Code of Ethics in a Workplace
A workplace code of ethics is the result of a company analysis where practices are analyzed in light of right behavior and wrong behavior. The code of ethics defines right behavior and encourages, or requires, employees to engage in that behavior. Smaller companies can often create a code of workplace ethics with little outside help. However, large companies sometimes need to consult a business ethics consultant for help with creating a code of ethics.
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Purpose
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Ideally, a code of workplace ethics would be implemented for the primary purpose of encouraging ethical behavior. However, avoiding lawsuits can also be a driving force behind a code of ethics. A workplace code of ethics delineates behavior that is ethically unacceptable, and many of those unacceptable behaviors are also violations of law.
Content
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A workplace code of ethics can contain a number of areas to help avoid management dilemmas, such as potential conflicts of interest or illegal activities. In some cases, a code of ethics can define proper use of company resources. If a company is very large and has a number of sub-contracts, a code of ethics could define the proper relationship between the company and its contractors. For example, if sub-contracting to a company filling a government contract, you are not allowed to buy gifts or buy lunch for employees of the general contractor. This is contractually defined in a code of workplace ethics for government contracts.
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Legal Issues
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Most workplace code of ethics specifically prohibits illegal behavior. Theft from a supplier would be a breach of the code of ethics because it is a clear violation of law. Other things sometimes covered in a workplace code of ethics include sexual harassment, racial harassment, discrimination, and issues relating to hostile workplace regulations.
Public Disclosure
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Different companies may have different codes for ethical conduct with regard to public disclosure of business information. In cases where public disclosure is required by law, for example, business losses in a publicly traded corporation, the code of ethics may support this requirement. In cases where disclosure is not required, some companies may decide that disclosure is required, yet others that disclosure is ethically irresponsible. For example, a company that discovers a public danger may require disclosure to proper authorities. However, a company that discovers a technique that it wishes to patent may define disclosure of that technique a violation of ethical principles.
Implementation
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In very large companies, an outside contractor or agency specializing in business ethics may be helpful in developing a code of ethics. Large organizations often have many smaller internal organizations. Those smaller organizations may not be aware of the activities and needs of other internal organizations. An outside company can sometimes see commonalities and potential conflicts between departments, and help to create an effective code of ethics.
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References
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