Module 3

Session 6: Ethics in the Workplace

Introduction

Business ethics – the standards for morally right and wrong conduct in business – has
become an important imperative for every organisation. Corporate scandals
involving the highest levels of management are reported nearly every month and
range from insider trading to false accounting.

In South Africa, private and government organisations are working to achieve the
level of ethical conduct that is required to meet global and national standards of
business ethics. The Ethics Institute’s 2019 report showed that the general perception
among all employees included in the survey was that senior management are quite
committed to ethics in corporate South Africa. In comparison, middle management
and non-managerial employees were perceived as slightly less committed to
business ethics.

This module focuses on ethics in the workplace and the role that each individual
plays in creating an ethical work environment.
Session 6: Ethics in the Workplace
This session covers some of the specific outcomes of the following Unit Standard of
the Generic Management 04 qualification:

ID Unit Standard Title Level Credits

242815 Apply the organisation’s code of conduct in the work 04 5
environment

Learning Journal

What are your learning expectations for this session? Please list them in your
Learning Journal. We will refer to them later in the Session, so please keep your
Learning Journal with you while you are working on this Session.

Learning Outcomes

On completion of this module, you should be able to:

1. Explain the links between morals and ethics

2. Discuss the concept of a moral compass

3. Describe the role of a code of conduct in a work environment

4. Uphold the code of conduct within a work team

5. Identify ethical issues in an organisation

For this session, you will need the following:

• Module 3 Session 6: Learner Guide

• Module 3 Session 6: Learning Activities and online Assessment Tasks
• Module 3 Session 6: PowerPoint slide show
• Module 3 Session 6: Pre workshop reading
• Learning Journal
1. What are ethics and morals?

Morals refer to our personal set of beliefs about what is right or wrong. They affect
the decisions we make and the way we behave. Morals help a person in choosing a
course of action whenever he or she is in a dilemma.
They become a guiding force in life and help us in
leading a decent, disciplined life. Our moral
compass serves to guide our decisions and
behaviour based on our morals and values. Our
moral compass is our “conscience” that guides us
about right and wrong and points us in the right
direction.

A useful way to think about your “moral compass” is to think of it like an ordinary
compass with true North representing Integrity, South - Forgiveness, East -
Compassion, and West - Responsibility.

These four universal principles are honoured in some form by people of all races and
religions, regardless of gender.

Source: www.moralcompass.com

We learn our values and morals from our parents, our communities, our religion, our
culture as well as the laws of our country.

In a multicultural society like South Africa, this means that values and morals will vary
enormously and that what is acceptable to one person may be regarded as
unacceptable to another person or group.

For example:

Individualism Collectivism

In individualistic cultures, such as the USA or Great Britain, the individual is given
more importance than the group.
Collectivism refers to cultures where interdependence and community is the norm
such as Colombia, Guatemala, Panama and African cultures. In South Africa, we have
the value of UBUNTU.

Different cultures also vary on the behaviour-outcome axis or

dimension. In some cultures, the way you behave is more important
than the outcome, while in others, the outcome or end result is more
important. For example, helping a friend who is in trouble with the
law might be considered more important (behaviour) than the fact
that you are aiding and abetting a criminal (outcome).

Outcome Behaviour

We take decisions that are in line with those principles and values. We also assume
that those decisions are correct. The problem is that people’s morals, values and
principles are not always the same.

Ethics are principles and values that pertain to a family, community, business or
nation and guide our behaviour in terms of what is right and wrong. They are the
accepted codes of behaviour.

For example, the company’s Code of Conduct makes up its ethics when you are at
work or doing your work. And the Bill of Rights of the Constitution spells out the
ethical standards for South Africa.

