Ethics and Governance: Decision-Making in Corporate Scandals

This essay delves into the complexities of ethics and governance, examining the core principles of ethical egoism and deontology and their practical applications. The paper explores how these theories influence decision-making processes across different cultural contexts. It introduces the AAA model and the Ferrell model as frameworks for ethical decision-making, providing a structured approach to navigating ethical dilemmas. A case study of corporate accounting scandals is used to illustrate the practical implications of these theories and models, highlighting the importance of moral responsibility in business practices. The essay underscores the significance of ethical awareness and robust decision-making processes in preventing corporate misconduct and promoting responsible governance.

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Ethics and Governance
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Abstract:
The paper will study the different theories of egoism and deontology and their respective
application in the different cultures. It will study the different theories related to ethics and
governance through the context of the decision making model that I crucial in order to project
a systematic model for obtaining a morally responsible mechanism form of decision-making
process. A particular case study related to the corporate accounting scandals incident will
provide a background to this report.

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Table of Contents
Introduction................................................................................................................................3
Discussion..................................................................................................................................4
Egoism and deontology theories............................................................................................4
AAA model and the decision-making framework.................................................................5
Ferrell model of decision-making..........................................................................................7
Conclusion..................................................................................................................................8
References..................................................................................................................................9

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Introduction
The entire idea of the ethical egoism context refers to the fact that any particular
doctrine that most of the people need to adopt is always from their sense of self-conscience
and the need of self-interest. However, the concept of ethical egoism shows various
contradictions in its nature as it paves the way for an individual to make a judgment and
evaluate a particular situation whether the situation is right or wrong. The concept of ethical
egoism also shows a wide degree of inconsistency in nature. In any given particular situation,
if any individual who is claimed to be an ethical egoist assumes the fact that that everyone
present in a society should contribute to the maximum extent in fulfilling their own self-
interests, then it is not necessary that the person is not necessary against his own self-needs in
order to reinstate his own theory. In the entire view of the presence of ethical egoism, there is
always a scope for initiating the interpersonal decisions that are needed to be taken in order to
lead a proper transcending view within the context of the viewpoint of the individual egoist.
Issues like highlighting the tendency of the feeling of selfishness that is shown for either a
particular person or a specific entity. However, the theory also highlights the fact that there is
often an argument of life and that life should never be taken as an entity or a tool that initiates
the ongoing contest between the different individuals rather the context should be considered
as a medium for healthy challenge. If any person is ever referred as the egoist, then he or she
is highly expected that he will not do anything or take any action that can go against his or
her own self-interests. The whole aim of acting based on someone’s self-interest issues often
proves advantageous for the others who are also living around the person who is claimed to
be an egoist. This fact makes it quite clear that acting based on someone’s own self-interests
does not necessarily project out the meaning that he is a selfish person and just working to
fulfill his own self-interests.

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Discussion
Egoism and deontology theories
The concept of an ethical egoist and his ethical egoism refers to the fact that there are
a presence of the extreme form of reactions and the various kinds of reflections that are
significant in highlighting the different field of ethics and the different forms of traditional
regulations that are present. This generally refers to that form of ethics structure that Butler
refers to the feeling of self-love or the suppressed form of ego as has been defined by the
Freudians, and at the same time it should also be noted that an egoist should be ethical in
their nature and need not necessary be selfish in the context of their nature and at the same
time need not prove to be selfish in the everyday context of the different cases
(Sinha,2017).The concept of ethical egoism however is considered as that appropriate form of
ethical theory and not necessarily be a random pattern that follows a particular trait or a
character that remains compatible by remaining consistent with the practice of being self-
affected or the effort of being unselfish in the everyday contexts of life. The tenets of being
an ethically egoist lies within the domain of the consideration of any individual who acts as a
moral agent, in whatever situation lies ahead of him where he holds the view that the priority
of any individual gradually becomes that person’s obligations in order to promote himself as
lying on the greatest possible fulcrum of balance that lies between the good or bad of a
societal pattern. However, the fact remains unclear and ambiguous is regarding the perception
about the ethical egoist and his idea of the individual who act always as the moral spectator
(Miles, 2018).
In the approach of the case study, however the concept of being an ethical egoist can be
applied in the domain of analyzing the problems in details. In the context of the mentioned
case study that was given, the fraud that was commiteed by the accountant Eron, could have
been eliminated by application and use of the concept of the individual who is identified as an

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ethical egoist, which refers to the fact of self-love that does not necessarily refers the selfish
nature of the individuals. Eron in the context of the committed fraud could have eliminated
the crime if he learnt to behave like an ethical egoist and put efforts in order to retain his own
sense of the sets of moral values.
Unlike the purely egoist theories, the theories related to the deontology concept refer
to the basic form of judgments or the different forms of obligations that are mainly particular
in nature. However, in the recent times, there is growing concern on the decision-making
framework rather than just the process of mere intuition where there are high probability of
admitting the different form of difficulties or the existent level of prevailing anxiety, as stated
by most of the existentialists (Taboe at.al 2019). However if we consider this fact in the
context of a lesser extreme form, then the act of the deontologist will allow the survival
strategies of the existing form of the general rules to supersede any form of particular
judgment in particular and a well-defined form of judgment on the parameter on which the
particular action will be taken. However, the deontologists will hold the viewpoint that the
standards to which he must conform is based on the clear parameters of being right or wrong
which are consistent of the various rule that govern them . The deontologists however is
assumed as that entity who are supposed to always tell the truth or the different abstract form
of facts similar to the different forms of principles that governs the entire form of justice. The
procedure is based on the clear principle of whether a particular fact is right or wrong. In the
case study approach, the deontologist theory could have eliminated the scale of crime by
giving the realization to Eron whether his particular action will prove to be right or wrong
(Avolio, 2016).
AAA model and the decision-making framework
The American Accounting Association model or popularly known as the AAA model
provides a very holistic form of framework for formulating the ethical form of taking the

