The Five Levels of Building an Ethical Culture...

"THE FIVE LEVELS OF BUILDING AN ETHICAL CULTURE" so the companies seeking to understand and build an ethical culture should consider systems thinking and group dynamics theory. We define what a successful approach look like, drawing on our experience helping companies create culture of sustainability.


Our companies suggest that companies often overlook relationships among and within groups in the organization. Organizations are open system: Their properties are greater than the sum of their parts,and these properties nest within other systems,forming a network of relationships. Efforts to change culture must therefore focus on every level in the system. these efforts should target individual  engagement and motivation,interpersonal interactions, group dynamics,relationships among groups,and interactions with external organizations,including suppliers,customers,competitors and civil society.

Five levels at which companies should build an ethical culture:


1. Individual: Individual employees are measured and rewarded is a key factor that sustain or              undermines ethical culture. In the face of pressure to meet growth targets by any means necessary-  a belief that ends justify the means - unethical behavior is to be expected.therefore the reward system is an excellent place to start.And diversity and inclusion initiatives enables individual employees to bring their whole selves to work.


2. Interpersonal: Organizations can also focus in how employees interact across the hierarchy. Abuse of power and authority is a key factor that degrades organizational; culture. When decision around promotions and reward seem unfair and political,employees disregard organizational statements about values and begin pursuing their own agendas.Building an ethical culture from all interpersonal perspective requires meaningful protections that empower all employees and stakeholders,even the least powerful, to raise concern and express grievances.


3. Group: Socialization into group membership and relationships is a core aspect of human culture.At work, the key determinant to be an employees group or team.Focusing on team conditions can empower middle managers to feel responsible for changing culture and group dynamics to foster more effective ways of working. while clarity in roles and tasks is a key to a successful team, so is psychological safety. if employees feel secure to take risk and expressing themselves,team will be more creative,successful and ethical.


4. Inter-group: The quality of relationships among groups is critical to consider in any attempt to build an ethical culture. Celebrating a team whose high performance may stem from questionable conduct gives it power and a quality of mystery that is difficult to challenge,and this can undermine the values across the organization.


5. Inter-organizational: Organizational culture focus on internal relationship. Still,employees are keenly conscious of how a company treats suppliers,customers,competitors, and civil society stakeholders, so building and maintaining stakeholder trust will improve organizational culture.Business success and core values are not contradictory concepts.That said,building an ethical culture sometimes means walking away from lucrative opportunities. Companies can be sure their employees will notice.