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Code of Business Ethics

Do you have your own corporate code of business ethics to ensure that all ethical considerations are met.

By Lars G. Harrison

It is advisable that every organization prepare its own code of business ethics to show their responsibilities to their customers, community, the board and other stockholders, the organization as a whole and its members, and to oneself. A commitment of social responsibility must, not only be shown, but be ingrained in every member of the organization. It is not a matter of showing that on paper that the organization upholds their fundamental beliefs, but there should be checks and balances to verify that these are upheld. It shoul be mandatory that every leader in the organization read and sign the preamble and the code of business ethics. below is an example of a code of business ethics that an organization can use as a model to design their own.

Preamble

As a member of the board and senior management of XYZ Corporation, I accept the duty bestowed on me with its responsibilities and obligations. I am committed and dedicated to uphold general business standards and further the organization, by conducting myself in an exemplary manner, above what is required for a senior officer toward my organization, its customers, the social community and the environment, and all the members of the organization.

As a member of the board and senior management, I affirm my full commitment to:

General Code of Business Ethics

I further recognize that I am bound by the General Code of Business Ethics, and the following ethical principles, to:

  1. consider first the well-being of the Corporation and contribute to the needs and growth of the Corporation;
  2. give honor and respect to each member and others associated in employment and services of the Corporation and to all people that the organization is conducting business affairs with or are touching with its product or services; and be socially responsible to the community; show due stewardship toward the environment;
  3. to ensure above all that everyone and everything is better off because of the organization's involvement and that I give a legacy for others to live up to;
  4. practice strictest confidentiality in client, social and management situations and where ever appropriate;
  5. uphold the consensus of the board of directors;
  6. maintain the highest standards of personal and professional conduct and competence and am committed to personal and professional growth, and especially change where pointed out; and remembering the golden rule of "do unto others as you want done unto you;"
  7. exercise self-control;
  8. preserve a personal relationship core values and leadership development and commitment to ensure that I build character, principles and integrity;
  9. maintain a good reputation with everyone in the organization and toward all customers and in accordance with corporate standards;
  10. manage the Corporation's and personal financial and other resources with integrity;
  11. comply with the legal requirements and tax regulations governing the work of the Corporation.

These documents should be read and signed by all members of the board and senior management, and termination from serving in official capacity should be upheld in the event of noncompliance. I hope that this serves as a model for your corporation. A full commitment to the Code of Business Ethics will enrich your organization and ensure its vitality.

 


Lars G. Harrison can be reached at lars_harrison@yahoo.com.

Copyright © 1996 Harrison on Leadership. All Rights Reserved.