These ethical standards set the boundaries for human behaviour and help prevent
misconduct and misdeeds such as theft, rape, violence or fraud. These ethics
standards also include feelings of compassion, loyalty and honesty.
Indicators of good business ethics

• Established core business values that all employees know

• Welfare and motivation of staff are critical to success
• Managers role model ethical behaviour
• Shared vision and values
• Good relationships with customers that do not stop when the sale is made
• Business does not criticise competitors
• Business sticks to agreed terms of payment to suppliers and contractors
• Financial transactions are accurately recorded
• Business has found at least one way of supporting the communities in which it
operates

Unethical business conduct includes:

• Issues regarding the moral rights and duties between a company and its
shareholders: fiduciary responsibility, stakeholder concept v. shareholder
concept
• Poor relations between different companies: e.g. hostile take-overs, industrial
espionage
• Leadership issues: poor corporate governance
• Political contributions made by corporations in return for political favours
• The misuse of corporate ethics policies as marketing instruments
• False accounting and auditing
• Exploiting employees
• Lack on recycling policies and procedures
• Dumping toxins into the air or water
• Overbilling customers

Learning Activity 1

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Conflict between morals and ethics

The difference between ethics and morals gets highlighted when a person works in
an organisation where ethics are not in conformity with her morals. If the ethics of
the company, or the code of conduct, are not in synch with the morality of the
person, she may be torn between her morals and these workplace ethics.

For example, in life in general, you may have your own views on homosexuality and
consider it as immoral. But you would be ethically wrong to discriminate against a
person in the workplace because of their sexual orientation.

Let us take another example. Abortion was considered both

morally as well as ethically wrong in South Africa in earlier
times. But now that it has been legalised, it is ethically right,
though your morality may not allow it.

Source: http://www.differencebetween.com/difference-
between-ethics-and-vs-morality/

Learning Activity 2

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1.1 Legal framework for ethics in South Africa

In South Africa, the Bill of Rights in the Constitution provides a framework for
individual and group ethical behaviour. It spells out the rights and responsibilities of
individuals and groups and serves as the moral compass for South African citizens.

The Bill of Rights applies to everyone in the country and binds not only all state
institutions, but also all natural and juristic people.

The rights that are protected include:

• The right to equality before the law. (Note: affirmative action legislation is
allowed in order to promote equality)
• The right to life
• The right not to be detained without trial, and not to be punished in a cruel
or degrading way
• The right to control over one’s own body and the right to make decisions
concerning reproduction
• The right not to be subjected to slavery or forced labour
• The right to privacy
• The right to freedom of conscience and religion
• Freedom of the press and academic freedom (Note: but this must not extend
to propaganda for war, advocacy of race hatred or incitement of violence)
• The right to demonstrate and picket
• The right to freedom of association
• The right of citizens not to be deprived of citizenship
• The right to a passport and the right to leave South Africa
• The right to join trade unions or employer organisations and the right to
bargain collectively
• The right to strike [Labour Relations Act 1995 [LRA], makes lock-outs lawful, is
not unconstitutional]
• The right to a healthy environment
• The right not to be arbitrarily deprived of property (Note: the state has a duty,
however, to take steps to achieve equitable land reform)
• The right to adequate housing
• The right not to be refused emergency medical treatment and the right to
have access to health care services, sufficient food and water and social
assistance
• Children have the right to basic nutrition, shelter, basic health care and social
services. They have a right not to be detained, except as a last resort, and
then not to be held with people older than 18 years
• The right to a basic education and the right to receive state education in the
official language of one’s choice, where reasonably practicable (Note: single
medium – that is, one language only – schools are not necessarily
unconstitutional, and the state must consider such schools, after having
taken into account what is fair, practicable and the need to redress the results
of past racially discriminatory law and practice. Independent – private –
schools are protected by the Constitution as long as they do not discriminate
on the basis of race.
 • The right to use your language of choice and to participate in cultural
associations – as long as this is not in a manner inconsistent with any other of
the rights
• The right to any information held by the state and any information held by
another person that is needed for the exercise or protection of any rights.
• The right to just administrative action, including, the right to be given written
reasons where your rights have been adversely affected
• The right to have a dispute resolved in a fair public hearing in court or by an
impartial tribunal
• The right to remain silent on arrest and be informed promptly of this right
• The right, if detained, to have a lawyer to help you at state expense if
substantial injustice would otherwise result. The right to adequate
accommodation, nutrition, reading material and medical treatment in prison
and the right of prisoners to be visited by their partners, next of kin, chosen
religious counselor and chosen doctor
• The right to a fair trial, including the right of appeal or review to a higher
court. Evidence obtained in a manner contrary to the Bill of Rights must be
excluded if it results in an unfair trial

Rights may be limited only to the extent that the limitation is reasonable and
justifiable in an open, democratic society based on dignity, equality and freedom
[section 36].

Learning Activity 3

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2. How do we learn morals?

