 Maintaining high ethical standards in the workplace is at the heart of any reputable business and any successful loss prevention program. We tend to do business with those we trust and respect, and we tend to receive business from those who trust and respect our company. Those standards are at the root of our business relationships and ultimately establish and maintain consumer confidence. Ethical standards in the workplace drive both our current performance and our future growth and demand our highest regard and attention. On a personal level, our standards of conduct also provide the foundation for the types of individuals we are, the type of business that we represent, and the types of leaders that we will become. Reflecting high ethical standards in the workplace demonstrates to those around us the values and principles that define respect, confidence, integrity, trust and moral character. The concept of ethics can be difficult to define in absolute terms because it deals with intangibles that include our principles, values and beliefs. Simply stated, however, ethics is the science of human duty. It personifies our application and analysis of attitudes and behaviors as we make personal judgments on concepts such as good or bad, honest or dishonest, right or wrong, honorable or shameful, righteous or unjust. People can be unfair, untrustworthy or even dishonest without necessarily breaking the law. Ethics is the body of rules that govern the way that we behave and the moral standards that we live by. Our ethical standards guide our lives personally, professionally, intellectually and spiritually. Meeting High Ethical Standards in the WorkplaceAs a science and philosophy, the subject of ethics can reach as far as the mind’s eye can see. Our interpretations of issues such as good/bad or right/wrong can be deeply personal and complex. While the bounds of this subject matter reach well beyond the scope of this post, certain subjects require our attention. In the retail LP world, we are faced with an array of ethical issues on a day-to-day basis. Some issues are easy to decide, while others can be much more difficult due to their complexity or surrounding circumstances. Just being a good person with high ethical standards may not always be enough to make the tough choices that can arise in the workplace, especially when matters are clouded by mixed or conflicting ethical dilemmas. However, the nature of a position in the loss prevention field relies on our ability to make the right ethical decisions at the right times and earn the respect of our fellow employees. As a loss prevention professional, you possess a tremendous amount of responsibility and authority. Above and beyond your obligations to protect company assets, reduce shortage and enhance profits, you are expected to set an ethical example for others to follow. Your attitudes and conduct must be aboveboard in the eyes of all of those with whom you work. Loss prevention is generally the arm of a retail company that polices ethical standards in the workplace. Often viewed as the “conscience” of the company, LP’s own integrity must be beyond reproach, as others will look at our conduct as a mirror image of the company standard as well as an indication of how our company reads, responds and reacts to ethical challenges. Retailers recognize the importance of properly communicating their standards of excellence in every aspect of the business. Most people associate good conduct and business integrity with company success, and clear core values are seen as essential to the performance of the organization. In such a competitive business, where the reputation of a company can be crucial, conduct is often viewed as a direct reflection of the values, attitudes, belief systems, decision making, commitment to its customers and the leadership of the organization. Facilitating the highest possible standard for ethical behavior serves to help safeguard our company’s reputation, conveying a commitment to responsible practice and enhancing the overall success of the business. Building a successful career in loss prevention has always been predicated on the commitment to professional development. Working in a business as dynamic as retail, it is essential that we remain flexible in our methods and progressive in our approach to a global retail market. As the business moves forward change comes quickly, and our skills and abilities must evolve to meet the needs and expectations of a new professional standard. This post was originally published in 2017 and was updated April 17, 2019.
Ethics is a growing priority for business leaders but they are struggling to embed an ethical culture, according to a recent CGMA survey. To fully embed an ethical culture, organisations must improve training, communication and leadership. The way in which these practices are embedded and implemented is critical to the organisation’s ability to gain the most from an ethical performance culture. Whether related to supply chain issues like the European horse meat scandal, fixing the Libor rate, or mis-selling insurance, many organisations have had to learn from experience how failing processes and bad practices can deter customers and damage reputation. With the influence of social media and overall global connectivity, sharing negative experiences or opinions takes just a few taps on a screen. By contrast, there is extreme difficulty and expense involved in restoring a damaged reputation, not to mention the potential impact on the organisation’s customers, industry peers and other stakeholders. CGMAs are ideally positioned to be key influencers, to support organisations in achieving this increasingly important task. Here are five steps CGMA designation holders can take:
Read the CGMA ethical performance briefing
At work, ethical behavior is the legal and moral code guiding employee behavior. Being a professional requires more than wearing a nice suit. It requires ethical behavior that drives interactions with other employees, customers and leadership. It also guides how someone performs her job. Ethical behavior guides whether someone will perform minor infractions if she feels no one is watching. Business leaders need to set clear guidelines for ethical behavior in the workplace and to consistently train employees on working according to those expectations.
Professionalism and ethics in the workplace are the guiding principles that an individual or the company has established. Generally, a company sets forth a minimum standard of ethics and expectations, even though there are employees who may have a higher personal set of ethics. Those who don't follow the ethics rules at work are subject to disciplinary action, possibly even firing.
As with all ethics guidelines, these rules at work consider what is best for all involved. That includes the employer, the employee, co-workers and the public. An employee handbook may list specific behavior expectations but many components of ethics are guided by a person's moral code. For example, an employer may not expressly state that one employee should not take credit for a project if he had nothing to do with it. This generally follows a person's moral compass, though it may become a rule if a problem permeates among employees.
Ethical behavior in the workplace is important for many reasons. People and customers feel safe when working with a company if they know people are following morally sound guidelines. It builds the reputation of the business and doing "clean business" or keeping "customers as a priority."
Many professionals won't remain in business if the public doesn't feel that the person or the company operates ethically. Banks, financial representatives, lawyers all must follow high ethical standards. Any company taking credit card information needs to maintain strict privacy and information protection policies to get consumer confidence.
Ethics guidelines also set the tone for how companies deal with conflict. When customers complain or if a co-worker accuses another of wrong-doing, an ethical company can go to its employee handbook and follow established fair procedures to get a resolution.
There are many examples of ethical communication in the workplace. Most trustworthy and ethical behavior starts with money management. You want people in the organization who handle money and financial transactions to do so ethically. An employee skimming a quarter out of the cash register is not acting ethically, or lawfully.
Ethical communication in the workplace is another area that staff needs to be clearly trained on. An employee who is upset with a client or co-worker is not supposed to break confidentiality and spread or forward an email or gossip. Employees will follow the lead of managers if there is no set standard. If the boss comes in and makes fun of a customer or another employee, the staff will think this is okay. Ethical standards must be met to prevent potential bullying and discrimination, which leads to high turnover, high anxiety and low productivity.
Ethics extends beyond issues of right or wrong. A conscientious employee is concerned about doing his job to the best of his ability. This employee won't close the store two minutes early; she will stay 10 minutes late, if someone needs help. Employees who have high ethical standards are proactive to help solve problems with co-workers or customers. They don't pass the buck or point fingers at others; they take responsibility. Although these traits are not wholly indicative of someone's ethics, they do serve as baseline indicators for employers. |
How do you maintain ethical standards in the workplace?
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