Corporate Ethics
Every organization has a code of ethics, by default or by design. It can be conveyed through word or writing.
Informal codes cannot be enforced and are open to individual interpretation. Written codes are enforceable and are interpreted by management.
Giving every employee a written code of ethics makes expectations clear for all.
Having a written Code of Ethics provides the following benefits:
- Companies that follow a well articulated code of ethics lay out clear and consistent expectations for personnel. Personnel can more readily focus on the task at hand. This increases quality of products and services and profitability.
- A written Code of Ethics can be shared with customers and other stakeholders. It demonstrates the organization’s commitment to ethical practice and earns their trust and confidence.
- Following a clear Code of Ethics reduces risk of litigation.
- A well established Code of Ethics sets standards for the organization and provides sound guidance when emergencies occur (e.g. handling product recalls).
John Macek has served on multiple boards, served 17 years as a CEO, and is familiar with how a breach of ethics can create serious consequences. Conflicts of interest can easily occur unless there are clear guidelines. There can be a thin line determining when personal interests are taking precedence over organizational interests. It is far better to address these issues in advance instead of after the fact.
Macek has served on ethics committees of professional organizations, has published articles on the subject in national journals, and holds an undergraduate degree in philosophy. He helps organizations clarify their ethical principles and clearly communicate these standards to others. He also advises how to put ethics into daily practice and provides companies ethical guidance when difficult situations arise.
