Ethics in the workplace

Ethics. Lately the term has been used often when discussing the scandals in corporate America. Enron. WorldCom. Martha Stewart. But being unethical doesn't always mean a millions-of-dollars kind of scandal. It can be the extra $20 fudged on an expense report or the ream of paper stuck in a briefcase. All sorts of possibilities exist: overbilling clients, divulging private information, using poor quality material or perhaps just being aware of unethical behavior and not reporting it.

A recent National Business Ethics Study by the Ethics Resource Center showed that only 43 percent of employees in their 20s would report unethical behavior compared to 69 percent of older workers. Could there by guilt by association? If you are OK going along with cheating, however minor, maybe you are OK doing it yourself. This can be scary for employers because those younger people will be running major corporations in the years to come. Says Ron Brumbarger, CEO of a professional services company, "the term 'moral compass' comes to mind. If they don't have that compass, then what basis are they making their decisions with?"

The apparent lack of ethical consideration in the workplace has led the Association to Advance Collegiate Schools of Business, the main accreditor of business schools, to take a closer look at how colleges and universities meet their obligation to teach ethics to students. Some schools, such as Northwesters University's Kellogg Schools of Management, has instituted a 10-day course that includes business ethics, values and corporate responsibility and is required for business students.

But in spite of all the negative headlines over the past couple of years, a new report by ERC indicates that lying by employees, customers, vendors and the public has dropped to 19 percent from 26 percent in 2000. Similarly, withholding information declined, as did discrimination on the basis of raced, color, gender and age -- down to 13 percent from 17 percent.

How can the average business make a difference in the ethical behavior of its leaders and employees? According to Dr. Gilman, president of the Ethics Resource Center, organizations should talk about ethics, act ethical, keep promises and be upfront about ethical obligations to customers. "It is critical that senior leadership set high standards," says Dr. Gilman. "If they do not, they undermine the ability of employees to both respect and understand what ethics is in their organization."

A written code of ethics can be a good tool. It serves as a central guide to support day-to-day decision making at work. It clarifies the cornerstones of the organization -- its mission, values and principles. This can help managers, employees and stakeholder understand how these cornerstones translate into everyday decisions, behaviors and actions. Some people think that an official 'code' may limit action but the best codes are structured to liberate and empower allowing for more effective decision making with greater confidence.

The key to build integrity both on and off the job is to learn it at a young age. ERC has several programs aimed at children and their parents. Some of the points they emphasize can be helpful no matter what your age:

Action speaks louder than words.

Good character takes commitment.

Do your job as though your kids were watching.

To learn more about the Ethics Resource Center check out their Web site at www.ethics.org and continue to build integrity in yourself, your business and your community.