Ethical decision-making: an interactive model of organizations’ ethics systems and decision-makers’ financial situation
Abstract
Purpose
This study aims to investigate the influence of two perceived organizational ethics systems (perceived ethics training quality and integrity-based climate) on the ethical decision-making (EDM) of tax accountants in Ghana. The study also examines the moderating role of the decision-makers’ financial situation on the quality ethics training–EDM relationship.
Design/methodology/approach
Survey data from 356 tax accountants were analyzed using the partial least squares structural equation modeling technique.
Findings
The results show that the two ethics systems influence EDM, but their extent of influence varies across the stages of EDM. Specifically, quality ethics training is a better predictor of EDM at the ethical issue recognition stage, whereas integrity-based climate is a better predictor of EDM at the ethical intention stage. The study also found that decision-makers’ financial situation predicts the ethical recognition stage of EDM but does not moderate the quality ethics training–EDM relationship.
Practical implications
This study recommends the concurrent deployment of quality ethics training and an integrity-based work climate to improve ethical behavior. Policymakers should also emphasize a work climate that promotes honesty, conscientiousness and ethical principles (integrity-based climate) to improve ethical intentions.
Originality/value
This study applied the interactionist theory by capturing the relative effects of two organizational ethics systems and an individual-level situational factor in a single model. To the best of the authors’ knowledge, this is the first study that tests the moderation effect of decision-makers’ financial situation on the ethics training–EDM relationship in a developing country context.
Keywords
Acknowledgements
Ethical compliance: All procedures performed in this study involving human participants were in accordance with the ethical standards of the Ghana Institute of Management and Public Administration and the 1964 Helsinki Declaration and its later amendments or comparable ethical standards.
Funding statement: This study was not supported by any grant.
Plain language summary: This study establishes that ethics can be improved through quality ethics training and by instituting a work climate that emphasizes honesty, conscientiousness and ethical principles. The study also recommends that employers pay attention to key tax decision-makers’ financial situations.
Citation
Kportorgbi, H.K., Aboagye-Otchere, F. and Kwakye, T.O. (2024), "Ethical decision-making: an interactive model of organizations’ ethics systems and decision-makers’ financial situation", Journal of Global Responsibility, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JGR-02-2023-0013
Publisher
:Emerald Publishing Limited
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