Ethical dilemmas are complex situations in which multiple stakeholders are involved with values in conflict, and hence, a satisfactory solution for all is difficult to reach. An ethical dilemma can arise anytime anywhere in the organization, even in our daily lives.

Further below you will find a brief case involving an ethical dilemma and you are asked to offer a two-part analysis. I would like everybody to think through it individually first (no cheating on others' answers!) and then submit your analysis.

Instructions for Part I are as follows (reply in 1-2 sentences for each question):

1. What is the moral problem here? What is the root cause?
2. Which values are in conflict? Which moral standards and principles apply?
3. Who are the stakeholders involved?
4. What are potential harms/benefits to stakeholders?
5. What are possible alternative solutions?
6. What could be any practical constraints on your course of action?
7. What would be your course of action? What would you decide to do?

Instructions for Part II involve the analysis of your chosen course of action. Namely:

1. Is my course of action legal?
2. What are its benefits and costs?
3. How would I feel if my course of action was taken as a universal principle, applicable to all such cases?
4. If I were asked to appear on TV or in the news and speak about my course of action publicly, how would I feel about it?
5. How would I feel if the same course of action was applied to me by others?
6. How would I take a second, perhaps opposing, opinion?

The dilemma:

Youre a market trader (broker) who joined a large investment bank two years ago. Pat, one of your fellow traders, is well known on Wall Street for being a big risk taker and a big money maker for the firm. Consequently, he is popular among your firms senior management. You see him at a party one night and notice that he surreptitiously used cocaine several times. Several weeks later in the office, you notice that he seems exceptionally high-spirited and that his pupils are extremely dilated you know that both are signs of drug use. Youre thinking of mentioning something about it to his managing director, Bob, when Pat makes a particularly impressive killing in the market for your firms own account. Bob jokes that he doesnt know how Pat does it, but he doesnt care. "However he is pulling this off, its great for the firm," Bob laughs. You feel strongly that this is a problem and that it places your firm at risk. Youve already raised the issue to Pats manager, Bob, who simply ignored it.