Ethical Practice Competencies

Question 1

Concepts that appear when discussing ethical behavior:

Answer 1

Adherence to socially accepted norms of behavior (such as honesty), integrity, and commitment to the common good (as opposed to personal gain as a sole or primary motivation

Question 2

Integrity

Answer 2

Maintaining consistency between one’s values and one’s actions

Question 3

Where do ethical workplaces begin?

Answer 3

With leadership’s definition of their organization’s values (which may reflect commonly held principles about transparency, honesty, and confidentiality in business dealings and conduct toward others)

Question 4

Ethical workplaces aim for:

Answer 4

conduct that respects the rights of others - their safety and well-being, their dignity, and their privacy

Question 5

Over time, values of ethics:

Answer 5

Are established in the organization’s culture and become the organization’s norms of behavior. They are also codified in the organization’s codes of conduct and reflected in all of the organization’s processes.

Question 6

Ethical behavior leads to an:

Answer 6

Atmosphere of trust, which can translate into greater employee empowerment. From an HR perspective, an ethical workplace has a natural advantage in attracting and retaining top talent.

Question 7

From a management perspective, an ethical workforce creates opportunities and reduces risks because:

Answer 7

Businesses with a reputation for ethical behavior attract customers and investors and are also likely to attract better candidates for open positions.

Ethical leaders and workers are less likely to violate laws, and thus the organization is less likely to suffer costly lawsuits, fines and judgments, potentially criminal penalties, and damage to its reputation.

Question 8

Protecting the rights of employees - ethical employers provide workplaces in which the rights of employees are protected. This includes:

Answer 8

• Creating a safe working environment (both in the physical workplace and extended workplaces for distance workers and global assignees) - they are protected against illness and injury caused by their work and workplace violence and bullying. Also includes proactive measures such as increasing employee wellness. Concept of a safe environment extends to communities in which the organization operates that can be harmed by unethical actions by leaders and employees alike.
• Maintaining a fair working environment - requires policies that promote fair talent acquisition practices, access to skill and career development, and compensation systems that are compliant with local laws and regulations.

-Protecting employee privacy - refers to an individual’s right to freedom from intrusion (viewing, monitoring, reading) into matters, actions, or information that is personal. Line between personal and public can be complicated.

Question 9

Three subcompetencies in the ethical practice competency that focus on the ways HR professionals participate in creating and supporting an ethical org:

Answer 9

Personal integrity
Professional integrity
Ethical Agent

Question 10

Personal Integrity

Answer 10

HR professionals model ethical conduct and the organization’s values in all their actions. They strive to be ethical and admit their shortcomings. They are courageous in pointing out to others—including senior management—ways in which the organization and its members are not meeting the ethical norms and the organization’s values. They are prepared to hold others accountable for their actions and also advocate for others.

Question 10

Framework for ethical decision making:

Answer 10

• Recognize ethical situations as they arise
  -Establish facts about the situation
  -Evaluate the ethical dimensions of possible actions
  -Apply relevant codes of ethics and behaviors to the options
  -Consult with others
  -Make a decision, own it, and learn from one’s mistakes

Question 10

Professional Integrity

Answer 10

HR professionals demonstrate awareness of and commitment to ethics in their work. They apply their Business Acumen competency to understand ethical risks in their industries. The types of ethical challenges an organization and its HR function face will vary by organizational activity and employee jobs. As part of building their Business Acumen, HR professionals should make it a point to learn their organizations’ particular ethical vulnerabilities.

For example, in financial industries or in certain jobs such as sales or accounting, the potential and rewards for committing fraud are greater. Some industries are more highly regulated and require greater transparency and compliance. Some industries are inherently more physically dangerous. Diverse workplaces or workplaces seeking to increase their diversity may be challenged by both explicit and unconscious bias.

Question 11

Ethical Agent

Answer 11

There are certain actions HR can take to support the organization’s ethical goals. For example, they can communicate ethical expectations to all new employees and administer those expectations consistently. They can create the means for employees to report ethical issues and maintain confidentiality. They can ensure that all HR policies and processes are ethical and compliant. A good HR professional will also seek out opportunities to learn new skills and gain new expertise in order to become a better, more effective member of the organization.

Question 11

Honesty

Answer 11

Honest dealings reflect a commitment to truthfulness and fairness, abiding by social and business norms. In orgs, honesty requires an avoidance of conflicts of interest and the use of bribery. These actions violate the basic principle of transparency and undermine the business relationship.

Question 12

Transparency

Answer 12

Supports trust in relationships with stakeholders, who could be business associates, investors, governments and communities, and employees.

Transparency commits an ethical organization to disclosing details about dealings, transactions, or processes to those who have a vested interest. Provides assurance when behaviors cannot be witnessed and cannot be verified that they comply with laws, rules, or policies.

