Ethics in Social Media Algorithms: A Manager’s Perspective

Navigating Ethical Complexity in Organizations Today - the Case for Awareness & Agility

Across the digital landscape, algorithms on social media platforms have quietly become gatekeepers of the content we consume, shaping our perceptions and interactions. These algorithms are designed to keep us engaged, but a recent whistleblower’s revelations show how they can have unintended consequences. Internal documents from a major social media company revealed that its algorithm promoted divisive content to boost user engagement. This practice has sparked debates worldwide, with governments demanding stricter regulations and the company defending its business practices. As future managers, understanding and navigating these ethical dilemmas is essential. This article explores these challenges and highlights how students can apply these lessons to real-world work situations.

The Ethical Dilemma

The controversy centers on a clear ethical issue: algorithms designed to increase profits by keeping users engaged are also amplifying divisive, harmful content. This has led to problems like misinformation, political polarization, and declining trust in society. While the company benefits financially, the societal costs are immense. How can managers balance business goals with ethical responsibilities?

Balancing Profit and Responsibility

Decisions like these require looking beyond short-term gains to consider their broader impact. Ethical frameworks offer useful ways to approach such dilemmas. For instance, one perspective might focus on outcomes: if the harm to society outweighs the business benefits, a change is needed. Another approach emphasizes responsibilities—what do companies owe their users and communities? Others focus on character and culture, encouraging businesses to act with integrity and care for the greater good.

While theories like these might seem abstract, they provide guiding principles for tackling real-world challenges. They remind us that ethical decisions aren’t just about following rules but about creating positive change and building trust.

Lessons for Future Managers

Ethical challenges like the one posed by social media algorithms are increasingly common. Here are some key takeaways for managers:

1. Recognize Ethical Issues Early

Sometimes, problems are hidden behind technical jargon or routine practices. Learn to identify red flags and question the broader impact of decisions.

2. Balance Business Goals with Long-Term Impact

Profits are important, but at what cost? Strive for solutions that align financial success with societal well-being.

3. Foster Transparency and Accountability

Be clear about how decisions are made and why. Invite feedback from diverse voices, including employees, users, and external experts.

4. Lead with Integrity

Your actions set the tone for your organization. Prioritize ethical behavior and encourage your team to do the same.

5. Stay Agile in a Changing World

Ethical dilemmas evolve as technology and regulations change. Stay informed and be ready to adapt.

Broader Ethical Challenges in Business

The social media case is just one example of the complex decisions businesses face. My Business Ethics students recently analyzed 12 other real-world dilemmas, each highlighting unique challenges:

• High-Frequency Trading: Algorithms that drive stock trading can destabilize markets and disadvantage smaller investors.
• Multi-Company Ecosystems: Collaboration across companies raises questions about data sharing and intellectual property.
• AI in Hiring: Recruitment algorithms risk unfairly excluding candidates based on race, gender, or age.
• Gig Economy: Companies depend on gig workers but often fail to provide fair pay or security.
• Autonomous Vehicles: Who takes responsibility when self-driving cars cause accidents?
• Facial Recognition: Technology enhances security but threatens privacy rights.
• Genetic Data: Sharing genetic data for profit sparks concerns about consent and privacy.
• AI-Generated Content: The rise of AI tools challenges traditional notions of creativity and authorship.
• Health Monitoring Wearables: Collecting sensitive health data raises ethical questions about its use and commercialization.
• E-Waste: Tech companies must address the environmental impact of discarded devices.
• AI-Assisted Policing: Predictive crime software risks racial profiling and human rights violations.
• Supply Chain - Extended Chain of Responsibilty: Companies sourcing from regions linked to forced labor face accountability challenges.

Each of these cases illustrates the tension between innovation, profitability, and ethical responsibility. They remind us that ethical agility—adapting to complex, evolving situations—is essential for future leaders as is awareness and moral imagination.

The Case for Ethical Agility

Ethical decisions are rarely black-and-white. They require weighing competing priorities, thinking critically, and acting with integrity. For future managers, this means:

• Continuous Learning: Stay informed about emerging ethical issues.
• Collaboration: Work with diverse stakeholders to find balanced solutions.
• Resilience: Stand firm in your principles, even under pressure.

Ethics is not a barrier to success but a foundation for sustainable growth. By prioritizing ethical considerations, managers can foster innovation, build trust, and contribute positively to society. Whether dealing with social media algorithms or other challenges, ethical agility will be the cornerstone of impactful and responsible leadership.