Elevating ethical standards - Career Times

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HR Corner Elevating ethical standards by Rachel Sproston Global giant takes professional conduct to new heights With the evolution of corporate governance worldwide, ethical considerations in business are taking a more prominent role. One company which has embraced superlative standards of professional conduct for a considerable length of time has recently welcomed a structural change which encourages employees to voice their opinions regarding ethical standards. Otis Elevator Company Limited, a wholly owned subsidiary of United Technologies Corporation (UTC), is renowned for its commitment to setting ambitious goals and delivering results quickly, professionally, safely and ethically. Otis' ethical pledge reaches beyond the realm of clients. Stephane de Montlivault, managing director, Otis Hong Kong underlines, "As part of the required DNA of new recruits, we look at ethical qualities during our selection process." Once on board, employees have formal channels where ethical concerns can be raised in confidence. "Acting as ethical gatekeepers, global and local business practices officers (BPOs) provide guidance and training to all our staff," says Mr de Montlivault. Every Otis operation has its own BPO or team of BPOs who are also members of an international BPO network with its own hierarchical structure. In essence, the overarching network ensures each Otis operation is aligned with all the others and that any gaps are bridged swiftly. "The baseline of values and knowledge within the company as a whole is also fielded through this network, and training is available to ensure the global standard is maintained. For instance, our 'Ethics stand down day' is one of the training programmes dedicated to reinforcing awareness and knowledge of ethics in our employees, business partners and customers," Mr de Montlivault reveals. "Our people can approach senior management with queries, knowing they can do so in an unthreatening, receptive setting" Allaying concerns Additionally, acting as intermediaries, UTC ombudsmen obtain answers from management while simultaneously protecting the identity of the employee who raised the query. Supporting the company via a toll-free helpline with interpretation service in 27 languages, the ombudsmen form an independent, confidential, neutral and formal communication medium. This type of anonymous feedback could theoretically lead to a system where snitching reigns —a kind of professional "Big Brother" scenario where staff feel they are being constantly monitored. Interestingly though, this has not proved to be the case at Otis. Mr de Montlivault emphasises the professional openness, which now prevails at Otis thanks to the implementation of the ombudsman scheme. "The system ensures small issues stay small. In general, the nature of the enquiries our ombudsmen receive is relatively minor or procedural. Our people can approach senior management with queries, knowing they can do so in an unthreatening, receptive setting," he notes. Complementing UTC ombudsmen is a confidential clearinghouse model "DIALOG" which supports multiple languages, allowing users from different regions to be specific, so any problems are identified and resolved without delay. All enquiries are centralised at UTC headquarters in Connecticut in the US. This means all mail, email and fax correspondences are directed to UTC for processing and UTC responds to the authors in the most straightforward manners. Further communication is promoted through the formation of two 25-strong LINK teams within Otis. Shaped to address more employee concerns, the teams comprise peers alone, with no members of higher management present at discussions except for Mr de Montlivault. "These forums have proved invaluable when gauging the intrinsic worth of new policies. We moot the idea at meetings then teams go out and share the notion with their peers informally, returning with valuable feedback as to the relative merits of any policy change," he says. Sophisticated society Mr de Montlivault is unwavering in his praise for the success of ethical standardisation and its development within Otis to date. "Hong Kong is one of the most ethically mature operations which exists under the UTC umbrella, both in terms of processes and awareness of corporate values," he says. "The reasons behind this conviction are manifold. First of all we have been here for 120 years, operating in Hong Kong with a direct presence for 70 years. Our values are therefore deep-rooted and continue to strengthen alongside our overall development." Such recurrent ethical improvement would not be possible in the absence of a fundamentally supportive local backdrop. "Our corporate ethical position is also heavily dependent on the maturity of Hong Kong as a society," explains Mr de Montlivault. He adds that the advanced local economy in Hong Kong alongside strong societal values both influence standards of conduct favourably within Otis Hong Kong. Unsurprisingly, feedback collated in the form of anonymous independent surveys reveals that Otis employees agree with Mr Montlivault. The survey is conducted every two years and since 2005, there has been a 13 per cent rise in the number of employees who understand how to report ethical violations within the company. Fear of retribution resulting from reporting ethical infringements is also down by six per cent, indicating that the overall aim of the code — to promote trust, respect and integrity — is on target. Salient points * Various channels encourage honest feedback * Ethics and compliance programmes regularly reviewed * Employee survey reveals staff satisfaction Taken from Career Times 24 October 2008, p. B16 Your comments are welcome at [email protected]
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