Tips to Manage an Ethical Environment in a Company


Posted By: Amanda Jerelyn

Ethical failures in corporations have become embarrassingly familiar, and we know that they aren’t inexpensive. On the flip side, becoming an influencer of the right organization culture may lead to numerous benefits for the organization and its employees. According to a study conducted by The Society for Human Resource Management (SHRM), companies with active ethical cultures outperformed the stock market by an average of 20%.

While establishing a code of ethics is a norm around the world, and in some countries, a mandatory requirement, the cases of ethical malpractice are not appearing to be lessening.

We guarantee that you can control your workplace culture if you follow these eight essential tips and tricks. These proven ways can help you dampen wrongdoings and nurture a robust ethical culture at your workplace.

8 Proven Tips to Nurture an Ethical Company Environment

1. Articulate the Purpose of Ethical Conduct

Despite the clear benefits, approximately half of US employees report witnessing unethical activity at the workplace. Lacking a sound understanding of the ethics code is a significant factor behind increased ethical issues faced by companies today. Ask your employees what business ethics mean to them? Don’t tell them ethics is not just following laws and regulations, it also means being socially responsible. Help them realize why ethics is super crucial in work and daily life.  How morality enables people to secure employment and become not only better professionals but also a great human being.

2. Put People Before Profits

We’ve all heard the mantra of ‘People come first’, but tell me honestly, do we mean it? Most of the time, companies set themselves up for corporate failures by promoting situations in which ethical people are forced to make the wrong choices. When organizations don’t care about their employees, then employees feel pressured to make decisions they could never have fantasized. Connecting employee wellness to an ethical culture is a brand new strategy for contemporary leaders for developing a supportive ethical culture. Apart from this, showing genuine care to employees also drives engagement, commitment, and reduces the cost of getting employee through the door.

3. Ethics-Training; Make it Fun, But Take it Seriously

Offering education and awareness helps people make moral decisions in service to clients, coworkers, and themselves. Even when it comes to serious business talk like ethics, you always have the option to make things more fun and enjoyable. There are several strategies to create an effective ethics-training; one is to use relatable and current content. Use role-play technique or gamification to make employees think in a different direction. 

4. Share and Delegate

The top management team sets standards for how everyone should act. We need to shift our focus from ‘Be a role model’ because the faultless role model doesn’t exist. We need visibility. Ethical leaders shape employee behavior by sharing information and delegating important tasks. This establishes transparency but also empowers people yielding incredible bonuses, including high ethical behavior. In fact, the one who sees also believes.

5. Program It into Management Style

Today, it is more essential to program ethical management than ever before. Corporations that understand that are more likely to attract customers and talented employees. When organizations as a whole set right examples for people, then an environment encouraging successful corporate citizenship behavior (OCB) emerges. However, don’t forget to reward employees when they go above and beyond, put their comfort aside and do what is best for the company and client.

6. Encourage Employees to Speak Up

Despite promoting policies like, ‘we have an open-door policy’, understand that some actions may constrain employees from raising ethical issues.  Leaders are keys to creating a ‘Speak Up’ culture, but remember that you have to overcome some challenges first.  How a manager reacts to an employee’s concern sets the tone for whether other workers will raise the issues in the future or not.

So, you have to make sure that employees don’t feel like nobody wants to hear them, this is called the feeling of futility. Secondly, the natural fear of speaking may lead to retribution and abusive response from the top authority. The tip is, make people believe that it is psychologically safe to speak. Plus, offer protection mechanisms to them so that everyone can point out ethical dilemmas generously.

7. Communicate Expectations Clearly

It is common to assume that senior personnel are aware of the values an organization tries to impart. Ask again, are they? If they have trouble articulating it, how can you expect them to grasp it fully? Telling what you are looking for in your employees straightforwardly and is a key to a long-lasting relationship and positive ethical culture.

8. Remember, Ethical Behavior Is Reciprocal

It is needless to say employee behavior reflects the company’s culture and core values. People reciprocate when senior employees exhibit upright behavior. Demonstrating fairness and transparency is essential because you can expect something in return from your employees only when you give them something.


The benefits of fostering an ethical environment are evident for all to see.  We hope that these tips make some sense to you, and you bring you closer to appreciating a positive and healthy workplace culture. Good Luck!


Author Bio

Amanda Jerelyn is a writing enthusiast and continues to work as a Counselor at FreeEssayWriters. Her passionate mind is excelled at exploring traditional concepts from different angles and perspectives. Amanda writes freely without rushing. She strives for excellence in her writing, not perfection.


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