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Ten Ways Managers Can Keep Their Companies Ethical

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Submitted By bhersh01
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Ten Ways Managers Can Keep Their Companies Ethical
Choose Ethical Leaders
Unethical leaders = Unethical employees
Codes of ethics will have limited to no impact
No respect for “do as I say, not as do” managers
Ask the right questions
Ask about a dilemma and how it was resolved
Hypothetical ethical dilemma
Current business ethics in the news
Have an Independent Board of Directors
Ensure organizations future, policies, and objectives
Do not do enough questioning of management’s decisions for ethical standards
More interested in what to gain than what’s best for company
Conflicts of interest hamper ability to make good decisions
Most Boards
Rely on management to keep informed
No time, skill, or background in complex business transactions
“Go along to get along” mind-set that discourages questioning
Should do the following
Avoid nepotism, no family on board
Institute structural reforms
Ask outsiders to serve on the board
Provide information in clear language
Invite questioning
Have a Living Code of Ethics
Make sure it is not a forgotten piece of paper
Continually reviewed, training, examples, self-policing
Applies to everyone in the company
Explain the Reasoning behind Your Code
Explain why
Apply Ethical Standards to Everyone
Applies to everyone
From high management to part-time employees
Value Ethics over Performance
Structure reward programs to encourage ethical compliance
Give the responsibility of enforcing ethical standards to someone else
Appoint an ethics committee
Engage Stakeholders
Identify them and their concerns
Encourage communication from both parties
Support Industry-Wide Regulation
Promote sensible regulation
Boost new customers and higher revenues
Create an Environment Where People Want to Come to Work
Assign employees to jobs that they’re well suited for
Give employee a meaningful

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