In the early 1950’s, psychologist Lawrence Kohlberg was a pioneer in the study of
moral development. After over twenty years of study, he concluded that there are six
main stages of moral development that fall into three levels:

This interpretation is taken from Moral Development: A Guide to Piaget and

Kohlberg, by Ronald Duska & Mariellen Whelen.

There have been entire books written on this theory, but for our purposes, it is
not necessary to go into the deep ramifications of this study.

Level One: Pre-Conventional Morality

During these two stages of moral development, the person sees rules as something
imposed on them. Moral decisions also often self-centred and based on the
possible consequences of an action. Fear is often the motive for actions.

Children are often at these two stages in their early years. For example, a child may
know not to harm their sibling because s/he will get in trouble and there will be
unpleasant consequences.

Level Two: Conventional Morality

During these two stages of moral development, the person sees rules as something
to be valued in and of themselves. The norms of their family, friends, and peers
override the individual’s motivations.

Teenagers are often at these stages; they will do something because their friends are
doing it and it is a cultural norm. Adults are often at this stage as well; they will
behave in a certain way because it is how they have been raised or in accordance
with the law.

Level Three: Post-Conventional Morality

During these two stages, the person becomes capable of reflecting on and
evaluating the norms and values of their society. At the first stage, the person
becomes aware that there are many different value sets and norms around the globe
and commits to valuing each one equally. They will emphasize a fair way of
recognizing all sets of values and norms when making decisions.

At the second stage of this level, the person develops a set of moral principles
chosen for their logical value and universal application. These general principles act
as the overriding foundation for all other moral principles.

Different Levels for Different Situations

We should note that a person can be at different stages at the same time.

For example, let us say that Bob is committing minor theft at the office, but he
recently refrained from cheating on his spouse.

His logic for stealing at the office is, “It’s only a few pens and pieces of paper. No one
will notice.” Bob is at Level One here; there are no consequences to stop his
behaviour. Without fear, there is no motivation for making an ethical decision.

However, his logic for not cheating on his spouse is, “Marriage is a sacred institution
and must be respected at all times.” Bob is at Level Three here; theoretically, he could
cheat and keep it a secret, avoiding punishment. (If he were at Level One, he may
have made this type of decision.) He could also reason, “All my friends are doing it;
it’s almost the norm these days.” (If he were at Level Two, he may have made this type
of decision.)
Instead of his decision being governed by threats of punishment or societal norms,
he made an independent decision based on a pre-existing moral principle.

Learning Activity 4

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3. Workplace Ethics

3.1 Code of Conduct to govern workplace behaviour

Most companies have a Policy on Ethical Conduct and A Code of Conduct or

Standard Operating Procedures for employees which ensure that conduct between
employees and business stakeholders is ethical.

This Code of Conduct serves as the moral compass for employees regardless of their
own learnt set of what is right and wrong.

For example:

Code of Ethics
1. Perform your duties with honesty, integrity and to the best of your ability. Do
not allow anyone to be misled. Communicate openly and honestly and
demonstrate a sense of purpose and a commitment to achieving the best
result, even under difficult circumstances.
2. Treat people with fairness, courtesy and sensitivity with regard to their rights.
Have respect for diversity.
3. Accept responsibility for your actions and decisions.
4. Behave in a way which is above reproach.
5. Comply with all the rules, procedures and regulations that apply to the
company, its system and the way the company conducts its business.
6. Use information obtained from the company only for the purpose for which it
is intended.
7. Treat the assets and property of the company, its employees, its customers
 and its suppliers with the same respect as your personal property. Do not
waste company’s resources or time
8. Share and declare any information you may have about a personal or
corporate conflict of interests. All declarations about such conflicts or
potential conflicts must be made in writing.
9. Refuse any gift that could be regarded as an attempt to exert undue influence
over you (in other words, a bribe).
10. Challenge others if they are acting in an unethical way.
11. Report behaviour that is in conflict with this code and do not tolerate any
form of retribution against those who speak up.

Source: Business Practice, Darryl du Toit, Juta 2008

The code of conduct should spell out the moral values the company expects of its
employees.

For example:

Trustworthiness

How reliable does a company expect its employees to be? An employer expects its
employees to do their jobs responsibly and with minimum supervision. He / she
should also have enough confidence in her employees to know that, when they are
dealing with customers, the customers will always receive the same high-quality
service.

