Ethics & Integrity in service

Presented by: Remi ADESEUN B.PharmChairman/CEO, Rodot Group.

Abia State…. Ọhā Chukwu!

“Abians”: entrepreneurial, known and reputed to be industrious, highly market oriented, very hospitable and accommodating.

Remi ADESEUN

Abia in the context of Nigeria

Population ca. 2.8mio

Created 1991 From the Provinces

of: Aba Bende Isikwuato Afikpo

South-East Niger-Delta!Remi ADESEUN

Nigeria

Quick Facts (from 2000-2011) : 5 Fold Increase in

GDP (From $46bio-$247)

30% Growth in Population (From 120-160 mio)

Per Capita Growth from $390-$1500

A TREMENDOUS

GROWTH STORY?

Remi ADESEUN

Nigeria Infrastructure

Deficit Energy Inadequacy Fragile Security Falling Education Failing Health Poor Human

Development Index

BUT HOW ARE THE PEOPLE

FAIRING?

Remi ADESEUN

Nigeria NOT DOING

BADLY….FOR THEMSELVES! Nigerian politicians

are the highest paid in the world (Richard Dowden)

Costliest Laws Honorable?

Distinguished? Excellency?

Different Rules of Engagement

DISCONNECTED!

AND THEIR LEADERS?

Remi ADESEUN

Nigeria

WHY THE DISCONNECT BETWEEN

THE LEADERS &

THE PEOPLE?Remi ADESEUN

Nigeria

LACK OF ETHICS & INTEGRITY IN SERVICE!

Remi ADESEUN

Failed states list 2011

      

1.  Somalia (0)2.  Chad (0)3.  Sudan (0)

4.  Democratic Republic of the Congo (+1)5.  Haiti (+6)6.  Zimbabwe (-2)7.  Afghanistan (-1)8.  Central African Republic (0)9.  Iraq (-2)10.  Cote d'Ivoire (+2)11.  Guinea (-2)12.  Pakistan (-2)13.  Yemen (+2)

14.  Nigeria (0)

15.  Niger (+5)

16.  Kenya (-3)17.  Burundi (+6)18.  Guinea-Bissau (+4)19.  Myanmar (-2)20.  Ethiopia (-3)

Indicators of state vulnerability

Social indicators Demographic pressures Massive movement of

refugees and internally displaced peoples

Legacy of vengeance-seeking group grievance

Chronic and sustained human flight

Economic Indicators Uneven economic

development along group lines

Sharp and/or severe economic decline

Political indicators Criminalization and/or

delegitimisation of the state

Progressive deterioration of public services

Widespread violation of human rights

Security apparatus as ‘state within a state’

Rise of factionalised elites Intervention of other states

or external factors

Remi ADESEUN

Ethics & Integrity in Nigeria….A Call to Action

To Paraphrase Emeritus Prof. O.O.Akinkugbe: “The topic we engage today reflects the

cumulus in our present sky:values upturned, integrity short-changed, discipline outraged and merit marginalised. A dawn is upon us and each ‘Abian’ (Nigerian) must make some contribution to the total national effort”.

Of Monks & Monkeys-The Wages of Integrity in Nigeria’s Polity. 1999. Government College Ibadan 70th Anniversary Lecture

Ethics & Integrity in Nigeria….A Call to Action (2)

It seems according to President Olusegun Obasanjo that “What matters to most Nigerians is the 6 P’s which are pursued at all cost: Position Power Possession Plaudit Popularity Pleasure

Nothing else matters. With the 6 P’s he can buy anything and buy himself into anything. Honesty is disregarded, indolence is extolled, probity is derided, waste and ostentation are paraded”

The Importance of Ethics & Integrity in the Nigerian Context

“National Ethics” is item 23 in Chapter II of the Constitution of the Federal Republic of Nigeria 1999.

Code of Conduct is item 209 under section C Part “ (State Executive)

..states inter alia: “A Person in the Public Service of a State shall observe and conform to the “Code of Conduct”

Ethics & Integrity….Many Questions

What is “Ethics”? “Integrity”? How does Ethics contrast with Law? Why the Focus on Ethics & Integrity? What is the nexus between Ethics,

Integrity, Leadership & Good Governance?

