Question

According to Michael Volkov (The Importance of a Code of Conduct):

A well-designed code of conduct is a foundation for an effective ethics and compliance program. It is the core from which other policies and procedures are designed. It presents the company’s ethics and compliance program as a unified whole, without irrelevant detours into other topics.

Making reference to the relevant concepts and ideas in the required readings up to this point in the course, what do you believe must be included in any well-designed code of conduct for a business? Will it vary from business to business? What are the appropriate ways to ensure employee and management conformity to the company's code of conduct?

Answer 1

A code of conduct exists to elevate the human beings/ employees/ stake holders of an organisation towards a just behaviour that creates win- win situations.

Though the essence and core part of code of conduct may be similar, it varies from business to business as the features of each individual business are distinguished.

A well-designed code of conduct for a business should include-

1- The fundamental aspects of the expected ethical behaviour.

2- The illustration of the ethical aspects in relation with the business offering.

3- Illustration of the facets allied with the professional values sought after.

4- The communication means regarding code of conduct.

5- A separate brief narration of the do's and don'ts.

6- Rewards for the best practitioners.

7- Penalties/ warnings/ punishment for the personnel who violate the code of conduct.

8- Suggestion/ complaint/ grievance system and mechanism.

Simple, precise, heart touching language, specific elaboration, provision of examples, discussion and question- answer session, brain storming among employees, allied rewards, setting the ideal live examples by own at par behaviour etc are some of the appropriate ways to ensure employee and management conformity to the company's code of conduct.