"Ethical Issues in NPOs"
Ethical Issues and Considerations in Being Engaged With A Nonprofit Led by Sherry B. Scott Course # 109 Center for Community-Based and Nonprofit Organizations at Austin Community College “A community partnership broadening the horizons and possibilities for nonprofits - Helping community-based and nonprofit organizations reach their potential” www.austincc.edu/npo www.strategic-creativity.org Barry Silverberg, Director firstname.lastname@example.org (512) 223-7076 Sherry B. Scott, Ph.D. Sherry Scott Consulting 10300 Jollyville Road, Ste. 812, Austin, TX 78759 (512) 346-4196, email@example.com Who is this person standing before you to lead today’s learning session? Currently, she owns and operates Sherry Scott Consulting in Austin, Texas, a communication and human resource consulting and training company. The following experiences and accomplishments explain how she qualifies to present this course to you: Formal Education • Ph. D. — The University of Maryland, College Park, MD in Instructional Design • M. A. — The American University, Washington, DC in English • B. B. A. — University of North Texas, Denton, TX in Business Education • Society for Human Resource Management (SHRM) Generalist Certification Consulting / Training / Working Experience Dr. Scott’s consulting and training experience ranges from the top of an oil storage tank to the floor of an office building to the corporate boardroom. Her business management and communication teaching experience ranges from Texas, Maryland and Virginia university classrooms to international corporate classrooms in Europe, Australia, and the Far East. She has taught business and English classes in universities, community colleges, and high schools. Dr. Scott designs and develops training programs and courses ranging from full company curriculum to short on-site workshops. She teaches various communication skills and human resource topics to business, non-profit, military and government employees from local, state, and federal agencies. Her topics include business writing, speaking and presenting, multicultural communication, gender communication, business etiquette, performance reviews, strategic human resource management, and employee relations. Her entrepreneurial courses help small-business owners improve their chances for success. In a Fortune 100 corporation, she trained employees from 20 countries who were mainly learning in a second language to write and present in English-speaking corporate situations. In a privately owned health care corporation, she taught department executives the skills needed to write strategic plans. Her training workshops and materials feature both English and Spanish versions for companies in the building services and housekeeping industry. Sherry also worked as Human Resources Director for a corporation of 1000+ employees where she was involved in all areas of human resources including strategic goal setting, employee relations, and employee development. She also edited their industry award-winning newsletter. A seasoned presenter, she regularly appears before national convention audiences in the communication and building services industries. Her publications include professional articles and a newspaper column. She also volunteers her expertise to various non-profit, charitable, and professional organizations. She learned about running a business by participating in a family-owned retail store and funeral home. She has worked as a telephone operator, legal secretary, and even a school bus driver who survived several years as high school senior class sponsor. A native Texan, she has lived and worked in Europe and has worked and traveled extensively all over the world. All these pieces support the framework for the professional training knowledge and experience she brings to your course. She firmly believes the best learning goes on for a lifetime and should be enjoyable and even humorous. Professional Affiliations • American Society for Training & • Greater Austin Chamber of Development Commerce • Association for Business Communication • Society for Human Resource • Association for Professional Management Communication Consultants Ethics in Nonprofits 3 Table of Contents Introduction......................................................................................................................... 4 Differences in Ethics........................................................................................................... 5 Values or Ethics .................................................................................................................. 6 Nonprofit vs. For-Profit Ethics ........................................................................................... 7 A Code of Ethics............................................................................................................... 10 Case Studies ...................................................................................................................... 12 My Responsibilities .......................................................................................................... 16 Resources .......................................................................................................................... 