Risk Analysis and Ethical Considerations - Essay Example

Ethical theories are all about morals. Among the many theories two ethical systems stand out. They are the Utilitarian theory and the Deontological theory. Utilitarianism was first propagated by Jeremy Bentham (1789) and John Stuart Mill (1806-1873) who believed in ethics of consequences meaning that an action is good if it produces the greatest good for the greatest number. In his book Utilitarianism, Mills states that that happiness is not only desirable, but the only thing desirable, as an end in itself.

For all other desirable things, happiness is a means to that end. This is also referred to as the "Greatest Happiness Principle." There are three main events under this theory. First all actions must be judged from the consequence of the actions. Secondly, the judgment is about the quantum of happiness these actions have generated. Lastly, each person’s welfare is equally important and actions must be directed to this objective. There are two sub theories of Utilitarianism. Van Wyck (1990) explains that under Act Utilitarianism theory the view taken is that a right action is one that is also chosen by another individual, and the common intention is to produce at least the same good result.

Under this theory an action is taken for the larger good even if it means abandoning or ignoring a rule or set of rules. In other words ends justify the means. The proponents of the other theory called Rule Utilitarianism believe firmly in observing rule and not encroaching on others happiness even if the happiness of a larger group is likely to be affected. This means that rules are meant to be followed to preserve sense and balance in a society. The other group called Deontological theory hold that obligations must be followed irrespective of consequences.

Deontologists insist that actions are morally in the wrong not because of their consequences, but because fundamentally these actions are a moral violation (Boxill). Morally right mans approved by God and morally wrong means disapproved by God. The will of God is the arbiter of right or wrong. In 1907 Henry Sidgwick expanded the Greatest Happiness principle to conclude that welfare of the people was more paramount than mere happiness. He felt that utilitarianism could be used to balance the morality of “common sense:” In effect Sidgwick attempted to bring utilitarianism into mainstream thinking of other less philosophical theories on ethics.

Risks Swartz’s perception of ethics is to give back to society part of what he gained from it. He is applying the Utilitarian theory and expects his employees to be beneficiaries too under the Greatest Happiness Principle. He believes that they are working for a company that generates goodwill of the society resulting in greater patronage that will translate into future profits. The interim risk is of the period where adjustments are required to achieve the twin objectives; service to society and profits from extended patronage.

A business is also run on basis of competitive advantage (Porter 1996) based on its ability to pursue a unique activity. Corporate Social behaviour is favoured by most consumers in advanced societies; hence the risk factor in the current policy by Timberland is very low. It will need to console the employees that soon the returns will substantiate its policy and in the interim it should be able to retain and retrain its workforce to support the philanthropic policy it has adopted.BibliographyBentham, Jeremy.

,The Principles of Morals and Legislation (1789)London, OxfordBoxill, Jan. "Coursepack: Phil 034, Bioethics," The University of North Carolina. (1993). Mill, John Stuart., “Utilitarianism” in The Basic Writings of John Stuart Mill, (New York: The Modern Library, 2002)Porter M.E., (1996), What is Strategy, Harvard Business ReviewSidwick, Henry., The Methods of Ethics, (Indianapolis and Cambridge: Hackett Publishing Company, 1907 republished 1981 Van Wyck, Robert. "Introduction to Ethics," St.

Martin's Press, Inc. (New York, New York, 1990)