Ethics thoughtpieces

Raising hope through whistle-blowing? The sexual harassment challenge.

Organisations that EthicsSA engage will often proudly inform us of the existence of their safe reporting, or whistle-blowing, facility. When asked whether many cases are reported through this facility the answer is usually ‘no’. Reasons given vary from ‘the hotline is relatively new’, ‘potential whistleblowers are afraid of victimisation should they be required to act as witnesses down the line’, to ‘it is not in our culture to blow the whistle’.

In the years before 'empowering employees' became part of the management lexicon, decision making authority often rested several layers above where the actual work was being performed. It was commonplace for peoples' work to be checked, first by their supervisors and then rechecked by the manager. Those of us consulting to business at that time derisively referred this to as "checkers checking checkers".

Two years ago, the World Bank offered Lesotho support for its corruption trials against multinationals accused of extensive bribery in one of Africa's biggest engineering works.That none has been forthcoming has not dented the small African nation's determination, fuelled by morality and self-interest, to end money-for-contract graft in the poor world.

An organisation's code of ethics is a key element of good ethics management says Prof Willem Landman. The King Report on Corporate Governance for South Africa prescribes the adoption of such a code. Non-listed and smaller businesses would do well to follow suit. 

This article deals with the question of whether an increased teaching of business ethics can/will have a positive effect on the fight against corruption in companies. It is written from a (South) African perspective. 

The CFO asked you to provide clerical back-up during a meeting between the CFO and two members of the Audit Committee of the Board. This is your first visit to the C-Suite and you are impressed with the rich wood paneling, deep pile carpets and the quiet air of power and authority. While you are doing some routine filing at the desk the two Board members walk by, deep in conversation.

The Companies Act (no.71 of 2008), as well as the Companies Amendment Act (no. 3 of 2011), came into effect on 1 May 2011. These acts have to be read together. The Act has elicited much discussion and some confusion. One area that has been receiving attention is the new requirement for social and ethics committees. 

The observance and application of ethics within the business world is not something new.  For as long as mankind has been living in groups, the moral regulation of behaviour has been necessary for the group’s wellbeing.  

We all talk about respect. For a vast number of organizations “respect” is one of their avowed core values. Along with honesty, integrity, fairness, compassion, courage, and accountability it is one of the values cited by my own organization.

“If he were any dumber, we’d have to water him twice a week.”

The first time I heard it I laughed. Same thing the second time – but there was an aftertaste of unease. It’s a funny line, but what if someone actually thought or said that about a colleague or coworker? 

In Business we are in need of a much more inclusive capitalism. Across industries, but also within businesses, we need an approach to business success that will consider the interests of all stakeholders. No system can be sustained whilst the interests of some key stakeholders are systematically excluded or harmed.