17 ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 3 Sherry B. Scott, Ph.D. Who is this person standing before you to lead today’s learning session? Currently, she owns and operates Sherry Scott Consulting in Austin, Texas, a communication and human resource consulting and training company. The following experiences and accomplishments explain how she qualifies to present this course to you: Formal Education • Ph. D. — The University of Maryland, College Park, MD in Instructional Design • M. A. — The American University, Washington, DC in English • B. B. A. — University of North Texas, Denton, TX in Business Education • Society for Human Resource Management (SHRM) Generalist Certification Consulting / Training / Working Experience Dr. Scott’s consulting and training experience ranges from the top of an oil storage tank to the floor of an office building to the corporate boardroom. Her business management and communication teaching experience ranges from Texas, Maryland and Virginia university classrooms to international corporate classrooms in Europe, Australia, and the Far East. She has taught business and English classes in universities, community colleges, and high schools. Dr. Scott designs and develops training programs and courses ranging from full company curriculum to short on-site workshops. She teaches various communication skills and human resource topics to business, non-profit, military and government employees from local, state, and federal agencies. Her topics include business writing, speaking and presenting, multicultural communication, gender communication, business etiquette, performance reviews, strategic human resource management, and employee relations. Her entrepreneurial courses help small-business owners improve their chances for success. In a Fortune 100 corporation, she trained employees from 20 countries who were mainly learning in a second language to write and present in English-speaking corporate situations. In a privately owned health care corporation, she taught department executives the skills needed to write strategic plans. Her training workshops and materials feature both English and Spanish versions for companies in the building services and housekeeping industry. Sherry also worked as Human Resources Director for a corporation of 1000+ employees where she was involved in all areas of human resources including strategic goal setting, employee relations, and employee development. She also edited their industry award-winning newsletter. A seasoned presenter, she regularly appears before national convention audiences in the communication and building services industries. Her publications include professional articles and a newspaper column. She also volunteers her expertise to various non-profit, charitable, and professional organizations. She learned about running a business by participating in a family-owned retail store and funeral home. She has worked as a telephone operator, legal secretary, and even a school bus driver who survived several years as high school senior class sponsor. A native Texan, she has lived and worked in Europe and has worked and traveled extensively all over the world. All these pieces support the framework for the professional training knowledge and experience she brings to your course. She firmly believes the best learning goes on for a lifetime and should be enjoyable and even humorous. Professional Affiliations • American Society for Training & • Greater Austin Chamber of Commerce Development • Society for Human Resource Management • Association for Business Communication • Association for Professional Communication Consultants ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 4 Introduction Discussions about ethical issues dominate the news today from boardrooms to living rooms. Questions surrounding corporate activities lead the focus, but nonprofit and community organizations are also receiving intense scrutiny. This workshop features individual exercises, group discussion, and case studies intended to answer these questions: • Do ethics mean different things to different people? • What is the difference between ethics and values? • Are nonprofit organizations different from for-profit organizations? • How can my organization clarify our Code of Ethics? • What are my personal and organizational ethical responsibilities? Objectives At the end of this workshop, you should be able to: Identify your personal values and ethics Identify your organization’s values and ethics Examine ethical dilemmas and apply a decision-making process to resolve them Understand the role of ethics in nonprofit organizations Examine and clarify your organization’s Code of Ethics Recognize your personal and organizational ethics responsibilities Confidentiality Agreement: Due to the sensitive nature of this topic, please honor the confidentiality agreement and do not reveal any specific identification information shared during the discussions. Certainly, we are here to discuss issues, dilemmas, and resolutions; however, when taking the ideas back to your organization, please protect the privacy of everyone involved. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 5 Differences in Ethics Exercise “Ethics Means ….” Do ethics means different things to different people? Notes: Where Ethics Occur Management Accounting Human Resources Client Services Products Marketing / Advertising Donor Relations Community Relations ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 6 Values or Ethics Values • Revered — clear, uncompromising statement about what is critically important • Freely chosen — cannot be externally imposed; represent choice of person/organization • Expressed — acted upon (easy when action and values agree; difficult when action and values disagree) Exercise: Values Clarification 1 2 3 Achievement, Accomplishment Affluence Altruism Beauty Career Advancement Challenge Close, Meaningful Relationships Collaboration Creativity Enjoyment of Life (fun, leisure) Environmental Responsibility Financial Security Freedom Good Health Harmonious, Happy Family Life