What is the goal of Good Governance?

Well-Being of the People, Development of the Society

Ethics & IntegrityValues

Character

What is the Goal of Good Governance?

LeadershipGood Governance

Nigeria

Q: WHY THE DISCONNECT?

A: TRYING TO BUILD A HOUSE FROM THE

ROOF DOWN!Remi ADESEUN

Well-Being of the People, Development of the Society

Ethics & IntegrityValues

Character

What is the Goal of Good Governance?

LeadershipGood Governance

Transforming Abia Through…

Ethics & Integrity in service

What does ETHICS mean to you?

We are what we repeatedly do. Excellence, then, is not an act, but a habit. Aristotle

What does ETHICS mean to you?

“Ethics has to do with what my Feelings tell me is right or wrong”

“Ethics has to do with my Religious beliefs”

“Ethics is doing what the Law requires”

“Ethics is the standard of behaviour Society accepts”

We are what we repeatedly do. Excellence, then, is not an act, but a habit. Aristotle

What is ETHICS?

Ethics refers to: well founded standards of right and

wrong that prescribe what humans ought to do, usually in terms of rights, obligations, benefits to society, fairness, or specific virtues.

the study and development of one's ethical standards.

How does Ethics contrast with the Law?

Ethics is the study of right or wrong conduct in situations where there is a choice of behavior involving human values

EthicsIs the collection of rules of conduct imposed by an authority

Law

Relationship between Ethics and the Law

Purpose

•With ethics, human values are the primary binding social mediator

•With law, rules of conduct are the primary binding social mediator

Target

•Societies, communities and people

Goal

•People to live well together

Need

•Ethics governs society’s moral standards, a realm that the law can’t always reach

•The law imposes a specific conduct on society, a realm that ethics can’t always reach

Need for ETHICS in Service

Ethics, Integrity & Good Governance are core principles for public service Public/Civil Servants make and implement decisions directly

affecting the citizens They conceive policies, conduct negotiations, determine the use of

resources, and have access to sensitive information The Citizens are thus entitled to expect ethical behaviour and

integrity from them The reputation and performance of the Government & its

institutions depend on these qualities (and in functional systems, so also should the political fate of public office holders)

Hence the need for formal rules and codified principles that guarantee the impartiality, discretion and integrity of all those who hold public office.

Ethical Principles

Obligations

Respect Values

Consequences

Integrity in Relation to Value Systems & Ethics

What is Integrity? A concept of consistency of actions, values,

methods, measures, principles, expectations, and outcomes.

A value system may evolve over time while retaining integrity provided those who espouse the values account for and resolve inconsistencies.

A Person can be described as having ethical integrity to the extent that everything that person does or believes (actions, methods, measures & principles) all derive from a single core group of values.

Integrity in Modern Ethics 3 key requirements:

Discerning what is right and what is wrong Acting on what you have discerned, even at

personal cost Saying openly that you are acting on well

founded standards of what is right and what is wrong

Benefits: Leads to increased performance for individuals,

groups, organisations and societies. Results in improved quality of life and value-

creation for all

What is an Ethical Culture?

An ethical culture is an intangible structure of organizing and

characterizing a group of people to constitute a framework influencing the behavior of each individual in

the group

How to Evaluate an Ethical Culture Collect feedback from:

Front-line employees Established confidential or anonymous reporting

mechanisms Human Resources Department

Evaluate whether: Ethical values are properly interpreted, clear and

working as desired A swift and consistent way to deal with ethical concerns

exists Ethical values provide a sense of trust and confidence

in the public Ethical values are enforceable and revisable, or not

How to Evaluate an Ethical Culture

• Benchmark with data you collect from peer institutions

• Perform ethics audits

Remi ADESEUN

Influences of Ethical Behavior

Personal values Credible enforcement of ethics violations Attitude and behavior of supervisors Attitude and behavior of senior

managers Friends and co-workers Internal drive to succeed Ethics related legislation External Incentives e.g. Mo Ibrahim Award

Pressures that Compromise

Following boss’s directive Meeting aggressive financial

objectives Helping the organization survive Meeting scheduled pressures Wanting to be a team player Saving jobs

