Ethical Culture Change Intervention
Once the audit is complete, the data should be discussed with employees who can then be enlisted in
the development of a culture change intervention plan. The plan will be guided by the diagnosis and the
cultural, multisystem framework shown in Figure 9.2. Complementary changes in both the formal and
informal organizational systems should be a part of any recommended change effort.
Though difficult, changing formal systems is a more straightforward process than changing informal
systems. Gaps and problems identified in the diagnosis can be addressed in a number of ways. Structure
can be altered to encourage individuals to take responsibility for their behavior and to discourage
unquestioning deference to authority. Codes of ethics can be designed in a participative manner,
distributed, and enforced. Reward systems can be designed to punish unethical behavior. Performance
management systems can be designed with an emphasis not only on “what” people do but also on “how”
they do it. Whistle-blowers can be encouraged and provided formal communication channels and
confidentiality. 91 Orientation programs can be designed to incorporate the organization’s values, and
training programs can be set up to prepare individuals to handle the ethical dilemmas they are most likely
to face in their work. Integrity can be emphasized in selection and promotion decisions. Decision-making
processes can incorporate attention to ethical issues by devoting time at meetings and space in reports.
* By Linda K. Treviño and Katherine A. Nelson. This article originally appeared as Chapter 9 of Managing Business Ethics: Straight Talk about
how to Do It Right (John Wiley & Sons, 2004). It has been condensed. Used by permission and may not be further reproduced.
14 March 2018
It’s more difficult to change the informal systems, particularly those that have been found to maintain
unethical behavior in the organization. However, these changes must be undertaken if the total change
effort is to be effective. These changes require attention to the “art” rather than the science of
management and are consistent with ideas about the importance of “symbolic management.” With
symbolic management, organizational leaders and managers are encouraged to create rituals, symbols,
and stories that will influence those they manage. 92
ETHICAL CULTURE CHANGE EVALUATION As with any organizational change and
development effort, results should be evaluated over an extended period of time. Evaluation, like
diagnosis and intervention, should be guided by the multisystem framework. Surveys and interviews can
he repeated regularly to determine if norms have changed and to pinpoint potential problem areas.
Documents can be analyzed to determine if ethical issues are being consistently considered. Other
outcomes, such as number of lawsuits or reports of unethical behavior, can also be tracked. However,
interpretation may need to go beyond simply the numbers. Increased reporting to a hotline, for example,
may only mean that ethical sensitivity has been raised and can be viewed as a positive outcome rather
than a negative one. This is probably the part of culture building that is most neglected. Most
organizations are unwilling to make the investment in evaluation, and therefore they really can’t calculate
the effectiveness of their efforts.
THE ETHICS OF MANAGING ORGANIZATIONAL ETHICS
An effort aimed at changing organizational ethics requires us to face a particularly knotty ethical
dilemma: Whose values or ethics are to prevail? We believe that a change effort that involves employees
is not manipulative or coercive and is most consistent with a concern for the ethics of the change effort
itself. Employees should participate in the problem diagnosis and planning process. They should be aware
of what’s happening and should take part in identifying problems and recommending solutions.
CONCLUSION
This chapter has proposed a cultural framework for thinking about ethical and unethical behavior in
the organizational context. Although individual character traits may predispose a person to ethical or
unethical behavior, the cultural context in the organization also has a powerful influence on the behavior
of most employees. An organization that wishes to develop or change its ethical culture must attend to the
complex interplay of formal and informal systems that can support either ethical or unethical behavior.
* By Linda K. Treviño and Katherine A. Nelson. This article originally appeared as Chapter 9 of Managing Business Ethics: Straight Talk about
how to Do It Right (John Wiley & Sons, 2004). It has been condensed. Used by permission and may not be further reproduced.
15 March 2018
Quick-fix solutions are not likely to succeed. A broad, multisystem approach to developing and changing
organizational ethics was outlined to guide organizations in diagnosing and, if necessary, changing their
ethical culture.
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