Ethics-is it a place near Lake Erie? by Toronto Training and HR March 2011
Contents 3-4 Introduction to Toronto Training and HR 5-6 The new ethical management 7-9 Ethics and integrity 10-11 How the best-intentioned managers get derailed 12-13 Drill 14-15 Barriers to an ethical organization 16-21 Ethics-based culture change 22-24 Dealing with malicious gossip 25-26 Transformative nature of accountability 27-28 Dimensions of work ethic 29-36 Employees mirroring the work ethic around them 37-38 Character traits 39-40 Ethical decision-making 41-43 Stakeholders 44-45 Overcoming disconnects 46-48 Self-sabotage of high performers 49-50 Advantages in acting ethically 51-52 Conclusion and questions
Page 4 Introduction to Toronto Training and HR Toronto Training and HRis a specialist training and human resources consultancy headed by Timothy Holden 10 years in banking 10 years in training and human resources Freelance practitioner since 2006 The core services provided by Toronto Training and HR are:
Page 8 Ethics and integrity 1 of 2 Relationships with your family and friends Attitude and behaviour towards money Commitments to others, especially in the business/work
Page 9 Ethics and integrity 2 of 2 Identify men and women of great character Analyze your key relationships Keep your word
Page 10 How the best-intentioned managers get derailed
Page 11 How the best-intentioned managers get derailed Goals that reward unethical behaviour Conflicts of interest that motivate people to ignore bad behaviour when they have something to lose by recognizing it A tendency to overlook dirty work that’s been outsourced to others An inability to notice when behaviour deteriorates gradually A tendency to overlook unethical decisions when the outcome is good
Page 17 Ethics-based culture change 1 of 5 You can’t force culture—you can only create environment You are on the outside what you are on the inside—no debate Success is doing the right things the right way People do what they are incentivised to do Input=Output
Page 18 Ethics-based culture change 2 of 5 Embracing ethical values can change how your company runs—it can revitalize your purpose, policies, and practices People who don’t fit are immediately weeded out People respect their leaders and each other
Page 19 Ethics-based culture change 3 of 5 CREATING AN ETHICAL VALUES COMPASS Ask your colleagues: What do you want this company to look like? Narrow the answers Translate these ethical values into behaviours you can monitor Figure out where a course change is in order Settle in for the long haul
Page 20 Ethics-based culture change 4 of 5 CHARACTERISTICS SETTING EMPLOYERS APART Leaders encourage a two-way dialogue about business conduct The organization’s code of ethics is a living document Ethics isn’t a “program” but a way of doing business Training about ethics is relevant, maybe even fun Employees are actively engaged as corporate citizens, aligned with the company’s values
Page 21 Ethics-based culture change 5 of 5 SIMPLE ADDITIONS TO EXISTING PRACTICES Make ethics a priority Set a good example of ethical conduct Keep commitments Provide information about culture and compliance Consider ethics in decision-making Talk about ethics in the workplace
Page 23 Dealing with malicious gossip 1 of 2 When you pass information, casually or not, do so in a manner that ensures that the message heard by those listening is as accurate as possible. Avoid insinuations, quibbling, and half-truths. If you are not sure of the information's accuracy, don't repeat it.
Page 24 Dealing with malicious gossip 2 of 2 If it is a case of obvious rumour spreading or malicious gossiping, try to stop it in an appropriate manner such as interrupting the speaker and questioning the source of information. Let it be known that you do not approve of such activity. Seek help from co-workers, team members, supervisor, manager or Human Resources - whatever is appropriate to stop the rumour mill.
Page 25 Transformative power of accountability
Page 26 Transformative power of accountability To see it To own it To solve it To do it
Page 28 Dimensions of work ethic Self-reliance Morality/ethics Leisure Hard work Centrality of work Wasted time Delay of gratification
Page 29 Employees mirroring the work ethic around them
Page 30 Employees mirroring the work ethic around them 1 of 7 BELL CURVE FACING MANAGERS On the far right are the most helpful of the group, those "dedicated co-operators" who by personal conviction will contribute their best to the common cause without worrying much about what the rest are doing. On the far left are a few "dedicated free riders," people who in almost any situation will let the others do the heavy lifting and keep their own resources for themselves.
Page 31 Employees mirroring the work ethic around them 2 of 7 BELL CURVE FACING MANAGERS In between the extremes are those who reciprocate to various degrees. This majority of people will meet cooperation with cooperation and selfishness with selfishness.
Page 32 Employees mirroring the work ethic around them 3 of 7 CRUCIAL FACTS First, even though there are incentives to freeload from the very beginning, a large proportion of people start by venturing some of their money, maybe to test the waters, maybe out of a sense of morality. They arrive at a job fully prepared to cooperate with the group- if they find cooperation to be the norm.
Page 33 Employees mirroring the work ethic around them 4 of 7 CRUCIAL FACTS Second, without any way of holding team members accountable for their work on the group's behalf, some will coast. Taking advantage of the group in this way creates resentment that causes many of those originally willing members to withhold what they control, and this snowballs into an almost perfectly selfish workgroup that loses the chance of making solid profits.
Page 34 Employees mirroring the work ethic around them 5 of 7 CRUCIAL FACTS Second, without any way of holding team members accountable for their work on the group's behalf, some will coast. Taking advantage of the group in this way creates resentment that causes many of those originally willing members to withhold what they control, and this snowballs into an almost perfectly selfish workgroup that loses the chance of making solid profits.
Page 35 Employees mirroring the work ethic around them 6 of 7 CRUCIAL FACTS Third, even when it is personally expensive to punish another team member, many participants will "invest" in keeping the game fair. Researchers call this "altruistic punishment" because it requires a player to spend his own money to enforce the group's interest. " This suggests that even with performance-based bonuses that create a risk of neglecting their own rewards for a while, employees' attention can be seriously diverted when a bad apple is in the barrel.
Page 36 Employees mirroring the work ethic around them 7 of 7 CRUCIAL FACTS Fourth, if team members can be punished for slacking, the slackers behave better and the naturally cooperative people, seeing a fairer system, become more willing to invest. The group's profits rise.
Page 43 Stakeholders 2 of 2 regulatory authorities endorsers and 'recommenders' advisors and consultants employees customers suppliers the local population (community) the regional general public national general public international communities humankind
Page 47 Self-sabotage of high performers 1 of 2 BEHAVIOR EMERGES FROM… awed by success, we project a “halo” around the head of those who achieve it, signifying they can do no wrong the “halo” influences how we view and describe them and biases how they view and describe themselves they seek to protect themselves against having to admit failure or weakness and suffer shame
Page 48 Self-sabotage of high performers 2 of 2 HELPING VICTIMS OF SUCCESS Resisting help-remove resistance, a safe learning opportunity Self-conception-redirect the need to achieve, detachment