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Organizational Ontology and The Moral Status of the Corporation

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  • Seabright, Mark A.
  • Kurke, Lance B.

Abstract

This paper explores an ontological approach to the issue of whether corporations, like individuals, are morally responsible for their actions. More specifically, we investigate the identity of organizations relative to the individuals that compose them. Based on general systems theory, the traditional assumption is that social collectives are more complex, variable, and loosely coupled than individuals. This assumption rests on two premises. The first is a view of the individual as simple, stable, and tightly coupled (i.e., unitary). The second premise is that the relationship between social collectives and their members is characterized by the complete inclusion of individuals in higher order systems. We examine the social science literature that bears on these premises and conclude that they are false. The differences between organizations and individuals in the magnitude of complexity or variability appear to be minimal or nonexistent. An implication of our analysis is that individuals and organizations are coterminous and, therefore, inseparable as moral agents.

Suggested Citation

  • Seabright, Mark A. & Kurke, Lance B., 1997. "Organizational Ontology and The Moral Status of the Corporation," Business Ethics Quarterly, Cambridge University Press, vol. 7(4), pages 91-108, October.
    • Handle: RePEc:cup:buetqu:v:7:y:1997:i:04:p:91-108_00
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    Cited by:

    1. John Hasnas, 2018. "Should Corporations Have the Right to Vote? A Paradox in the Theory of Corporate Moral Agency," Journal of Business Ethics, Springer, vol. 150(3), pages 657-670, July.
    2. Gazzola Patrizia & Colombo Gianluca, 2013. "Stakeholder Engagement Between Managerial Action And Communication," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(2), pages 97-105, December.
    3. Kevin Gibson, 2011. "Toward an Intermediate Position on Corporate Moral Personhood," Journal of Business Ethics, Springer, vol. 101(1), pages 71-81, March.

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