Pressures continued

Advancing boss’s career interest Rationalizing that others do it Feeling peer pressure Resisting competitive threats Advancing own career interests

Why Ethical Lapses Occur The “Bad Apple”

Corrupt Individual; Eliminate The “Bad Barrel”

Organisational/Societal Culture; Overhaul, Commit to adequate personal integrity

Competitive Pressures Short-term focus, unsustainable

Opportunity Pressures Temptation; the greater the reward or the smaller the

penalty, the greater the probability of unethical conduct

Globalisation of Business Negative cultural “cross-pollination”

A conflict of interest is a situation where a public

office holder exploits relationships with the

institution for personal financial or other gain, which

may compromise or have the appearance of

compromising professional judgment when making

decisions or influencing the decisions of other public

office holders.

What is a Conflict of Interest?

Types of Conflicts of Interest

TANGIBLE

The personal gain is financial/material

INTANGIBLE

The personal gain is professional or non-

material

Potential Conflicts of Interest Conflict of effort or conflict of obligation is when

work time is spent on a secondary personal activity Conflict of conscience is when personal, political, or

religious views influence objectivity Political conflict of interest is when one responds

positively to an idea/proposal/person because it represents or is presented by a person/party with whom one is politically affiliated, or where one may act to delay/prevent access or opportunity of a competitor's idea/proposal in order to strengthen the public office holder’s preferred political group’s chances

Potential Conflicts of Interest Using institutional facilities, resources or time for

personal gain and/or activities for which one is paid by anyone other than the employer, except when such activities have been approved in compliance with institutional policies and procedures

Accepting or soliciting any gift, hospitality, favor, service, benefit, or monetary award that one should reasonably know is offered to influence decisions or actions (bribes, kickbacks, etc)

Doing personal business with the institution, employees or trustees, or their immediate family members or business partners

Potential Conflicts of Interest Participating in the hiring of or having

supervisory authority over a family member or a relative

Accepting additional employment which competes or conflicts with one’s primary duties

Excessively browsing the web, participating in social media, or participating in entertainment or leisure activities during official time and for reasons not related to official duties

Potential Conflicts of Interest Accepting compensation for referring

employees to vendors Reselling materials received as part of one’s

role in the organisation Engaging in a sexual or amorous relationship

with someone over which one has supervisory, decision-making, advising, and other evaluative responsibilities

sharing inside information, falsifying records, defrauding customers, obstructing an investigation

Priority Areas for Ethics in Society

Government Business Media Arts & Entertainment Education Health Religion

Best Practices

Ethical Framework

Responsibility

Accountability Fairness

Transparency

Tackling the issue

Establish an Ethics and Governance Policy for the MDA Publish the Policy, along with a Code of Conduct for the

employees. Communicate the policy widely and repeatedly.

Encourage dialogue and challenge, Come down hard on the cynics. Set the example from the top; Circulate the policy amongst customers and suppliers. Establish an Ethics Hotline which is secure, confidential and

available to all employees. Take swift and fair action on reported violations, after due

verification. Review the policy at regular intervals, to make sure it stays

current with changing requirements.

Establishing Ethical Standards The Utilitarian Principle

The greatest good for the greatest number Kant’s Categorical Imperative

Universal Law or Rule of Behaviour The Professional Ethic

Will a disinterested group of Pros agree? The “Golden” Rule

Treat others the way you want to be treated The Television Test

Would you comfortably explain your action on TV? The Family Test

Would you comfortably explain your action to your parents, spouse & kids?

The “Red Face” Test Would you be ashamed if you were found out?

Maintaining Ethical Standards Create a Credo/Statement of Values Develop a Code of Ethics Enforce the Code Fairly & Consistently Hire the Right People Conduct Ethics Training Perform Periodic Ethics Audit Establish High Standards of Behaviour, not just

rules Set an Impeccable Ethical Example at all times Create a 2-way Communication Culture Involve Employees in Establishing Ethical Standards

The Naked Truth: Transparency Is Key

“…clarity and transparency promote better behaviour. People think twice about what they are doing if the naked truth is staring them – and the rest of the world – in the face.”

