I’m trying to learn for my Management class and I’m stuck. Can you help?

Question: How would you describe that factors that determine the tone at the top?

POST 1: The ethical culture in an organization can be thought of as a part of the overall organizational culture. Ethics are the principles and values an individual uses to govern his activities and decisions.In an organization, a code of ethics is a set of principles that guide the organization in its programs, policies and decisions for the business. The ethical philosophy, an organization uses to conduct business can affect the reputation, productivity and bottom line of the business.

Tone At The Top: It is the foundation upon which the culture of an enterprise is built.The tone at the top sets an organization’s guiding values and ethical climate. Hence creating and maintaining the right tone at the top is the bedrock of a robust ethics and compliance program. Tone of the organisation is a leading force which sets and drives the expectations of employees in an organisation.

The starting point for setting the tone begins with the organization’s governing authority; generally, this means the board of directors. The board’s most fundamental tasks would typically include hiring the CEO, approving strategy, monitoring execution of the plan, setting risk appetite and exercising appropriate oversight regarding risk mitigations, with the underlying goal of preserving and creating shareholder value.

Following measures will be taken by me to set a proper Tone in an organisation :

1.Establishing a system of Employee surveys: This type of research gathers information on employee engagement with the enterprise and monitors trends. Questions can help in understanding employees’ perspectives on ethical matters. Scores can be compared between units, benchmarked against those of similar entities and compared from year to year to monitor changes.

2.Assessing the tone of management communications: Reading communications from management to employees for tone, in addition to content, may provide insight. Notice boards, broadcast emails, and intranet sites may communicate a tone at the top quite different from the one on display in the boardroom. Consistency is essential to effective and lasting communications.

3.Conducting exit interviews : Some departing employees, concerned about burning bridges, may be unwilling to mention ethics and integrity issues that may have contributed to their departure. Others may welcome the opportunity to discuss their experiences, but may provide information only if asked. Exit interviews can provide a vehicle for their comments.

POST 2: The members on top of the top are defined to be the best individuals who shall follow the proper ethical values and be totally honest with the work they are into. They specifically include directors in the board and the managers of various departments. The leadership by them must be in a way wherein they tend to replicate the culture of the organization. There are various factors that would determine the top of the organization. It is mainly the leader who must be on the right path and show the right way to the sub-ordinates or the members of their team.

There are various ways of approach to measuring the top position of the company. The first one we could state is the extent and wrongdoing nature. Bench marking against many of the other companies the nature and the number of much known incidents of all the wrongdoing might highlight to a certain extent that which tone at the top of the certain management would have led for the compliance with that of the policies of the entities. If minor violations are been dismissed by the management as an unimportant thing that might indicate a specific noncompliance culture that might be heightening the risk of the violation. The usage of Anonymity in reporting incidents. If there is a higher significance in any of the entities than that of reports of whistle-blowers which are anonymously made. It might suggest wherein employees would be afraid of reporting the wrongdoing or they might believe the previous whistle-blower’s protection is inadequate. The reputation in social media is also been include in measuring the factors. One must be able to manage and monitor the criticism also the comments that are in social media and various other forms of social media. They could help in identifying the appropriate view of the culture of the entity which might suggest the tone that is inadequate at the top. The review in this form is said to be the most important aspect and the step to protect the reputation of the entity, the value of shareholders, and brands.


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