Question

what you believe companies can do not only to cultivate a culture of ethics and compliance and also to have real buy in from employees needed to sustain that culture.

Answer 1

Answer:

To build an ethical organization, the compliance practitioner needs to instill ethics and compliance in to the organization. This can include "setting formal and informal constraints,incentives, expectations,values and norms", all of which influence the behaviors of employees and even third parties with whom the company does business. The first problem with this "rogue employee" claim is that it is wrong. The second problem is that by making this bogus claim and denying that it was company failure, a company may well never correct the underlying problem which led to the compliance failure.

Model Of Organisation:-

1. Leadership and management:- This requires a leaders who embody the company values and expect the same from its employees.

2. Culture:- This requires strong shared norms and beliefs that encourage all employees to uphold company wide values and deter deviation from those value.

3. Systems:- There must be systems in place for planning, reporting and budgeting to reinforce ethical and compliant behaviors, all linked to culture and strategy.

4. Product & service development:- There must be processes in place to ensure that employees needs and expectations are met.

5. Structure:- There must be formal organisation and governance that set clear roles and accountability and provide discretion within prudent internal oversight.

6. Strategy:- The organisation must have a clear mission that it will do business ethically and in compliance and that these values accommodate employees values as well.

Strong cultures have two elements: A high level of agreement about what is valued and a high level of intensity with regard to those values.

A culture of integrity also is generally characterized by:

• Organizational values.
• Tone at the top.
• Consistency of messaging.
• Middle managers who carry the banner.
• Comfort speaking up.
• Accountability.
• The hire-to-retire life cycle.
• Incentives and rewards.
• Procedural justice.

When management is leading an organisation in an ethical manner, employees follow in those footsteps. Employees make better decision in less time with business ethics as a guiding principle; this increases productivity and overall employee morale. When employees complete work in a way that is based on honesty and integrity, the whole organisation benefits. Employees who work for a corporation that demands a high standard of business ethics in all facets of operations are more likely to perform their job duties at a higher level and are also more inclined to stay loyal to that organisation.

Principle for organisational culture & ethics:

• Work with and within current cultural situations.
• change behaviors, and mind sets will follow.
• Focus on a critical few behaviors.
• Deploy authentic informal leaders.
• Don't let formal leaders off the book.
• Link behaviors to business objectives.
• demonstrate impact quickly.
• use cross organisational methods to go viral.
• Actively manage cultural situation overtime.

In other words, it profits are put ahead of all other measurements for an employee, that employee will get the message and make sure that makes their numbers.