An organization's structural design, its goals, performance appraisal systems, and reward allocation procedures influence the ethical choices of employees.

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An organization's structural design, goals, performance appraisal systems, and rewards allocation all play a role in shaping the ethical choices made by employees. For example, if an organization prioritizes profitability and rewards employees based solely on sales numbers, employees may be more likely to engage in unethical behaviors to meet those goals. Alternatively, if an organization places a strong emphasis on ethical behavior and incorporates ethical principles into its performance evaluation and reward systems, employees are more likely to make ethical choices. Therefore, an organization's internal structure and policies have a significant impact on the ethics of its employees.

An Organization's Structural Design, Its Goals, Performance Appraisal Systems, and Reward