Helping Others Honesty Justice Knowledge Love, Affection Loyalty Moral Courage Power Religion Respect From Others Self-Expression Sharing Status Wisdom ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 7 Problems With Values • Person may be trying to adopt someone else’s values without making a conscious choice • Person may not be clear about his/her real values • External pressures may force someone to act again his/her values Ethics Ethics form structure that converts values into action. Ethics are: • Value Driven — bridge value and action; translate values into appropriate or inappropriate behavior in the realities of life o Organizational — policies regarding how employees will deal with clients, donors, members, etc. o Personal — acting in concert with your beliefs • Action oriented — “Do the right thing” o Value = honesty; ethic = disclose contribution o Value = clean environment; ethic = recycle copier toner • Situational — value expressed in ethical action depending on circumstances o Value = life; ethic = do not kill; situation = self-defense o Value = honesty; ethic = do not steal; situation = sick child needs meds Values Ethics Define individual / organization Translate values into actions Constant Change Internally derived Determined by situation Concerned with virtue Concerned with justice General Highly specific Stated morally Stated behaviorally Judged good / bad Judged present or absent Set priorities Set boundaries for appropriate behavior Boundaries — with a Code of Ethics in place — Individuals are responsible for their own actions. “I didn’t know” is no defense. Nonprofit vs. For-Profit Ethics • A for-profit organization conducts its business with the purpose of making a profit. • A nonprofit organization does not conduct its business with the purpose of making a profit. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 8 Local Ethics Award* The Samaritan Center, in partnership with St. Edward’s University, has established the Samaritan Center Ethics in Business Awards, inspired by programs which have advanced the ethical climate in Colorado and New Mexico. Co-chairs for the Awards are the distinguished Mary Scott Nabers and Max Sherman. In November 2002, the first Awards were given to three Central Texas businesses, a nonprofit organization, and an individual with a proven commitment to develop and practice the highest ethical standards in their policies, programs and actions. Business Award Criteria The research process for each business (25 or more employees) will examine the: 1. General background of the company, including its history, location, reputation, size, financial profile, record of earnings, and geographic markets 2. Employee relationships including the company’s policies and practices regarding salaries, benefits, promotion, and layoffs; the level of opportunity for and responsiveness to employee concerns; treatment of part-time employees; policies and actions to encourage the hiring and promotion of women, ethnic minorities, and the physically and mentally disabled; family-friendly policies; the handling of discrimination and sexual harassment claims; training and in-service education programs, tuition assistance, and the priority given to ethical behavior in personnel evaluations 3. Organizational design of the company as it relates to ethics, including mission statements, ethics policies, codes of conduct, ethics training, ethics officers, and mediation or resolution processes 4. Relationships with customers as demonstrated in the consistent quality of products and services, accuracy and fairness of advertising, fairness in pricing, and a formal ethics component in sales force training 5. Relationships with suppliers as demonstrated in fair treatment, use of local suppliers when possible, formal policies pertaining to gifts, assistance to local vendors to meet its standards of production, design and delivery, and proven ethical conduct in their buyer/seller relationships 6. Community relationships as demonstrated in harmful or helpful policies and actions, the solicitation of community input, clear communication regarding projects materially affecting the community, participation in and the impact of employee volunteer programs and activities; the percentage of after-tax profits contributed to philanthropic projects, and the preservation of the environment Non-profit Award Criteria This award is given to a nonprofit (501)(c)(3) organization that demonstrates an exceptionally high level of effectiveness and ethical behavior in carrying out its stated mission. The selected nonprofit organization must: 1. Clearly demonstrate ethical conduct in the treatment of staff and the handling of the clients/constituents they serve ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 9 2. Exhibit consistent quality in its service delivery and integrity in fund raising 3. Be properly governed and carefully maintain its fiduciary responsibilities in terms of board selection and financial management 4. Partner effectively with other nonprofits, business, and/or government Individual Award Criteria The background review of selected nominees for the award to an individual will involve extensive interviews with persons who know the individual in a variety of contexts in order to determine how the nominee: 1. Meets the highest ethical standards 2. Is a model and mentor for others 3. Exhibits strong qualities of fairness and integrity 4. Is an acknowledged leader according to others in their field of business or service and the community 5. Has a history and reputation of ethical practices *Source: www.samaritan-center.org/ethics Exercise — Use the award criteria plus your own experience