Accountability

Appoint MDA Compliance Officer Internal MDA Audit Team Exco Responsible Exco Level Audit Sub-Committee Training

Code of Conduct

An outline of responsibilities of or best practice for an individual or the organization

Set of principles of good organisational behavior adopted by the MDA

Nigerian Ministers Code of Conduct

CODE OF ETHICS FOR GOVERNMENT SERVICE  

Any person in Government service should: 

1. Put loyalty to the highest moral principals and to country above loyalty to Government persons, party, or department.

2. Uphold the Constitution, laws, and legal regulations and of all governments therein and never be a party to their evasion.

3. Give a full day's labor for a full day's pay; giving to the performance of his duties his earnest effort and best thought.

4. Seek to find and employ more efficient and economical ways of getting tasks accomplished. 5. Never discriminate unfairly by the dispensing of special favors or privileges to anyone,

whether for remuneration or not; and never accept for himself or his family, favors or benefits under circumstances which might be construed by reasonable persons as influencing the performance of his governmental duties.

6. Make no private promises of any kind binding upon the duties of office, since a Government employee has no private word which can be binding on public duty.

7. Engage in no business with the Government, either directly or indirectly which is inconsistent with the conscientious performance of his governmental duties.

8. Never use any information coming to him confidentially in the performance of governmental duties as a means for making private profit.

9. Expose corruption wherever discovered. 10. Uphold these principles, ever conscious that public office is a public trust.

Training and Communication

Ethics and Integrity 1. New employee orientation2. Policy and/or employee handbook3. Periodic discussions in meetings4. Formal annual communication5. Performance reviews 6. Employee hotline

Whistle-blower Act

A whistleblower is an employee, former employee, or member of an organization, especially a business or government agency, who reports misconduct to people or entities that have the power and presumed willingness to take corrective action.

Generally the misconduct is a violation of law, rule, regulation and/or a direct threat to public interest -- fraud, health, safety violations, and corruption are just a few examples

Discipline

The punishment should fit the crime Unintentional

Write-up Impact on performance review

Deliberate Termination

In the Final Analysis …

EFFECTIVE LEADERSHIP.. IS

Synonymous with Good Governance Needed to turn Nigeria’s Economic Growth into

Inclusive and Sustainable Development of its People & Society

Needed to Bridge The Disconnect between the Rulers and the People, and thus save the Nation from an avoidable life of misery and costly revolt.

Built on Values and Character Built on a Solid Foundation of Ethics & Integrity

Conclusion Establishing & Maintaining High Ethical and

Socially Responsible Standards must be a Priority for Leaders to be able to deliver the “dividends of democracy” i.e. Well-Being of the People, Development of the Society.

Leaders must be aware of and committed to enthroning conditions and structures that are favourable to the development of integrity and ethical behaviour

Leaders must recognise the key role they play in influencing the people’s ethical behaviour. The Leaders’ actions speak louder than words.

Ethics in Crisis Management

Keys issues in Crisis Management

the nature of organizational crisis

how to manage through it and the role of ethics in confronting

one of the most difficult experiences an organization can face.

Ethics in Crisis Management

…where something has publicly gone wrong and the world is watching!

Crisis Timelines

Sometimes crisis is contained and manageable, winding to its conclusion in relatively short order.

At other times, the crisis is deep, long-lasting and existential.

Types of Crisis

sudden, abrupt events that make headlines

the long smoldering, cumulative kind that has its roots in ongoing ne- glect, carelessness, or procrastination.

Examples of Crisis Hurricane Katrina Gulf Oil Spill Ikeja Cantonment

Bomb Explosion Plane Crash ABSU Gang Rape Abia “Backloading

of Non Indigenes” Withholding of

Statutory Allocation

President Yar Adua Illness

Global Financial Crisis

US Govt Debt Default

Post-Election Riots Fuel Subsidy

Removal Riots

Challenges of Crisis Management

Guiding the organisation through the storm with its reputation intact.

As events unfold, dealing/confronted with surprising facts unanticipated developments frustrating challenges to the

organization’s integrity and the values that guide it

Remi ADESEUN

Dimensions of organizational crises

On the surface, operational issues, legal entanglements

or public relations challenges. Looking deeper,

character and ethics – who we are and what we stand for.

Almost every question and every decision will have an ethics component.