Confidentiality

The company should make sure that its employees will not make confidential
company matter public. Employees are expected not to talk publically about
confidential issues as long as nothing illegal is being covered up.

Loyalty

A company expects its employees to put the concerns of the company before
anything else, especially where matter affecting the image, success or profitability of
the firm is concerned.
In a working environment, where hundreds of people interact on a daily basis, with
one another and with others from the community, it is important to have certain
regulations for social and professional behaviour. The code of ethics and code of
conduct spell out the moral rules and regulations for people working in, or with, the
organisation.

A code of ethics fulfils many purposes within an organisation:

• Increases ethical sensitivity and judgement

• Strengthens support for individuals’ moral courage
• Provides the principles for judgements and decisions made in the organisation
• Helps to form an organisation’s sense of identity.

In 2019, a survey found that only 44.4 percent of the top 500 companies operating in
South Africa had a code of ethics. Source: Emerald Insight

Codes of ethics are written by specific groups of people for specific groups of
people, each group having its own purpose for existence and its own means of
accomplishing its purpose. Consequently, each group encounters a unique set of
ethical challenges.

Simply having a corporate code of conduct does not guarantee the efficiency and
usefulness of the code. In the same way that we learn morals, we learn ethics as laid
out in the organisational code of conduct.

A code of conduct is most successful when it is internalised by employees (Level 3):

this takes place when the desired behaviour is adopted because it coincides with the
person’s own value system. The behaviour is intrinsically rewarding to the person
because it maximises his/her own values.

Internalisation contrasts with compliance (Level 1) which has to do with adopting a

particular behaviour in the hope of achieving a favourable reaction from others and
to avoid punishment.

Identification (Level 2) is adopting certain behaviours because they are customary in

the group.
Learning Activity 5

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 Learning Activity 6

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3.2 Conflicts between Personal Morals and Organisational Values and Ethical
Codes

Every employee in an organisation has his or her own value system, and that
influences his/her attitude, level of motivation and behaviour. Conflicts arise when
someone ignores the code of ethics or when individuals have different opinions
about what behaviours are acceptable.

Conflicts like this will impact on the employee’s attitude and determine his/her level
of job satisfaction, involvement and organisational commitment.

Learning Activity 7

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3.3 Responsibilities of all employees in creating an ethical workplace

Each employee also has certain responsibilities towards the organisation, such as:

• Being totally honest when filling in expense accounts

• Not calling in sick so that they can attend to personal business
• Not accepting bribes
• Not taking longer tea breaks and lunch times than what is allowed
• Not arriving late or leaving early
• Not misusing organisational resources, such as time, internet, equipment, etc.
for personal business use
• Respecting the organisation’s intellectual property rights
In addition:

• Employees should know and adhere to the organisation’s code of conduct.

• Undergo training on the Code of Conduct and how to handle ethical
dilemmas
• Ask for advice if they are not sure what to do in an ethical dilemma in the
workplace
• Report unethical behaviour in their own department or team
• Report unethical behaviour in other departments or teams if they become
aware that something unethical may be going on.

3.3.1 Employees may be placed in ethical dilemmas by:

• Managers and supervisors

• Colleagues and co workers
• Customers and suppliers

In the 2019 South African Business Ethics survey, 31% of non-managerial employees
said that they had personally observed ethical misconduct in their organisations. This
was up from 25% in the 2016 survey.

Only 55% reported the unethical behaviour they had seen.

3.4 Responsibilities of Managers in creating an Ethical Working Environment

• Make personal commitments to act in accordance with standards of ethical

business conduct. Communicate this commitment to employees and lead by
example.
• Maintain a work environment that encourages open communication regarding
business ethics issues and concerns, and that promotes compliance with such
ethics.
• Periodically discuss business ethic issues at work and review standards of conduct
with employees during working hours, for example at team briefings and forums.
• Ensure that appropriate ethics sensitisation and training are provided
• Familiarise themselves with the resources and processes available to assist in the
resolution of questions and concerns about business ethics.
• Identify area of risk in the business activities and establish conduct.
• Take responsibility for the conduct of staff members and make sure that any
misconduct that is so serious, recurrent or widespread that action should already
have been taken to prevent it, is dealt with appropriately. This includes
identifying and addressing those activities which may involve ethical issues
covered by a specific policy.
• Ensure that the business conduct policy and guidelines are communicated clearly
and that copies of this policy are available to all staff members. The policy should
be included in the sign-on documentation for new employees.
• If an employee behaves in such a way that the code of conduct she has signed is
not upheld, the disciplinary procedure and standard operating procedures will be
followed.

