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Codes of Conduct
An organization's Code of Ethics and Business Conduct is intended to be a reference tool for all employees in support of day-to-day decision making. It is meant to clarify an organization's mission, vision and values, linking them with standards of professional conduct, the law and organizational processes. It is a reference for locating relevant documents, services and other resources related to ethics within the organization.
It is important to note that there is no “one-way” to build a Code of Business Ethics and Business Conduct. There is no “one size fits all”. However, there are some consistent process themes followed by organizations that have excelled in this area:
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The role of leadership cannot be over emphasized in creating and implementing a Code of Business Ethics and Conduct. It is an organization’s leadership who set the tone for behavior. Leaders not only lead by modeling behavior, they recognize and reward those who follow, thus reinforcing what is acceptable and what is not.
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The creation of a Code of Ethics and Business Conduct takes into consideration the importance of serving multiple stakeholders including customers, employees, investors, suppliers and communities. Also important is the need to insure that the Code of Ethics and Business Conduct takes into consideration the increasing globalization of our society. While there should be consistency of application regardless of the global cultures, care should be given to be sensitive to the differences of cultures around the world, embracing the diversity.
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Building a Code of Ethics and Business Conduct cannot be solely done by senior executives. Leaders must reach out and engage the stakeholders of the organization, particularly employees. Both vertically and horizontally, a leader must engage key voices in the organization seeking feedback on the proposed Code of Business Ethics and Conduct. Employee feedback may be obtained from data already collected from performance reports, focus groups, employee surveys and anecdotal information.
An engagement process similar to this will benefit the entire organization. “Buy in” and ownership of the finished Code of Ethics and Business Conduct will be greatly increased as the organization’s stakeholders have had a voice in its creation.
Sample Policies
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Academic Institutions
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Associations
National Association of Realtors (NAR)
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Businesses
Blue Cross and Blue Shield of Minnesota
Jet Propulsion Laboratory (JPL)
Raytheon
Center for Ethical Business Cultures
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Phone: 651 962 4120 or 800 328 6819 Ext. 2-4120 ▪ Facsimile: 651 962 4042
Email: mail@cebcglobal.org
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