Includes • Scientific method for practical application • Ways people use their inventions and discoveries to satisfy needs and desires

Benefits of technology 1) Increased production of goods and services. 2) Reduced amount of labour to produce goods and services ( farming) 3) Labour easier and safer 4) Higher standard of living directly from labour saving technology (washing machines, better food)

Side effects and managerial challenges of technology • 1) 2) 3) 4) Unanticipated effects of technology: cars and traffic noise, exhaust pollution Environmental pollution (global warming) Depletion of natural resources Technological unemployment (people needed less and offshore work forces) Creation of unsatisfying jobs leading to monotony and boredom

Ethics and technology • Ethical issues are not hostile to technology • Prevailing norms of acceptability about technology to be tested against principles of fairness and justice, protection of rights, and utilitarianism. • ‘What is’ to ‘What ought to be’

2 key concepts • Technological determinism: what can be developed will be developed • Ethical lag: technology exceeds ethical development. • What examples can you think of? • Society has become obsessed with technology.

6 symptoms of intoxication 1) 2) 3) 4) 5) 6) Quick fix, to nutrition or religion We fear and worship technology Blurred distinction between real and fake We accept violence as normal Technology as a toy: passive leisure? We live our lives distanced and distracted

Information technology • Electronic commerce or web based marketing: • 90% by business to business sales • Knowledge management • Customer relationships • On line scams such as goods not delivered

Current issues in e-commerce ethics • • Kracher and Corritore 2004 Access Intellectual property Privacy and informed consent Protection of children Security of information These concerns are not restricted to ecommerce

Invasion of privacy by e commerce • Issues of database sharing identity theft and invasion of consumer privacy. • Cookies identification tags on our personal computers from websites to recognise repeat visits. • Spam unsolicited commercial email • Serious problem is collection and use of personal information

Potential threats to privacy from the Internet • • • Identity theft Unintentionally revealing information Lost /stolen personal information Fake websites ( for credit card details) Government distribution of information

• Broadcasting information over the Internet (by companies, people who don’t like you) • Victim of spying by employer or spouse • Victim of spying by strangers • Cyberstalker • From Time July 2 2001 46 -50 in Buchholtz et al 2009: 358

Government involvement • Financial Services Modernization Act 1999 USA permitted a variety of financial services from one company but this allowed merging of files on income assets debts health spending habits and other personal data. • Opt in approach by consumers replaced by opt out but with obscure mailing methods.

Company ways to ensure privacy • Different in UK with Data Protection Act, and Primary Care Trust records being computerised. • What do organisations know about you? Ethical leadership from top management. • Privacy policy on page 362 for 9 questions Chief privacy officers to keep a company out of court, in good public opinion.

• Privacy through careful data security. TJMaxx and other linked companies: 200 million card numbers stolen. • Employees have a positive impression of the impact of technology page 365. • Expansion of job related knowledge • Increased productivity in normal hours • Improved communication with clients • Relieves job stress

• Increased surveillance which causes stress by computers telephone and video: GPS tracking of employee via company mobile phone when employee is sick. • Monitoring email and internet usage. Internet has produced enormous compliance and ethical issues for companies, so companies monitor email use. Views?

• Biometrics to confirm identity by eye scans, fingerprints. • Palm scanners to withdraw cash Japan. • Yahoo can identify Chinese dissidents • But more security needed after 9/11? • Company mobile phones when driving? 4 times more likely to cause accidents. • But employees can misuse technology such as internet shopping in work time.

Biotechnology • • DNA and the human genome Bioethics: genetic make up of your baby… Brave New World… Public backlash to new technologies, so focus on proceduralism - protocols to establish such aspects as informed consent. • Genetic engineering+ genetically modified food. • Stem cell research-from spare frozen embryos? • Public and political issues not business issues?

Cloning • Cloning of human beings? • Use of animals and plants to identify and fight diseases. Should body parts be bought and sold? • Who owns the rights to a corpse? ? ? • Cloning animals for food? • Genetic testing and profiling for say life insurance? Discrimination? • Genetically modified food seems healthy, but do they need to be labelled as such?

Discussion questions • Do you think business is abusing its power with respect to invasion of privacy of both consumers and employees? What about surveillance? Which particular practice do you think is the most questionable? • Do you agree that society is intoxicated with technology? Ethical implications?