Schumacher, Gunter & Wasieleski, David M. (2013). Article Critique

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Schumacher, Gunter & Wasieleski, David M. (2013). Institutionalizing ethical innovation in organizations: An integrated causal model of moral innovation decision processes. Journal of Business ethics 113:15 -- 37

DOI 10.1007/s10551-012-1277-7

A business' financial survival and pursuing an ethical course of action are often seen as mutually incompatible. However, according to the article "Institutionalizing ethical innovation in organizations: An integrated causal model of moral innovation decision processes," by viewing ethics as part of the process of business innovation, ethics is likely to be viewed in a more positive light. Just as organizations must change with the marketplace, so must their ethical schemas. Ignoring ethics can put a business at profound risk, just like ignoring other aspects of organizational innovation.

Ethics has usually been seen as separate from the process of innovation in the past: "managers are expected to compromise standards in order to innovate and create short-term economic value to the organization" (Schumacher & Wasieleski 2013: 16). Stability and change are seen as mutually incompatible, rather than as complementary.

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The processes of change must be built into the structure of the organization, including the processes of ethical change (Schumacher & Wasieleski 2013: 19). The organizational culture must support ethical conduct as well, rather than view it as anathema to the firm's survival.

Ethical systems have multiple components, including ontological imperatives "in the form of fundamental moral values" that are unwavering; functional imperatives which are defined as organizational necessities; and finally as 'grand options' which are "integrated in a context of choice" and exist in a "long-term" both of "non-permanence and particularity" (Schumacher & Wasieleski 2013: 22). In other words, there are certain aspects of an ethical….....

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