Question 12

Various moral codes for different ways of evaluating actions ethically:

Answer 12

A utilitarian approach argues for the path that provides the greatest amount of good for the greatest number.

A rights approach examines whether a decision violates any basic human right, such as a right to truth, privacy, or physical well-being.

A justice approach examines the degree to which an action might be preferential or discriminatory.

A common-good approach considers the impact of the decision on the entire group (or society, in more general terms).

A virtue approach asks whether an action will promote or obstruct the decision maker’s character development and the character development of those affected by the decision.

Question 13

Conflicts of Interest

Answer 13

situations in which a person or organization may benefit from undue influence due to involvement in outside activities, relationships, or investments that conflict with or have an impact on the employment relationship or its outcomes. Conflicts of interest can occur both on a person-to-organization level (in which an employee’s personal interests conflict with the employer-organization’s interests) and on an organization-to-organization or organization-to-government level (in which an organization serves a client in conflicting capacities or simultaneously serves two clients whose interests conflict).

Question 14

Bribery

Answer 14

is the exchange of anything of value to gain greater influence or preference. It is a challenge in all businesses, but it can be a particular challenge for global organizations. Bribery and corrupt practices are increasingly unlawful in many jurisdictions worldwide. Key examples of laws dealing with bribery are the U.S. Foreign Corrupt Practices Act of 1977 and the U.K. Bribery Act 2010, which is now among the strictest legislation internationally on bribery.

Note: Legal opinions vary in different countries about what constitutes as bribery. In some countries “facilitating” payments (small payments of money or goods) awarded to perform/speed up routine governmental actions are permissible in some countries. Not allowed under any circumstances in the UK. HR professionals should be familiar with local business practices and local laws regarding bribery.

Question 15

Implementing and maintaining an effective anticorruption program can decrease corruption risks. Steps to implement a sustainable anticorruption program will vary across multinational enterprises, but typically include:

Answer 15

Identifying specific risk areas where payments are made (for example, promotional expenses, travel and entertainment, facilitating payments, charitable donations, lobbying).

Instituting effective controls concerning the method and location of all payments.

Providing culturally appropriate training and communication programs.

Embedding disciplinary mechanisms within the business model to help mitigate areas of risk.

Implementing robust monitoring, detection, and auditing processes.

Periodically reassessing all corporate governance and compliance programs.

Question 16

Authenticity

Answer 16

Refers to a person’s ability to stay true to their values and maintain their integrity in both their personal and professional lives.

From an organizational perspective, it refers to an individual’s approach to forming and maintaining relationships with colleagues and others in the org.

Question 17

What animal do Rob Goffee and Gareth Jones suggest using as a metaphor for authenticity?

Answer 17

Chameleon - can shift color and tone to blend in, but nevertheless remains the same creature. Therefore, authenticity is an individual’s ability to remain true to themselves while being able to adapt and cope with rapidly changing events.

Question 18

Can social and cultural biases affect employees to consciously act against their authentic selves? (non maliciously/without negative intent)

Answer 18

Yes - through inclusion and diversity efforts, though, we should always encourage individuals to be their authentic selves in the workplace

Question 19

How do organizations communicate their ethical expectations to their members?

Answer 19

Through codes of conduct

Question 20

Code of Conduct (Code of Ethics)

Answer 20

Principles of conduct within an organization that guide decision making and behavior.

Written codes of conduct can help an organization promote ethical behavior by communicating to all its members the organization’s commitment to certain values, by defining behavioral expectations for all employees, and by providing direction to all employees when they are faced with ethical decisions.

Question 21

What makes an effective code of conduct?

Answer 21

It's not a static book of rules - an effective code is a tool that employees can use to examine their own conduct and make correct ethical decisions. A code of conduct should reflect the needs, concerns, and values of the organization that creates, adopts, and uses it. There is no definitive set of elements or order of components. Whatever elements a given organization’s code contains should be there because of their usefulness and meaningfulness to the organization. While HR professionals can look to examples of codes from comparable organizations, ultimately an effective code is one that management can support by its example and investment and that employees can understand and apply.

Question 22

Why do codes of conduct have 2 parts, and what are they?

Answer 22

The two parts are because they serve both to communicate values and guide action. The two parts are value-based and rules-based

Question 23

What is the values-based part of a code of conduct and what does that include?

Answer 23

Values based part of a code of conduct describes the organization's principles and obligations to its internal and external stakeholders. These values underlie or explne the rationale behind teh rules that follow. Values based includes: - Communication from leadership reflecting commitment to the code and its enforcement -The org's mission statement and/or vision statement A broad statement of organizational values and principles A more detailed statement of the orgs ethical obligations to all it's various stakeholders

Question 24

What is the rules-based part of a code of conduct and what does that include?

