Leadership: Legal and Ethical Behaviour
Article Index
Leadership: Legal and Ethical Behaviour
1.1 Ethical Behaviour
1.2 Legal and Ethical Behaviours in the Workplace
1.3 Legal vs. Ethical: a Crisis of Leadership and Culture
1.4 Workplace Ethics: Things that Might Be Legal but Unethical
1.5 Ethics and Law Are not the Same Thing
2.1 Exemplary Legal and Ethical Behaviour
2.2 Award for Innovation in Corporate Ethics
2.3 The Ethisphere Institute
3.1 Wyndham Earns Worlds Most Ethical Company Distinction 2019
3.2 Kao One of Worlds Most Ethical Companies for Eleven Straight Years
3.3 Compliance and Ethics Framework at Major Internet-Based Retailer
3.4 Code of Ethics at Organ Transplant Organisation
3.5 Code of Ethics at an American Medical Centre
3.6 Wipro Named Worlds Most Ethical Company 2018
3.7 Tech Mahindra Wins Golden Peacock Award for Corporate Ethics
3.8 3M Named Worlds Most Ethical Company 2017
3.9 Ghent: EU City for Fair and Ethical Trade of 2019
4.1 Corporate Responsibility and Ethics
4.2 Trends and Conceptualisation in Unethical Leadership
4.3 Three-Dimensional African Perspectives
4.4 2018 Global Business Ethics Survey
4.5 The Difference Between Ethics and Compliance
4.6 Asia-Pacific Insights into Business Ethics and Anti-Corruption
4.7 OECD and Anti-Corruption
4.8 Corruption Perceptions Index 2018
5.1 United National Development Programme (UNDP) Code of Ethics
5.2 World Health Organization (WHO)
5.3 Governing the Global Commons: an Ethical-Legal Framework
5.4 Ethical Leadership: Best Practices
5.5 Summaries of Multiple Survey Results on Business Ethics 2017
5.6 Five Ingredients for Great Ethics and Compliance Programmes
5.7 Ethical Leadership in South Africa and Botswana
5.8 Code of Ethics and Conduct: New South Wales Government
6.1 Is Your Ethics and Compliance Programme Effective?
6.2 Ethical Culture Measurement
6.3 Ethical Scenarios at Work
Workplace Ethics Questionnaire
6.5 The Ethical Leadership Scales
6.6 Measuring Compliance Effectiveness
7. What do business leaders say about about legal and ethical behaviour
8. Conclusion
There are two types of compliance when it comes to behaviour within an organisation: legal and ethical. Legal compliance is about following the law, rules, and regulations, while ethics means doing what is right and behaving with integrity. It is important to note that you can be legally compliant and yet unethical.

In This Report

  1. What is legal and ethical behaviour?
  2. Which organisations have received recognition for their legal and ethical behaviour?
  3. How have organisations achieved high levels of legal and ethical behaviour?
  4. What research has been undertaken into legal and ethical behaviour?
  5. What tools and methods are used to achieve high levels of legal and ethical behaviour?
  6. How can legal and ethical behaviour be measured?
  7. What do business leaders say about legal and ethical behaviour?
  8. Conclusion.

The Definition

There are two types of compliance when it comes to behaviour within an organisation: legal and ethical. Legal compliance is about following the law, rules, and regulations, while ethics means doing what is right and behaving with integrity. It is important to note that you can be legally compliant and yet unethical.

The Stage

Every organisation should aspire to be legally and ethically compliant, and not just for moral reasons: research has shown that organisations adopting a high standard of ethical behaviour do better in the long run.

The starting point for an ethical organisation is the board and senior management, who should always act with the objective of protecting the organisation’s reputation and financial integrity. Having ethics as a fundamental value of an organisation elevates the performance of everyone in it. When employees see their leaders acting with integrity and living up to the organisation’s values or code of conduct, there is a sense of alignment and unity. A good business practice, developed with integrity at its heart, also builds the reputation of an organisation with its customers and stakeholders, and contributes significantly to its continued success.

Unfortunately, corruption and bribery are endemic in many businesses around the world, especially in those where there is great pressure to perform. To help avoid this, an organisation needs a robust risk assessment process, one which both identifies risks and prioritises risk management. This means the compliance officer is now more important than ever. Not only is he or she responsible for managing the organisation’s compliance and reputational risk, he or she also has a bigger role in shaping its ethical culture.

Organisations need to ensure their ethical and compliance programmes enable them to achieve their goals. Regular audits, checks, and appropriate controls are necessary to maintain a high standard of legal and ethical behaviour. Ultimately, organisations should try to go beyond a culture of compliance to a culture of trust and integrity. Employees working in a culture of trust choose to be ethical not because they have to be, but because they want to be.

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