Ethics Presentation

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Ethics in the Workplace : 

Ethics in the Workplace Why is ethics an important topic Examples of unethical behavior What drives unethical behavior Elements of corporate ethics programs Successful vs. unsuccessful programs HR’s role in ethics program Program design resources Questions Topics

Ethics in the Workplace : 

Ethics in the Workplace Cost Morale Public Image/Reputation Legal Risk Factors influencing commitment to ethics: Reduce risk of employee misconduct Ensure commitment to corporate values Initiated by CEO Establish a better corporate culture Why is ethics an important topic

Ethics in the Workplace : 

Ethics in the Workplace NBES - Employees observe 5 main types of misconduct Lying Withholding needed information Abusive or intimidating behavior towards employees Misreporting actual time or hours worked Discrimination The six most frequent categories for investigations were: Conflict of interest - 65% Misuse of resources - 64% Sexual harassment/harassment - 50% Gifts and gratuities - 38% Discrimination - 38% Theft - 31% Examples of Unethical Behavior

Ethics in the Workplace : 

Ethics in the Workplace Privacy in the workplace Whistle blowing Conflict of interest Bribes, payoffs, and kickbacks Organizational abuse Insider training Diversity Intellectual property Corporate responsibility Ethical Issues

Ethics in the Workplace : 

Ethics in the Workplace Unrealistic objectives Dissatisfaction at work Financial difficulties Ability to rationalize behavior Deteriorating loyalty Drivers of Unethical Behavior

Ethics in the Workplace : 

Ethics in the Workplace Elements of a Corporate Ethics Program Code of Ethics and Business Conduct Ethics Officer “Protected” mechanism for bringing complaints confidentiality lack of retaliation procedural fairness Effective Training and Reinforcement Program

Ethics in the Workplace : 

Ethics in the Workplace Elements of a Corporate Ethics Program Acknowledgment of code as a condition of initial and continued employment Accountability and reporting mechanism, including proper measurement, auditing, and feedback Regular reporting to the board or a special committee Senior management commitment.

Ethics in the Workplace : 

Ethics in the Workplace Elements of a Corporate Ethics Program Profile of an Ethics Officer 45% have operations/administration background Educated - Approximately 50% have JD or MBA Long term - Average approximately 15 yrs. Service with company In position for 3.2 years Average 49 years old Male - 73% Caucasian - 91%

Ethics in the Workplace : 

Ethics in the Workplace Successful vs. Unsuccessful Programs Tangible commitment by senior management and the board of directors Set realistic objectives—do not create an environment where there is a temptation to act unethically Effective communications Effective training program Integration of the entire ethics program

Ethics in the Workplace : 

Ethics in the Workplace HR’s Role Development of corporate values and ethical standards Institutionalizing ethical standards Training Performance Standards Being the ethics officer Reward Systems Investigating Creating a culture that values honesty, loyalty, and integrity

Ethics in the Workplace : 

Ethics in the Workplace HR’s Role Forms of Training/Education in Ethical Business Conduct New hire orientation - 90% Subject matter training for select employees - 62% Annual training for all employees - 38% Periodic (not annual) training - 46% New employee follow up sessions - 12%

Ethics in the Workplace : 

Ethics in the Workplace Program Design Assistance Ethics Officer Association - (617) 484-9400 www.eoa.org Ethics Resource Center - (202) 737-2258 International Business Ethics Institute - (202) 296-6938 Jerry Gress - Attorney at Law Barton, Baker, McMahon, & Tolle, LLP (703) 448-1810 jgress@bbmtlaw.com

Ethics in the Workplace : 

Ethics in the Workplace Questions?

Ethics in the WorkplaceAdditional Stats : 

Ethics in the WorkplaceAdditional Stats Programs on the rise Component 1994 1999 written ethical standards 60% 79% training 33 55 advice lines 50 NA