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Teleopathy is the unbalanced pursuit of purpose by either individuals or organizations. This mind-set or malaise has been described as an occupational hazard of business life and the key stimulus to which business ethics is a response. Its three principal symptoms are fixation, rationalization, and detachment.

Fixation

Unlike determination, perseverance, and tenacity, which are often considered positive traits of both individuals and organized groups, fixation is usually regarded as a negative trait, akin to obsession, addiction, and dependency. This negative trait involves the domination of a person's consciousness (or an organization's culture) by a persistent goal, objective, or desire—out of proportion to its importance in the larger scheme of things. Fixation is a kind of misplaced devotion or loyalty that in philosopher Immanuel Kant's language ultimately entails treating the self as a means, not an end.

Rationalization

Often when fixation is present, rationalization is not far behind since rationalizing means offering superficial reasons for behavior when more honest reasons might elicit criticism. Rationalization is typically a temporary form of self-deception or “denial,” allowing individuals or groups to suspend normal moral inhibitions when taking action. Two broad types of rationalization are common in business settings: One departs from fiduciary obligations to shareholders (market rationalization), and the other departs from law and regulatory permissibility (legal rationalization).

Detachment

When fixation and rationalization are repeated on a regular basis, they become habitual (or cultural), resulting in a kind of indifference to the human impacts of decision making. Head and heart become disconnected. Objectives become idols; obstacles become threats; second thoughts are silenced—and eventually, second thoughts disappear.

Figure 1 Teleopathy Manifested in Three Symptoms: Fixation, Rationalization, and Detachment

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Illustrations

Examples of teleopathy in the behavior of both individuals and organizations are not hard to find (e.g., Jeffrey Skilling and Andrew Fastow, senior executives of Enron; Bernie Ebbers, CEO of WorldCom; and Dennis Kozlowski, CEO of Tyco). The corporate scandals of 2002 resulted in the Sarbanes-Oxley Act, aimed at mitigating abuses in accounting and financial reporting. In the wake of the 2003 crash of the Columbia space shuttle, the Columbia Accident Investigation Board (CAIB) indicted the organizational culture, accusing NASA of shortening the launch schedule for a critical section of the space station to meet an overarching goal. The presence of fixation, rationalization, and detachment in these cases is apparent. Less apparent is the antidote to the malaise. Market forces, laws, and regulations are necessary but not sufficient. The prevention of teleopathy must ultimately be personal and cultural. This means moral awareness and corporate conscience, two essential requirements of business leadership.

  • teleopathy
  • rationalization
Kenneth E.Goodpaster

Further Readings

Goodpaster, K. E.(2006).Conscience and corporate culture. London: Blackwell.
Van Hooft, S.(2001).Overcoming principles: Dialogue in business ethics. Teaching Business Ethics589–106. http://dx.doi.org/10.1023/A:1026583811845
Young, P. C.(2004).Ethics and risk management: Building a framework. Risk Management: An International Journal6(3)23–34. http://dx.doi.org/10.1057/palgrave.rm.8240187
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