What do understand by 'Ethics in Compliance'? Describe by citing an example and a case study involving issues of ethics in compliance.

CS Professional · Ethics, Governance and Sustainability · PYQS · December 2018
What do understand by 'Ethics in Compliance'? Describe by citing an example and a case study involving issues of ethics in compliance.

Answer & Explanation:

Compliance is about obeying and adhering to rules and authority with letter and spirit. The motivation for being compliant could be to do the right thing out of the fear of being caught rather than a desire to abide by the law. An ethical climate in an organisation ensures that compliance with law is fuelled by a desire to abide by the laws. Organisations that value high ethical values comply with the laws not only in letter but go beyond what is stipulated or expected of them. Ethical compliance helps companies to develop a work culture that abides by the workplace laws and reduces the costs associated with fines and lawsuits. One of the disadvantages of an ethical compliance program is that it requires the comprehensive support of management in order to ensure its effectiveness. If members of the management team decide to apply their own version of corporate ethics to the way they manage their departments, then this clash of principles can cause confusion in the workplace. For example, a manager who tends to compromise when his fellow employees are involved in taking bribe, it may set a precedence of undermining the entire corporate culture.

Topics: Ethics, Governance and Sustainability

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