and understanding and compare ethics in for-profit and nonprofit organizations. Notes: ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 10 A Code of Ethics A Code of Ethics can be created from several models. A human resources professional and legal counsel can refine a Code to fit the values and needs of the specific organization. Characteristics Five characteristics of a Code of Ethics include: • Visibility — everyone subject to it must be aware of it • Reflection of group values — the organization’s value system • Supportive of individual values — establishes boundaries of behavior and must represent values of most of the members to be functional • Focus on behavior — specific actions described • Responsive to day-to-day conditions — concrete and pragmatic rather than abstract and idealized Function A Code of Ethics does the following: • Describes appropriate behavior • Assigns individual responsibility • Creates a social contract • Provides a safe environment • Defines the organization’s identity Contents A Code of Ethics should address at least the following areas: • Organizational values • Compliance and laws • Confidentiality • Conflicts of interest / Appearance of conflict of interest • Fiduciary responsibility • Employment policies • Fund-raising procedures and reporting • Organizational assets and resources • Gifts, gratuities and entertainment • Environment (if relevant) Implementation Once an organization completes its Code of Ethics, the following steps provide a plan to implement it: 1. Distribute the Code to all employees 2. Help employees understand the intent and application 3. Specify management’s role in implementation ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 11 4. Inform employees of their responsibilities 5. Establish grievance procedures 6. Distribute to stakeholders and confirm their expectations Sample Code of Ethics American Society of Association Executives Standards of Conduct As a member of The American Society of Association Executives, I pledge myself to: • Maintain complete loyalty to the association that employs me and aggressively pursue its objectives. • Hold inviolate the confidential relationship between the individual members of my association and myself, and the confidential information entrusted to me through the association office. • Serve all members of my association impartially, and to provide no special privilege to any individual member, nor to accept special personal compensation from an individual member, except with the knowledge and consent of my association. • Neither engage in, nor countenance, any exploitation of my association, industry or profession. • Recognize and discharge my responsibility and that of my association to uphold all laws and regulations relating to my association’s activities. • Exercise and insist on sound business principles in the conduct of the affairs of my association. • Use only legal and ethical means if I should seek to influence legislation or regulation; issue no false or misleading statements to the public. • Refrain from the dissemination of any malicious information concerning other associations and/or other Association Executives. • Accept my responsibility for cooperating in every reasonable and proper way with other Association Executives. • Utilize every opportunity to improve public understanding of the principle of voluntary associations. • Maintain high standards of personal conduct. This code of Standards of Conduct for members of the American Society of Association Executives has been adopted to promote and maintain the highest standards of association service and personal conduct among its members. Adherence to these standards is required for membership in the Society, and serves to assure public confidence in the integrity and service of Association Executives. www.iit.edu/departments/csep/PublicWWW/codes/coe/asae-a.htm ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 12 Ethical Decisions This 7-step model provides a way to work through making decisions when ethical issues are involved: [Ironically, this model was introduced by Arthur Anderson, Inc. in 1992.] 1. Establish the facts 2. Identify the ethical issues 3. Define alternative options 4. Identify the primary stakeholders for each alternative 5. Identify the ethics of the alternatives 6. Identify practical constraints 7. Determine alternative [action] to take Case Studies 1. Your organization is outgrowing your office space, and one of your strategic goals is to move into a larger place. However, a tight budget is delaying the move because your rent would undoubtedly increase. A wealthy couple approaches your Board of Directors and offers to give you a small office building. It is located in an affluent neighborhood (not on public transportation lines) and is really too large for your needs, but it’s free. They stipulate that your organization cannot use the building for any other purpose including leasing space to other tenants. Most of your clients live far from this area, and many need transportation to your office to use your services. How would you handle this gift offer? ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 13 2. Your staff is shopping for a new office supply vendor , and your Executive Director asked you to compare prices. One of your major donors owns and operates ASC (an office supply company) and expressed interest in your business. You found that ASC is considerably more expensive than the others included the information in your price comparison report. Later, you learn that ASC is the new vendor. How would you respond? ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 14 3. You and several co-workers attended a conference in New Orleans; they have made similar trips with this organization, but it is your first. You kept your expenses very low by using the hotel airport shuttle ($12 round trip), saving a roll from dinner for breakfast, and doing your laundry in the bathroom. Part of your job involves comparing receipts with expense reports, and when you review the expense receipts of your co-workers, you see that they each used a taxi ($30 one way), ordered room service breakfast, consumed several mini-bar items, sent clothes to the hotel laundry, and bought tickets to a concert. What (if anything) do you say to your Supervisor? ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 15 4. Your organization depends heavily on volunteers for many tasks and projects. One volunteer, an attorney, has performed services previously as a volunteer. This time, you receive a bill for the services. When you ask, the attorney says, “Oh, I can’t afford to not bill for my time any more. It’s the economy, you know.” How would you handle this bill? ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 16 My Personal Responsibilities & My Organization’s Responsibilities: ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 17 Resources Ethics Quick Test The following set of questions appears as a quick way to test the state of ethics in your organization. For more information or to take the test and receive an “evaluation, ” see: www.ethics.org/quicktest/quicktest.cfm Rate these statements from 1(agree) to 5(disagree) 1 2 3 4 5 Clear Organizational Values 1. The organization’s values are consistent with each other so that its expectations are clear. 2. Employees at all levels understand the organization’s fundamental values. 3. Value statements are perceived as valid guidelines for decision-making in the absence of policy or precedent. 4. Stated values address the actions of the organization as it deals with its employees. 5. Stated values address the organization’s dealings with customers and suppliers. 6. The rules for doing business stay the same in good times and when things are not going well. 7. People know where to go for guidance when they need an interpretation of organizational values. Ethics, Strategy, Goals and Objectives 8. The organization’s stated values are consistent with the values and ethics of the business community. 9. The organization’s strategy clearly defines success in terms of its ethics values. 10. Employees at all levels understand the organization’s ethics goals and objectives. 11. Ethics goals and objectives are as important as production, quality and financial goals and objectives. 12. Employees at all levels have ethics goals and objectives for which they are held accountable. 13. The ethics strategy deals with all key stakeholders (e.g. employees, customers, suppliers, competitors, unions). 14. Ethics goals and objectives are considered in day-to-day decision-making. 15. People believe there is a direct connection between ethics goals and objectives and their individual success. 16. The ethics strategy is periodically reviewed and updated as the business changes and/or grows. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 18 Ethics Policies and Procedures 17. Ethics policies and procedures define what behavior is consistent with the ethics strategy. 18. Ethics policies and procedures are effectively communicated to all employees. 19. Employees view these ethics policies and procedures as important guidelines for day-to-day decision-making. 20. Employee adherence to ethics policies and procedures is regularly monitored. 21. There are clearly articulated consequences for deviations from or violations of these policies and procedures. 22. Ethics policies and procedures are compatible with all other operational policies and procedures. 23. People accept these policies and procedures as relevant and important for their unique working environment. 24. The ethics policies and procedures are periodically reviewed and updated. Measures of Ethical Effectiveness 25. Conformance to each of the organization’s ethics policies and procedures is routinely monitored and measured. 26. The continuing effectiveness of each ethics policy and procedure is routinely monitored and measured. 27. Results of periodic ethics measurements are included in discussions of overall organization performance. 28. Leaders are held accountable for the ethics effectiveness of the organizational unit(s) they oversee. 29. Individuals are held accountable for their personal conformance to organizational ethics standards. 30. Results from ethics monitoring are integrated into personnel appraisals and performance reviews. 31. The organization has processes for auditing/evaluating ethics measurements to ensure reporting accuracy. Rewards for Ethical Behavior 32. Conformance to ethics policies and procedures is necessary for a positive performance review. 33. The ethical effectiveness of individual decisions and actions is considered in evaluating employee behavior. 34. Employees routinely receive positive feedback from supervisors when they make ethically sound decisions. 35. Leaders are rewarded for the ethical effectiveness of the organizational unit(s) they oversee. 36. There is a high level of peer support for adhering to the organizations’ ethical standards within the work group. 37. Employees are rewarded for suggesting ways to increase ethical congruence in the workplace. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 19 38. The organization considers ethical effectiveness when evaluating a candidate for promotion. Guidelines for Ethical Decision-Making 39. Guidelines exist to assist leaders at all levels in making appropriate decisions on ethics related matters. 