Source: Business Practice, Darryl du Toit, Juta 2008

Learning Activity 8

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4. Dealing with Ethical Dilemmas

Tools you can use when faced with an ethical dilemma:

Basic Principles

Before we look at some specific tools you can use to help solve ethical decisions, let
us look at some general principles you should follow:

• Put yourself in the other person’s shoes. Will the affected person also think
that this decision is ethical?
• Make sure you have all the information.
• Look at the problem through various principles. How can the principle of
loyalty be fulfilled through this?

The Smell Test

When you are considering a solution, ask yourself these questions:

• How would I explain this decision to my children?

• How would I feel if this decision were reported on the news?
• Can I live with this decision? Will it keep me up at night?

How would my mother feel about this decision?

These questions will highlight potential problems with the solution you are
considering.

Ethics Test

The UK Institute of Business Ethics suggests a simple 'test' for ethical decision-
making in business. Adapted below, it is applicable to all decisions in all types of
organisations and in life. It is a remarkably easy test to apply.

Try it next time you must make a decision that involves morals and ethics:

• Transparency - am I happy to make my decision public - especially to the

people affected by it?
• Effect - have I fully considered the harmful effects of my decision and how to
avoid them?
• Fairness - would my decision be considered fair by everyone affected by it
(consider all stakeholders - the effects of decisions can be far-reaching)

If you can honestly answer “Yes” to each of the above questions, then you are likely
to be making an ethical decision.

If you have any doubt about saying “Yes” to any of the questions, then you should
think about things more carefully. Maybe there is an entirely different and better
solution - there often is.

If you cannot decide how to answer these questions, get input from someone who
has strong ethical principles, and who owes you nothing. Especially do not ask
anyone to advise you about difficult decisions if they owe you some sort of
allegiance.

Source: www.businessballs.com/ethical_management_leadership.htm
The Kidder Process

Ethics expert Rushworth Kidder has developed a nine-step process that will help you
sort out ethical issues. You may find this process more practical and easier to use
than the other approaches we have discussed.

Step 1: Recognize that there is a moral dilemma.

Step 2: Determine if you are an actor in the scenario. Are you morally obligated to do
anything about the dilemma? Do you have the power to act?

Step 3: Gather the relevant facts. Determine who, what, how, when, why, and where.
Try to predict possible future events that could affect your decision.

Step 4: Test for right versus wrong issues.

• Does the moral issue potentially concern lawbreaking?

• Does the action go against your moral principles?
• How would you feel if the decision you are considering was reported in the
news?
• Would your mother make the same decision?

If these questions point out that your decision is obviously wrong, then you can stop
at this step.

Step 5: Apply the resolution principles. Determine what the resolution would be
based on the Golden Rule, the Smell Test and the Basic Principles of Ethics.
Investigate if there is another way through this dilemma?

Step 6: Make the decision.

Step 7: Revisit and reflect on the decision.

4.1 Dilemmas with co-workers

A common source of ethical dilemmas in the workplace, is our co-workers.

There are three common types of situations in this category:

• You have found out something that a co-worker should know, but you
cannot tell him/her.

Here is a classic dilemma: you and your best friend work for the same
company. She is pregnant and she and her husband are planning to buy a
house. You have just found out, however, that there is a 75% chance that she
will be laid off in the next six months.

• Your co-worker asks you to do something unethical.

It is Thursday night, 21h00 and you and your colleague are putting the final
touches on a key report for a 9 a.m. meeting. You notice that some crucial
numbers are missing. Your colleague says, “Let’s just put in some possible
numbers; we can always pass it off as a mistake by the data entry department
later.”

• You see a co-worker doing something unethical.

You work for a small programming company. The company prides itself on
developing all its code by hand and in fact mandates that its staff do so. You
recently saw one of your colleagues, who has been with the company a long
time, pulling code from a competitor’s application.

These types of situations are the ones that you will encounter often in the workplace.
This is why it is so important to be “ethically fit,” as Rushworth Kidder puts it.