Answer 24

The rules-based part of the code of conduct defines the org's ethical expectations. It includes: -Ethical and conduct guidelines (e.g. polices regarding conflicts of interest, bribery/corruption, confidentiality, privacy, harrassment) -Examples of ethical and unethical behavior to help employees recognize a potential risk/conflict when it arises and questions employees can ask themselves to assess the ethical imapct of their actions -rules of conduct required to comply with laws and regulations. May be a function-specific document. Description of the enforcement process, including how suspected violations should be reported, how and by whom reports will be investigated and assessed, and how employees will be penalized for violations.

Question 25

How should a code of conduct begin?

Answer 25

With clear and detailed statements of the org's vision, values, and principles makes it a unifying document rather than one separateing management from employees. Tone becomes "what we all must do together" rather than "what we expect you to do for us."

Question 26

How should code creation/revision begin?

Answer 26

With leadership's commitment to the end result and sufficient stakeholder input to ensure the code reflects the org's ethical needs and the values the org espouses. Stakeholders could include not only managers and supervisors but also employees from these functions. A code developed exclusively by an enterprise's legal counsel, HR department, or exectutive team will be unlikely to reflect the cultural diversity of the org's stakeholders.

Question 27

What are the 5 steps for code of conduct creation?

Answer 27

1. Gather information, 2. Draft and Review, 3. Adopt the code formally and communicate it to the org, 4. Monitor enforcement, 5. Evaluate and revise the code periodically

Question 28

what is a valuable tool available to HR in the pursuit of maintaining and ensureing ethical standards within an organization?

Answer 28

Internal or employee investigations

Question 29

Where and when can information on workplace misconduct arise (as it's HR's responsibility to investigate)?

Answer 29

Whenever you get the information; Info can come from either formal or informal channels, exit interviews, tips, third parties, and even rumors/office gossip. Allegations of criminal activity or those filed by a government body should be externally investigated.

Question 30

Common steps/elements to internal investigations

Answer 30

Investigator Investigation Documentation Confidentiality Crediblity Conclusions

Question 31

Part of investigation: Investigator

Answer 31

An appointed investigator should be experienced, neutral, and objective. The investigator may be a member of the HR department, a third party, or legal counsel. Depending on the scale of the complaint, a small team of investigators may be used.

Question 32

Part of investigation: Investigation

Answer 32

All parties involved in the situation should be interviewed, as should potential witnesses and third parties who might be able to shed light on events.

Question 33

Part of investigation: Documentation

Answer 33

Throughout the investigation, keep careful and detailed notes from interviews as well as any other relevant documentation you might collect. Document objective facts; avoid opinions.

Question 34

Part of investigation: Confidentiality

Answer 34

All HR professionals should maintain confidentiality, agreeing to not share or make public personal information. This is especially important during an investigation of misconduct.

Question 35

Part of investigation: Credibility

Answer 35

The most difficult part of an investigator’s job can be to assess, based on the evidence gathered, whether the allegations are true. Often, an investigator will be confronted with a he-said/he-said situation, which cannot be the end of the matter. In these instances, the investigator must assess the credibility of the various parties involved.

Question 36

Part of investigation: Conclusions

Answer 36

Based on the evidence you gather, you must come to a conclusion. Findings are presented in a confidential written report, which is given to a separate decision maker who determines what the appropriate outcome or punishment should be.

Question 37

Impacts of incorrectly conducted investigations...

Answer 37

Are wide-ranging. In some instances it can be minor, leading to strained work relationships or fractures in team cohesion and engagement. In more serious instances, orgs could lose valuable, experienced employees as results of false accusations; possibly risking legal consequences, such as wrongful termination lawsuits or other legal action should employee confidentiality be breached in some way.

Question 38

Global organizations must carefully consider whether to ______ or _____ their codes of conduct. Why?

Answer 38

Standardize or localize. What is acceptable behavior in one culture may not be in another. Many global orgs choose to apply one standard in all their locations and order local employees to avoid contentious practices. Orgs need to provide clear and nonjudgemental ethical guidelines to employees working outside their home countries.

Question 39

Steps for creating codes of conduct for global orgs:

Answer 39

Assemble an international task force on which all affected cultures are represented. Solicit feedback from a diverse cross section of employees; be sure to involve workers from all locations, levels, and functional areas. Identify a set of shared principles and develop mutually agreeable policies to address each one. Incorporate enough detail to effectively monitor and measure compliance and enough flexibility to accommodate variations in local practices. Ensure that training materials are available in the local languages and that translations are accurate and sensible. Avoid home-country biases. Choose words that are nonjudgmental and that translate well into other languages (for example, “business practices” and “corporate responsibility” rather than “ethics” and “integrity”). Limit references to specific regulatory instruments to those that are international in scope (for example, the OECD Convention on Combating Bribery of Foreign Officials in International Business Transactions rather than the U.S. Foreign Corrupt Practices Act). In addition to a company-wide code of conduct, consider creating ethical guidelines specific to at-risk personnel such as salespeople in countries where bribery is prevalent.