40. Because ethics guidelines are consistent with policies and practices, they do not create confusion or conflict. 41. Written guidelines are supplemented by trained ethics support personnel who can offer additional guidance. 42. Employees know how to obtain guidance when facing an ethics related question for which no policy exists. 43. People differentiate between ethics policies (which are enforced) and ethics guidelines (which offer direction). 44. Ethics guidelines are effective in helping people cope with situations where there is no prescribed solution. 45. People are held accountable for their effective use of existing ethics guidelines. 46. Guidelines for ethical decision-making are periodically reviewed and updated as needed. Assessing the Ethical Climate 47. Formal processes exist to assess the level of employee commitment to the organization’s definition of ethics. 48. The organization’s ethical climate is routinely assessed as part of overall organizational reviews. 49. Supervisors understand their impact on the ethical climate of the work groups they manage. 50. Employees understand the impact of the ethical climate on productivity, quality, and customer service. 51. The organization recognizes that commitment to a set of values means more than just following ethics rules. 52. Employees understand and agree with the organization’s ethics expectations and requirements for success. 53. Individuals understand the relationship between their personal values and the values of the organization. 54. Leaders realize that most decisions/actions which improve the ethical climate are ultimately beneficial. Building Support for Ethical Practices 55. People at every level of the organization recognize their responsibility for supporting ethical practices. 56. Leaders find frequent opportunity to reinforce the validity of the organization’s ethical positions. 57. Supporting the ethics positions of the organization is rewarded both formally and informally. 58. Employees are involved in helping shape and/or revise ethics practices when required. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 20 59. The organization’s focus is on ethical behavior, not just on ethics related rhetoric. 60. Written guidelines are provided to help people reach ethically congruent decisions. 61. Individuals are expected to apply the organization’s ethical guidelines to every aspect of their jobs. 62. Management consistently models conformance to desired ethical practices. Ethical Leadership Practices 63. Leaders understand the organization’s ethical requirements and expectations. 64. Leaders act in ways that are ethically consistent with what they require of those they lead. 65. Leaders regard their ethical responsibilities to be as, or more important than, any other responsibility. 66. Employees know that they can freely approach any leader to raise an ethics question. 67. Leaders take the initiative in resolving potential ethical conflicts in day-to-day business operations. 68. Leaders know whom within the organization they can turn to for guidance when facing unique ethics situations. 69. Leaders freely accept accountability for the ethical content of the decisions and actions of those they lead. 70. Leaders routinely recognize and reward the ethical decisions and actions of those they lead. Evaluating the Impact of Ethical Practices 71. Processes exist to gauge the impact of ethical behavior on employee commitment to organizational goals. 72. Supplier attitudes towards the advantages of working with ethical organizations are monitored. 73. The organization knows to what extent ethical conflict contributes to sub-par employee performance. 74. Political, regulatory and special interest groups are aware of the organization’s ethics standards. 75. Consumers understand the ethical standards and practices that govern transactions. 76. The ethical standards of the organization influence decisions and actions in all groups, units and departments. 77. The impact of ethical standards on economic performance is evaluated. Ethics Education and Training 78. Training exists to orient new employees on the ethical standards and practices of the organization. 79. Leaders receive formal training on how the ethics of their decisions and behaviors impact employees. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 21 80. People are trained on both the how-to’s and the why-to’s of the organization’s ethics policies and procedures. 81. Employees are trained on how to use the performance evaluation process to support ethical practices. 82. People are trained on how to clarify their personal values and how to assess their ethical congruence. 83. Training on the use of data from ethics effectiveness and climate assessments is available to managers. 84. People are encouraged to seek training that will prepare them to more effectively support ethical practices. Respect for Employees’ Personal Values 85. Employees’ values are considered when formulating organizational practices, policies and procedures. 86. Leaders seek congruence between their decisions and the values of the employees who must implement them. 87. People are encouraged to express any ethics concerns they may have which relate to the job. 88. Employees are given training and support in clarifying and expressing their personal values. 89. Assessments of ethical climate and effectiveness include attention to employee values. 90. Leaders are rewarded and recognized for increasing congruence between organization and employee values. 