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various decisions. The seven such parameters based on which the typical AAA model works
is first, the formulation and the amalgamation of the different factors related to a particular
case and to simultaneously inquire the different forms of the ethical issues that are present,
which means that when the process of taking the decisions start , at that time and situation
there should not be any presence of ambiguity factors regarding the different factor that lie
within the consideration. Secondly, the parameter lies that involves the analysis and
examination of the different factors of a particular incident and the purpose of inquiring the
different ethical issues, which can be at, stake. Finally, there should be a proper identification
of the different norm that are present in the form of the varied principles and the different
aligned values that are related to a particular case, then the factors would involve the placing
of the decisions at the right place in the context of the different social and the ethical contexts
and in some cases in the context of the different forms of professional behavior (Barkhordari,
Ashktorab & Atashzadeh,2017). In the last context , the framework of the set of the prevalent
code of ethics which are required for the different forms of professional behavior contexts or
the different forms of expectations that arises from the domain of the social context which
remain attached to the different forms of professional behavior that are present in the form of
the specific norms , the diverse principles and the values that can be clearly identified. This
factor involves stating the fact that each person without any additional form of consideration
that can be overlaid at a later stage. When this action is taken, it needs to be judged whether
the actions that are taken are appropriate or requires any form of modification. The norms and
the different form of principles are often overlaid along with the stated options (Stein,2017).
When this is done, it can be made possible to search for the most appropriate actions
according to the existing options that conform to the different specific norms. The
consequences of the different outcomes are then reviewed with the aim of making the
implications of each outcome separately for taking the final decisions on the basis of the full

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knowledge that is based on the capability of recognizing the people properly who are
involved in the process. There is however a concept that prevails around the ethical
sensitivity approach in the application of the AAA model in the framework of the ethical
decision-making framework. This mainly refers to that fact that there are various fundamental
form of the ethical principles that can be applied in the basic form of work process of the
accountant in charge in the functional areas mainly that are emphasized in most of the cases.
The main aim of the decision making stage is to ensure the fact that the accountants should be
made able to realize their form of ethical threats to the system that prevails (André & Pache
2016). This stage mainly grows on the basic premises of the insights of the case studies. This
stage also incorporates a certain form of ethical judgment in the system that further initiates
the process of integration and its application along with the ethical form of knowledge to
enhance their sensitivity approach. This stage therefore encompasses the assistance delivered
to all the accountants in the decision making process regarding their different form of ethical
priorities.
Ferrell model of decision-making
The decision making process as guided by the Ferrell law focuses on the different
models of ethical decision making to provide a better and a more transparent mechanism to
initiate the entire process of the critical thinking system and therefore to formulate proper
forms of plan to provide the required resolutions for the issues that rise from the context of
ethical dilemma. The model of ethical decision making can be referred to as that tool that is
applicable and can be readily used by the different healthcare sectors (Longstaff et.al
2015).In this context there are a number of models that can be highlighted in the different
literatures related to the ethics, most of which show a great degree of similarity in both the
design and the content of the related matter (Floridi, 2018). The goal of each individual
model is with the aim to provide an additional form of framework for making the most

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optimum use of the decisions taken in a particular decision taking environment with the help
of the different healthcare service providers that is confronted with. Most of the models are
based on the techniques of reasoning process that is guided by the different forms of existing
principles and a techniqual approach that is derived from the courses of work of the different
philosophers who are present. However, these models must consider the different ethical
regulations that act as the moral obligations. The values also advocate the different forms of
resources such as the existing evidences, which are published due to different purposes. Some
of the models also incorporate the variety of steps in order to resolve the rising level of
dilemmas but they all need to support an ethical form of dilemma lying within the appropriate
structure. In the context of the mentioned case study, it is clear that, the law of Ferrell’s could
have inspired Eron to adopt for a more dynamic decision making process (Hilgartner,
Prainsack & Hurlburt J. B. 2017).The different processes of evaluation involves the sense of
ethical dilemma that is not included of the events that actually take place with the practitioner
when the practitioner faces a set of scientific or clinical issues and at this moment the
individuals demanded sound and careful attention as the proper attention, at the correct time
is required for all the facts along with the details of the decision making process. The
authorities who are responsible for taking the appropriate decisions must get together at a
common point to bring out a well informed decision.
Conclusion
Finally, it can be stated that that it concludes the fact that the different form of the
ethical principles structure and the various set of ethical values along with the other related
concepts. However, in a generalized manner, there are the presence of many more other
factors that are involved in the process of the various decision making framework. When the
different forms of alternatives are clearly defined in the process in the context of highlighting

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the strengths and the other forms of limitation s, in these situations ,the seriousness level must
be measured on a wider scale by the dental hygienists considering the fact that the different
forms of professionals should be made obliged to keep the patients in the first place in the
priority list.

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