You need to know where you stand on ethical issues, what your values and principles
are, and how you will solve ethical dilemmas, so that when these issues arise you
have a framework for dealing with them.

Learning Activity 9

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Clients can sometimes request that we do something unethical for several reasons: to
get them a better airline seat, to get them a better deal, or even just to give them the
service they think they deserve. They can also do so unintentionally; for example, by
asking you to share information that you are prohibited from sharing to help them
make a decision.

These are also the types of decisions that require you to be ethically fit. Know where
your line is (and your company’s line). Having a mental process in place to address
these ethical decisions is crucial to your survival.

4.2 Dilemmas with your team leader / manager

In the scenarios we have discussed so far, we have suggested that you work with
your supervisor to solve ethical dilemmas. But what if your supervisor is the problem?

Your supervisor can cause or contribute to ethical dilemmas in the same ways that
your co-workers can.

• Your manager asks you to do something unethical.

• You see your manager doing something unethical (so s/he is not only breaking
the rules, but s/he is setting a bad example).
• Your manager ignores or tolerates unethical behaviour (also setting a bad
example).

Let us look at some ways that you can address ethical dilemmas caused by your
supervisor.

Plan A

Let us say that your supervisor casually asks you to sign some documents for him.
You feel that this is unethical, so you simply say, “I’m not really comfortable doing
that.” Your supervisor may not have been aware that his/her request was unethical,
and they may retract the request. This simple process works in many cases.

Plan B
If Plan A did not work, or you said yes and then changed your mind, or if you asked
for some more time to think about the request, then it is time to proceed to Plan B: a
sit-down meeting.

First, make sure that the discussion takes place at the appropriate time and place. If
there is a pressing decision that needs to be made that may become an ethical
dilemma, take five minutes, and at least make your supervisor aware of it. Otherwise,
try to have a sit-down meeting in a private area so that you have time to fully air
your issues without interruption. Then, paraphrase your supervisor’s request. Say
something like, “I understand that you wanted me to supply figures for that report due
this afternoon.” When your boss hears another way of phrasing it, s/he may
immediately retract their request.

If the supervisor does not retract his/her request, say no again. This time, you need a
more complete statement with these parts:

• “I really don’t feel comfortable doing that.”

• Explain your understanding of the situation and the aspects of the dilemma. Take
the opportunity to ask questions. Explain why you do not feel comfortable with
the situation.
• Explain that you are trying to protect the reputation of everyone involved
(yourself, your boss, and the company.)
• Define what you expect ethically.
• Provide some solutions that would meet your ethical principles and that would be
agreeable to the supervisor and the company.
• Ensure you and your supervisor commit to a plan of action.
• Thank your supervisor for listening to you and giving you the opportunity to air
your thoughts.

During the discussion, make sure you:

• Do not become defensive or emotional.

• Stay on track.
• Do not put your boss or the company down.
• Try not to judge, accuse, or criticize.
• Do not compromise your ethical principles; do compromise on solutions (as long
as they are ethically acceptable).
• Stop talking when you have made your points.

Plan C

If you have had a sit-down with the boss and s/he still wants you to behave
unethically, it is time for Plan C.

First, reconsider the situation. Make sure you are committed to seeing this thing
through, even if it comes down to losing your job. Can you live with the situation as
it is or is it worth the fight? Once you have established your commitment to this
moral dilemma, it is time to swing into action. First, talk to another supervisor (at the
same level or higher) or to your Human Resources department to get their
perspective on the situation. Make sure you document who, what, where, when, and
why of each person you talk to about the situation. Above all, stick to the facts. Focus
on the dilemma, its potential consequences, and your ethical concerns.

If the dilemma still is not resolved within your ethical boundaries, it is time to get a
lawyer. Your next avenues of disagreement are drastic: sue the employer, go to the
media or other government agencies, or quit.

This session written with content from “You Want Me to Do What?” by Nan DeMars.
4.3 Dilemmas as a Supervisor or Manager

Unfortunately, the burden of ethics often falls most heavily on those in power.
Supervisors are often placed in ethical dilemmas, caught between their supervisors
and their staff, or between the needs of the client and their staff. Supervisors also
have the responsibility of setting a good ethical example for their employees. And
supervisors are often less closely policed than lower-level staff. Many supervisors see
their elevated position as a reason to bend the rules to their advantage.

