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In this issue of Setting the Example, we discuss ethics reporting and what ethics information should be shared with whom; we explore different views on when a payment is unethical or not; and we have included an interesting article on the importance of accountability. We have also shared our Workplace Ethics Checklist which offers a quick and easy way to evaluate the status of a company’s ethics awareness, understanding and management and to identify whether action needs to be taken to improve the management of ethics. We are also pleased to announce that Cynthia Schoeman’s book, Ethics: Giving a Damn, Making a Difference, will be available in October.
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BRIBE, FACILITATION PAYMENT OR COMMISSION?Bribe, facilitating payment, commission – when is a payment ethical or unethical?
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Until 1992 bribery in South Africa was a common law crime (i.e. for which there is no actual legislation). The Corruption Act (No. 94 of 1992) repealed both the common law crime of bribery and the previous Prevention of Corruption Act (No. 6 of 1958), and created a new offence called corruption which included the common law crime of bribery and the offences created by the 1958 legislation. This is currently addressed by the Prevention and Combating of Corrupt Activities Act (No. 12 of 2004). Read More...
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ETHICS REPORTING: WHO SHOULD TELL WHAT TO WHOM? (Part 2)
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Our May 2012 newsletter included part one of our focus on ethics reporting, addressing the topic of “Ethics reporting: who will tell what to whom?”. Part two addresses the question of “who should tell what to whom” which explores what organisations should report.
organisations generally have a number of reporting obligations, many of them in accordance with the law...
Read More...
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ETHICS: GIVING A DAMN, MAKING A DIFFERENCE by Cynthia Schoeman
To be published in October 2012
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Next time someone tells you that ethics doesn’t make good business sense or that competitive pressure doesn’t allow for an ethical approach, tell them to think again. Not only in South Africa but in companies and institutions across the world, misconduct of all kinds is increasingly revealed to be a destroyer of profits and reputations. This book considers the many different aspects of ethics in the workplace, and shows its role as a vital and necessary ingredient of long-term success.
It offers practical advice and guidelines that address key ethical questions:
- Does ethics make good business sense?
- Does ethics pay?
- Why is it hard to do what’s right?
- How ethical is your organisation?
- How can you improve your ethical status?
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WORKPLACE ETHICS CHECKLIST
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We have developed a Workplace Ethics Checklist as a quick and easy DIY tool to complement the Ethics Monitor survey. The Checklist can be used to evaluate the status of a company’s ethics awareness, understanding and management and to identify whether action needs to be taken to improve the management of ethics. If the answer is “no” to any of the eight questions, it warrants action to more effectively manage the company’s ethics. Read More...
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LET'S BRING BACK ACCOUNTABILITY
by Deborah Mills-Scofield, posted on HBR Blog Network
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From customers' and suppliers' viewpoint, Company X is fast growing, exciting, and high-energy. Inside, though, it's a tornado. Fighting fires, arguing over who committed to what, why it didn't happen, and noticing things that fell through the cracks in just enough time is normal.
How can this happen when they have weekly departmental meetings...
Read More...
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ROOTING OUT FRAUD AND CORRUPTION IN YOUR ORGANISATION
Summary of Cynthia’s talk on the 19 July at the IIR Governance Week 2012 at the Hyatt Hotel, Johannesburg:
Regular media reports of ethical scandals – the most recent focused on Barclays – reflect that ethics is often a problem in the workplace. These ethical failures illustrate a range of negatives consequences and costs: leaders have lost their positions, share prices have fallen, and reputations have been damaged, to name but a few.
To address workplace ethics more effectively, two key questions first need to be answered - Does ethics matter and does ethics make good business sense? Only if a company’s leaders answer “yes” to both questions can an ethical culture successfully be built.
Thereafter, building and maintaining an ethical organisation rests on addressing six steps: setting your ethical standards; setting up an ethics committee; building ethical awareness; measuring and monitoring your ethical status; taking action to encourage and improve ethical behaviour and to reduce unethical conduct; and maintaining an ethical culture.
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IN SUPPORT OF ETHICS
“We need to collectively take a stand to not ‘buy’ business with a bribe that ultimately undermines and erodes the good work that we do and the services that we offer.”
Nina Freysen-Pretorius, National Chairperson, Southern Africa Association for the Conference Industry (SAACI)
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ETHICS TIP
A4 , the four crucial steps to deal with a breach of ethics:
- admit (before the press report
on it)
- apologise (sincerely)
- make (appropriate and
prompt) amends
- don’t do it again.
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About Ethics Monitoring & Management Services (Pty) Ltd
Ethics Monitoring & Management Services was started by Cynthia Schoeman to help organisations improve ethics in the workplace and to encourage them to manage ethics proactively. Cynthia developed The Ethics Monitor, a web-based ethics survey, which enables organisations to measure and monitor their ethical status. Ethics Monitoring & Management Services also offers ethics talks, workshop, consulting and training.
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