Can Ethics be Monitored?

and others who are placed in charge of compliance.
This happens as the right decisions are
always taken every time, with respect for both
people and processes.
Ethical companies also make it possible for
employees to anonymously report violations
of the code of ethics at the workplace. This is
part of the compliance program and makes it
easier to take remedial action before things get
out of hand.
Thought leaders propose two varied lines
of thought when it comes to internal reporting
in a compliance program. One thought is,
should reporting be optional, giving a person
a choice to report? The other line of thought
suggests making reporting mandatory, where a
person must report a witnessed unethical act,
fraud, or misconduct.
Does it make a difference? Well, in my
opinion, it is not the line of thought, but
rather “doing the right thing.”
By itself, a well-designed compliance program
would ring the alarm bells even before
the ethics compliance violation occurs. This
requires a thorough understanding of processes
at the organization when framing the
compliance program. If anything is headed
on the wrong path, the senior management
can step in and set things right before any
damage is done.
How to ingrain ethical culture
Good organizations realize that it is their
employees, not regulations, which drive the
company forward. They lay as much emphasis
on ethics as skill upgradation.
The only way to ensure that a culture of
ethics is ingrained in the minds of the employees
is for the top leadership to set an example.
When senior executives practice ethics, it has
the effect of percolating down to the lower
layers. Some companies don’t leave it to their
This article appears with permission from the Society of Corporate Compliance & Ethics. Call +1 952 933 4977 or 888 277 4977 with reprint requests.
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