91. People are listened to when they identify ethical concerns about any aspect of the job. 92. Employees have the opportunity to influence key decisions where those decisions create ethical issues. Information Centers Business for Social Responsibility is a global organization that helps member companies achieve www.bsr.org success in ways that respect ethical values, people, communities and the environment. Center for Business Ethics, Bentley College provides an “international forum for the www.bentley.edu advancement of business ethics.” Center for Ethics and Moral Leadership at St. Edward's University is to provide an organizing focus for curricular studies and co-curricular activities stemming from our Holy Cross and www.stedwards.edu/ethics Catholic heritage and from our University Mission Statement's commitment to the dignity of all individuals. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 22 Council for Ethics in Economics is a nonprofit worldwide association of leaders in business, education, religion and other professions working www.businessethics.org together to “strengthen the ethical fabric of business and social life.” Ethics Officer Association is a U.S. based nonprofit, non-consulting professional association www.eoa.org dedicated to promoting ethical business practices. Ethics Resource Center is a “nonprofit, nonpartisan educational organization whose vision www.ethics.org is an ethical world.” Institute for Global Ethics is an “independent, nonprofit, non-sectarian, and non-partisan organization dedicated to elevating public www.globalethics.org awareness and promoting the discussion of ethics in a global context.” The Joseph & Edna Josephson Institute of Ethics is a nonprofit membership organization that aims “to improve the ethical quality of society by www.josephsoninstitute.org advocating principled reasoning and ethical decision making.” The Samaritan Center for Counseling and Pastoral Care is a not-for-profit interfaith counseling center whose ministry is committed to providing professional counseling, psychotherapy, www.samaritan-center.org/ethics and educational service which affirms the spiritual dimension of life without regard to one's ethnic origin, economic status, age or religious affiliation. ©Sherry Scott Consulting December, 2002 Ethics in Nonprofits 23 Sherry Scott Consulting Standards of Ethical Conduct We have an obligation to maintain the highest standards of ethical conduct. Recognizing this obligation, we agree to abide by the following code of professional ethics in providing consulting and training services. ♦ We agree to maintain the highest standards of service in all dealings with clients and their employees. ♦ In promoting services to prospective clients, we agree to — • Adhere to professional standards • Avoid misrepresenting professional qualifications and affiliations • Accurately represent services ♦ While providing services, we agree to — • Provide services only in those areas in which we are well qualified • Attempt to meet the specific needs of both the employees and the client organization based, whenever possible, on a critical evaluation of the needs of the organization • Base instructional techniques on the best and most recent research and informed opinion • Present improvement as a dynamic process instead of focusing solely on immediate concerns ♦ In dealing with information and materials used in the services, we agree to — • Consider all material provided to be confidential unless we receive permission to use the material outside the contracted situation • Protect the anonymity of the client organization and its employees when publishing materials derived from a contracted arrangement, unless given prior permission in writing to disclose the name of the organization or employee • Use no material from a contracted arrangement to disparage either a specific employee or a client organization • Refrain from using confidential information acquired in the course of the contract for unethical or illegal advantage • Conduct research involving the performance of employees of a client organization only with the prior knowledge and approval of the client organization ♦ In developing materials for a client, we agree to — • Provide clear, concise, readable copy that meets the needs of both the client and the intended readers • Develop and write copy in accordance with relevant laws, regulations, and professional standards • Be rigorously honest when writing sales or promotional materials, attempting to accurately represent the product or service of the client • Advise the client of the legal implications of the written materials • Advise the client when the written materials and practices of the client are not consistent with the ethical standards of the professional community ♦ In relating to other consultants and trainers, we agree to support and advance the profession, especially by acting as mentor to other consultants and trainers. ♦ In relating to an educational institution, we agree to — • Meet all obligations to the educational institution and to students at the institution • Meet the terms of any contract signed with the educational institution as they apply to consulting work • Use the facilities or supplies of the educational institution in consulting work only if the institution approves of such use and is adequately recompensed for it • Avoid conflicts of interest and advise the client and the institution of any potential conflict (Adapted from The Association of Professional Communication Consultants’ Standards of Ethical Conduct.) ©Sherry Scott Consulting December, 2002 ACC Center for Community-Based & Nonprofit Organizations – http://www.austincc.edu/npo Notes ACC Center for Community-Based & Nonprofit Organizations – http://www.austincc.edu/npo Notes