Corporate Governance

Developing an Ethical Corporate Culture in an Age of Indiscretions

Developing an organizational culture based on ethics requires leaders who communicate policies and reinforce them with consistently ethical behaviors.
By Royston Arch

The United Nations Development Programme defines organization culture as the sum of the "way people behave in the workplace, how they go about doing their work and the values that they demonstrate through their actions and decision-making." Culture is something passed through tiers of employees and time, meaning it is as much or more influenced by the way people behave as it is by written policies and procedures.

The culture can be based on positive and ethical values, expectations, decision-making and policies or the opposite – unethical values and behaviors. Employees choose to do the wrong thing for numerous reasons, and one is leadership that sends the wrong message through their own behaviors or fails to consistently engage employees in its policies of transparency and honesty....

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