Ethics Can be Sneaky, Are YOU Prepared?
Let's start with a basic question - Since June 2024 have you dealt with a difficult ethics dilemma related to your work or personal life? If yes, how did you react and what did you rely upon to address it:
Why do we need periodic Ethics training at work and for professional designations? We work in an ethically foul business and personal environment. It is important to be situationally aware of potential unethical activities and how to timely address and report them. ?
Some say that an Entity’s ethical culture deficiencies can serve like a canary in a coal mine. The risk is once an ethical culture is perceived to be dead, it is only a matter of time before all employees are perceived to be unethical. While some may feel that management is different from their direct reports, in the end, management are still employees just like their direct reports and are obligated to follow and even champion an ethical culture.
My ethics experiences come from ACFE Ethics Code and Professional Standards as well as ethics policies, cases, and positions with IRS, HealthSouth, Kellogg and FedEx.
To start this, let’s use a common definition for ethics:
???????? At its simplest,?ethics?is a system of moral principles:
???????? Ethics?is concerned with what is good for individuals and society.
???????? It is also described as a moral philosophy. The term is derived from the Greek word ethos which can mean custom, habit, character, or disposition.
???????? Ethics?is also defined as a moral philosophy or code of morals practiced by a person or group of people. An?example?of?ethics?is the code of conduct set by a business.
???????? Ethics?helps us navigate the gray area between absolute right and morally wrong. They provide the structure that helps us decide on an action?we?can be proud of/comfortable with. Without?ethics, society would be reduced to the type of animal behavior seen in nature.
In summary, ethics is based, in part, on morals, principals, and philosophy. It can sometimes appear to be soft and squishy and more nuanced for some people, hence the need for documentation, education, and constant renewal.
Below are a few examples on what I refer to as the Success of Ignorance and/or Arrogance:
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Purdue Pharma and McKinsey & Company - Justice Department Announces Resolution of Criminal and Civil Investigations into McKinsey & Company’s Work with Purdue Pharma L.P.; Former McKinsey Senior Partner Charged with Obstruction of Justice | FDA
Former Volkswagen CEO charged with fraud over Diesel emissions - Former Volkswagen boss faces trial for ‘Dieselgate’ role | Business and Economy News | Al Jazeera
Police Chief charged with dealing drugs, former top FBI official arrested for ties to Russian Oligarch, former county assistant state attorney arrested on 32 bribery and misconduct charges - Center for Ethics and Public Integrity Newsletter: February 2023 –
And the list goes on and on for the public, private, and non-profit sectors. No one is immune from the temptations and consequences of unethical behavior.
The first step in maintaining your professional ethics is being aware of how your entity and/or professional organizations define ethics. Getting comfortable with how their definition and expectations for ethics match up to your individual definition for ethics is key. If you are not comfortable with it or do not understand it, how can you comply with it? Equally important is knowing who to contact for questions and clarifications and how to report suspicious activities. Staying silent is rarely a good idea. The Ethics Departments I have been a part of or worked with try to find ethical and acceptable ways to address as many unusual ethical areas as possible. If not, the answer in many cases is no. Generally, the attitude of asking for forgiveness rather than permission on ethics issues does not have a good ending.
The next article will cover additional examples on the success of ignorance … or is it arrogance?
Other resources to consider on this topic can be found on:
Association of Certified Fraud Examiners - https://www.acfe.com/search?s=ethics?
Compliance and Ethics Newsletter - Compliance and Ethics: Ideas & Answers. Edition 101 | LinkedIn
Society of Corporate Compliance and Ethics - Corporate Compliance and Ethics Resources | SCCE Official Site
Please let me know if I can help or be a resource for your questions / comments on the content of this article. ?If you would like all the articles, please let me know at?[email protected]?and I will share. ?My ethics experience has included interim Ethics Director, reporting, policy development, and investigations.
George