Learning Activity 10

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10 .

Learning Activity 11

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4.4 What to do when you make a mistake

Let us face the truth: we are all human. We all make mistakes and make decisions
that we wish we could take back. However, mistakes can be the best learning
experiences and they can provide a time for us to shine.

Nan DeMars has a six-step plan for recovering gracefully from mistakes.

Step 1: Accept reality. Accept that you made a mistake. Accept the consequences of
that mistake.

Step 2: Ask yourself, what did I learn from this experience? If you learned something,
then it is a learning experience, not a failure.
Step 3: Forgive yourself. No matter how much you may want to go back and change
things, you cannot. Vow to learn from the experience so you do not repeat your
mistakes.

Step 4: Boost your self-esteem. Focus on your good qualities. Think about the weak
areas of your self-image. If you would like to feel more competent at work, read
some books or attend some workshops. Try to solve some small problems to
rebuild your confidence. And make sure you seek support in your social network.

Step 5: Reconnect. If there are issues lingering from your mistake, address them by
acknowledging the problem, admitting your responsibility, apologizing (if
necessary and sincere), explain, and ask for another chance. Example: “I sense that
there’s an issue between us and I want to clear the air if I can. I feel like this is my
fault because I falsified those figures. I’m sorry that I did it and I wish I had made a
different decision. I did it because I felt I had to; I didn’t think it through. I want to
have the same working relationship we did before.”

Step 6: Get on with your life. If your work relationships can be repaired, then work
towards that. And if things do not quite return to the same way, or you feel that
your co-workers can’t get over it, it may be time to look for a new job.

5. Why bother with ethics?

Many people do not see the financial payoff for ethical behaviour. Why give up that
extra R 200 a month in false business travel expenses? The company does not need it
and you do. Why not inflate your sales report for the year? It might mean a
promotion. There are several ways that ethics can make your company money.

Customers choose ethics.

Customers will base their decision whether to shop with you partially on ethics. Think
about it this way. If you had a choice between two car salespeople, one who has a
reputation for selling stolen vehicles and one who has a reputation for ensuring that
the customer gets all the information about a vehicle’s past, which would you
choose?
Customers appreciate ethics.

Let us say you have purchased a television from a local electronics store. The
company calls you back the next day to let you know that you overpaid for the TV
and that a check for the overcharged amount is in the mail. You would probably be
stupefied. Who admits their mistakes, especially when it costs them money? But the
next time you wanted to make an electronics purchase, you would probably
remember that incident and go back to that store. Customers reward ethical
companies with loyalty.

Employees are more loyal to an ethical company.

If you are working for a company that lies, cheats, and steals, you are apt to think
that the company will do the same to you, and you will probably be less loyal to
them as a result.

Ethical companies are more productive.

At one time or another, most of us have taken a sick day when we are not sick. This
is, in essence, lying to and stealing from the company. (Yes, sick days are a benefit of
being an employee, but they do cost the company money and must be used wisely.)
Studies have shown that employees in ethical offices take less time off and are more
productive when they are in the office (probably because they are not gossiping and
doing other unethical things!).

An ethical office means less legal costs.

If your employees are in the habit of lying, cheating, and stealing, someone is going
to get caught eventually and it will likely mean a big legal headache (and a big bill)
for the company. Nipping unethical behaviour in the bud can reduce your chances of
a lawsuit.

Learning Activity 12

Working with on your own, complete Learning Activity 12 .

 In summary:

