The Code of Conduct: Laying a Cornerstone for Effective Governance

Business ethics are the principles of conduct governing an organization and the individuals within it. These principles are defined through the day-to-day behaviors of managers and employees, creating a culture where everyone can observe management’s actions and reactions in response to events.

When management consistently exemplifies high standards of ethical behavior, the organization is better positioned to sustain a quality reputation that attracts and retains the customers, talent and capital. In this issue, we provide important steps for boards of directors and management to consider in designing and implementing an effective code of ethics.