RMI Resource Management Innovations

Why (Applied) Ethics Matter.

  In previous blogs we have discussed the leadership imperative of casting Vision (where are we going) and building Mission (how will we get there). A message that is also consistent with how is the conversation around the benchmarking of Values.

  Values in this context are not to be confused with the utility of a share price (as necessary as that is) but rather the sociological personal judgments’ and measures associated with what is good or bad, right vs wrong. It is a system of moral principles. It is that branch of philosophy that deals with the values of human conduct. Because this discipline ebbs and flows over time as a (post modern) culture develops, it is important that both individuals and organizations know what their standards are, and express them, lest the broader corporate community define for themselves a set of values that may not necessarily be consistent with the views of an owner or a Board. Here is a practical example that I wanted to share with you that I trust is useful.

  In his book The Ethical Imperative author John Dalla Costa makes a case for us as to why ‘moral leadership’ is just good business. In many workplaces that I would find myself in the space of a week, it would not be at all unusual for 3 generations of staff to be represented. A demographic from late teens to early sixties is not uncommon. From the young apprentice just out of school to the gentleman at the bench just about to ease into retirement … with a 40-something generation in between.

  Dalla Costa writes “The regimen of business is such that people speak openly of parking their conscience at the door. Staff are often pressured to bend moral or legal rules in order to deliver a result or achieve an objective.” Lest you think that the author is being a little theatrical, I can assure you that as an external consultant, I run into this so routinely that staff seldom struggle with the decision. You are expected to ‘just’ go with the flow. A precident has likely already been set. Because … (the rationale either implicit or explicitly stated) it would go much better for you if you did.

Case In Point 

   I received a telephone call today (literally) from a senior member of the leadership committee of a business group that I belong to. This group would require something in the neighborhood of $1,500.00+ in annual dues and fees. I say that to reinforce the understanding that this isn’t a volunteer / service organization … it is a body of independent entrepreneurs who are serious about their business. One member in this business association was able to coerce others into a particular initiative that was then presented to the group as a ‘done deal’ … and here is your cost and time commitment to participate. “With thanks” I said … “I decline”. The event was elective, and not something ever presented to the membership for a vote and is well out of scope for my business.

  Well the phone call today was from a concerned member of the executive, who called to tell me that ‘it would go better for me and my business if I just went along”. I asked ‘my friend’ to explain … which prompted a very delicate explanation that there would be retaliation if I didn’t. End of story.

  Because RMI has a well established Code of Ethics, we have a filter through which we can assess situations like this that we find our business and professional relationships in from time to time. This is clearly an ethical matter. Now the fact that it is really dumb to threaten an old soldier is another matter … and it speaks volumes of the level of integrity we are dealing with. It made our decision rather easy. The larger issue and the lesson I would want to share with you is this:


1) The person who has the issue with RMI not falling into line didn’t have the integrity to come to me in person. That is classic.

2) Second, cowards travel in packs …  that is one of their distinguishing characteristics.

3) Having ethical standards in place so folks on the line during the day aren’t put in a situation where they have to decide for themselves where & when they may (in their judgment) need to consider morals and matters of law ‘situational’ makes life a whole lot easier.

4) Finally, the law is on our side. The cowards & cheats who live in the realm of threats and coercion will scurry away to find a softer target.

  I am actually grateful for these situations. It gives me an opportunity to ‘test the system’ … which is helpful from time to time. It also helps me sleep at night … and it gives me one more object lesson for Sunday dinner.

  If you haven’t developed your personal or organizational Code of Conduct or Core Values and would wish an objective, neutral third party to mentor (not meddle) … I would consider it an honor.

Cheers.

Rick @ RMI
 

Posted By: Rick Kneeshaw 2010/03/22