I Made a Mistake! 22 Golden Keys to an Ethical Workplace

Nan DeMars has a six-step plan for 1) See things as they are, not as you want them to be.
recovering gracefully from mistakes. 2) Lead by setting an example of good ethical conduct
and good ethical problem-solving skills.
1) Accept reality. Accept that you made 3) Never give the impression that you do not care that
a mistake. Accept the consequences improper actions are taking place.
of that mistake. 4) Commit to being involved in the process.
2) Ask yourself, what did I learn from 5) Anticipate ethical conflicts.
this experience? If you learned 6) Communicate well.
something, then it is a learning 7) Establish the language of ethics with those in your
experience, not a failure. office.
3) Forgive yourself. No matter how 8) Expect people to have different standards.
much you may want to go back and 9) Remember that people are normally not as ethical as
change things, you cannot. Vow to they think they are.
learn from the experience so you do 10) Define ethical expectations early in the relationship.
not repeat your mistakes. 11) Support your boss’s efforts to uphold high standards
4) Boost your self-esteem. Focus on for ethical conduct, communicate about ethics, and
your good qualities. If you would like solve ethical dilemmas.
to feel more competent at work, 12) Be patient with each other.
read some books or attend some 13) Be consistent. Be predictable.
workshops. Try to solve some small 14) Pay attention to details.
problems to rebuild your confidence. 15) Nurture the communication process with your boss.
And, make sure you seek support in 16) Ask lots of questions.
your social network. 17) Be organized. Stay focused.
5) Reconnect. If there are issues 18) Learn to dodge the ethical traps of over thinking and
lingering from your mistake, address cynicism.
them by acknowledging the 19) Remember that virtue is its own good reward.
problem, admitting your 20) Protect your key assets (good health, strong self-
responsibility, apologizing (if esteem, desire to improve a situation, good
necessary and sincere), explain, and communication skills, and your reputation as a person
ask for another chance. of integrity).
6) Get on with your life. If your work 21) Speak up whenever you feel more unethical behaviours
relationships can be repaired, then are slipping in, or when you sense your collective ethics
work towards that. And if things do are getting sloppy, or when you think convenience is
not quite return to the same way, or becoming more important than character.
you feel that your co-workers can’t 22) Challenge yourself. Keep learning.
get over it, it may be time to look for
a new job.
Poor Excuses for Bad Decisions The Kidder Process

The decision is just too difficult. I’m Ethics expert Rushworth Kidder has developed a nine-step
not going to do anything. process that will help you sort out ethical issues.

Thinking this means you’ve made a 1) Recognize that there is a moral dilemma.
decision anyway, a decision to let the 2) Determine the actor. Are you morally obligated to do
unethical behaviour continue. anything about the dilemma? Do you have the power to
act?
There’s nothing I can do. 3) Gather the relevant facts. Determine who, what, how,
when, why, and where. Try to predict possible future
If there’s a moral dilemma that you’ve events that could affect your decision.
noticed in your workplace, then there 4) Test for right versus wrong issues. Does the moral issue
definitely is some course of action that potentially concern lawbreaking? Does the action go
you can take, even if it’s just prodding against your moral principles? If these questions point
the right person to take action. out that your decision is obviously wrong, then you can
stop at this step.
My job is too important to make any 5) Test for right versus right paradigms. Is this a case of
other decision. truth versus loyalty, self versus community, short term
versus long term, or justice versus mercy? Generalizing
What if your job asked you to sacrifice the issue into one of these paradigms helps you identify
your children to an ancient god? Don’t that the core issue is two values facing off against each
let blind loyalty to your job be an excuse other.
for a poor decision. 6) Apply the resolution principles. Determine what the
resolution would be based on the Golden Rule, Smell
I was just following orders. Test, Basic Principles.
7) Investigate the trilemma options. Is there a third way
If you’re a robot, then this excuse is through this dilemma?
acceptable. 8) Make the decision.
9) Revisit and reflect on the decision.
I must remain loyal.

Are you really acting in the person’s best

interest by making an unethical When you are considering a solution, ask yourself these
decision? Who is this going to benefit in questions:
the short term? What about long term?
• How would I explain this decision to my children?
• How would I feel if this decision were reported on the
news?
I didn’t have time to make the right • Can I live with this decision? Will it keep me up at night?
decision. • How would my mother feel about this decision?

Don’t use time pressures of the office as

an excuse for bad decisions.
6.CONCLUSION

In this module we have learnt about how the Code of Conduct serves as the moral
compass for all employees in an organisation. It serves to guide behaviour in terms
of right and wrong.

We have also looked at the responsibility of every employee and all managers to
build an ethical workplace.

Learning Journal

In your Gen Man 04 Learning Journal, complete the activity based on what you have
learnt in this session and on the diagram below. Rate yourself on your ability to be
ethical in the workplace:

Use the scale below:

1 - poor
2 - could do better
3 - excellent

• What are your strengths as a manager in terms of managing ethics in the

workplace?
• Next, list your areas for development as a manager in terms of managing ethics in
the workplace.

Way Forward . . .

You are now ready to complete and submit the online assessments for this Session.

Thought for the day…