What are some ethical dilemmas in business? As an ethics speaker, consultant, and author, I feel that one of the significant dilemmas is that otherwise decent people override common sense and cave into the temptation to do wrong. 

Call it rationalization, if you will. In this age of corporate social responsibility, diversity, equity, and inclusion, strict laws against bribery and accounting fraud, rationalization is the last thing any employee should be guilty of practicing.

Classic excuses justifying ethical dilemmas

There are numerous ways in which the unethical voluntarily lose their sense of right and wrong. In my over 25 years of experience, I will share that invariably people know they are committing “crimes” however the dilemma these individuals face is how they often justify such behavior under the mantle of “well, everyone is doing it.” 

That said, let me review and comment on how people take an undeniable situation of “right and wrong” and rationalize it into a “dilemma.”

1. “I was unaware.” Most of the time, miscreants are aware – or, to be charitable, “suspiciously aware” that what they’re doing is wrong. This rationalization is almost always shot down in a court of law. 

2. “I didn’t know I was being offensive (racist, sexually abusive, homophobic, anti-Semitic, etc.).” Entire companies have been brought down due to endemic behaviors that have no business in the workplace. Whether this behavior is tacitly approved from the top-down or bottom-up, it is repugnant. If the rationalization is peer pressure, there should be no moral or ethical dilemma. 

3. “My manager made me do it.” It is certain that if employees find themselves in a dilemma forced upon them by management, they will lose. Neither the law nor the media will be sympathetic. It is a toxic ethical environment.

4. “I saw an opportunity and seized the day.” An employee intelligent enough to exploit a weakness in the system for financial gain has little rationalization to justify “a moral dilemma.” For example, as an ethics business consultant, I have observed numerous cases of illegal bribe-taking between vendors, third parties, and executives. They explained their dilemma by saying they seized an opportunity to increase sales. It is an unlawful practice, no matter how it is portrayed.

5. “I was led astray.” Whether led astray by peers, vendors, or upper management, the dilemma of taking the wrong path is impossible to justify.

6. “We train workers on safety.” Whether a lack of proper equipment, overwork, hazardous situations, poor drug or alcohol monitoring, a manager responsible for the injury or death of a worker because of deadlines or budgets or non-reinforced training will suffer significant consequences. Dangerous work situations cannot be justified.

7. “I didn’t think anyone would check.” The misrepresentation of credentials always comes back to haunt executives and workers. The dilemma is often caused by “risk.” For example, “If I lack a degree, I risk losing this opportunity.” Sooner or later, misrepresentation will result in termination, lawsuits, or legal action.

Tip of the ethical iceberg

The dilemmas that are often rationalized can also include the improper use of social media, invading the confidentiality of co-workers, imitation or producing fake documents (recently seen in the Theranos scandal), and espionage of the company (often seen to gain insider information).

In every case, employees faced an ethical dilemma and wrongly chose. When organizations lack ethical training and the reinforcement of that training, wrong choices, and rationalization rule decision-making, and those poor business ethics choices almost always lead to terrible consequences.

Ultimately, the question shouldn’t be, what are some ethical dilemmas in business? Instead, how could you rationalize the unethical behavior?