Outsiders (and many insiders, too) will view the crisis with an ethics scorecard and ask “did they do the right thing?”

Getting it Right

examine the issue of crisis response and the role of ethics in preparing for crisis,

managing through the turmoil, recovering once the danger is

resolved.

Comfort..

With proper preparation and effective response, crises can be overcome and may even change organizations for the better

Crisis-initiated adjustments, such as more acute risk management or new cohesiveness among employees, may leave an organisation better positioned at the end of a crisis than at the beginning.

Organisational response to crisis

– in terms of the standards and values that guide decision-making

– can be thoughtfully considered before calamity strikes.

Leadership is key An effective leader of a crisis team is equipped

to: Honestly evaluate the facts of the situation Recognize the core values of the

organization as they relate to decisions being made by the team

Remain independent from the crisis (if possible)

Manage emotions� Make high-level decisions Provide leadership for the group

The Stages of Crisis Management

Detection Preparation Containment/Damage Control Learning/Understanding Recovering

Remi ADESEUN

Where does Ethics fit in?

Crisis is a test of character; who we are gets magnifed before a global audience.

Crisis management is fundamentally about ethics and whether the organisation’s response demonstrates that it is guided by the right set of values.

Where does Ethics fit in?

choosing between right and wrong. pledge to “do the right thing.” But when the crisis team faces specifc

decision points, identifying the “right thing” is often a complex challenge that involves sorting out conficting responsibilities to a wide range of stakeholders.

6 Critical Questions in Crisis Management

1. The Crisis Team: Is There Somebody in the Room Who Will Uphold the Organisation’s Values?

2. Do We Have the Right Values to Guide us in Crisis?

3. What Values Will our Stakeholders Expect us to Honor in a Crisis?

4. How Will Our People and Culture React to Crisis? 5. How Will We Know When We’ve Recovered From

Crisis? 6. Have we established Trust with External

Audiences?

1) The Crisis Team: Is There Somebody in the Room Who Will Uphold the Organisation’s Values?

A. How confident are we that the people identifed as our crisis team are well- versed in our ethics standards, and adequately trained to resist the pressures to compromise our values?

B. Can one or more members of the team assess changing conditions on an objective basis and apply our values in responding?

C. Do we have sufficient resources if our Crisis Team needs an independent perspective about a decision involving our core values?

2. Do we have the Right Values to Guide us in a Crisis?

A. Will we be proud of our core values if we have to publicly defend them during a crisis? Will any of our values cast us in a poor light if something goes wrong?

B. How would we want our crisis team to prioritize of our values when faced with a difcult decision?

C. To what extent does our current code of conduct provide enough guidance to answer questions that will emerge throughout a crisis?

Example of Values RODOT VISION: To be the preferred provider of products,services and solutions

to clients in our chosen spheres of endeavour. RODOT MISSION: To commit our internal resources and external alliances towards

contributing positively to our clients sucess and delight. CORE VALUES: Creative and Quality Oriented People-valuing Company Learning Company Ethical Company Team based high performance Friendly work environment

3. What Values will our Stakeholders expect us to honour in a crisis?

Who are your Stakeholders? What is their order of precedence? Indigenes Residents Civil Servants Political Party Other Tiers of Government Vendors/Suppliers/Contractors Neighbours Media NGOs and other Special Interest Groups Members of the Public-at-large

3. What Values will our Stakeholders expect us to honour in a crisis?

A. Who are the stakeholders who will be important to us, if crisis should occur?

B. What values do our stakeholders expect us to employ in a crisis situation? To what extent are those values in line with our priorities?

C. Are there any stakeholder groups that should receive a copy of our values statement now, so that in a time of crisis we have earned credibility as having a set of standards to guide our decisions?

4. How will our People and Culture React to the Crisis?

A. To what extent do our people have confidence in the leadership and believe that our organisation will live up to its stated values in a time of crisis?

B. How do we want our culture to react to a crisis?

C. Based on what we know of our culture now, how will it actually react?

5. How will we know we have recovered from crisis?

A. What metrics do we currently use to gauge the well-being of our organisation and its reputation?

B. What additional metrics will we need to give us an indication of our organisation’s recovery if crisis ensues?

C. After a crisis is over, how can we improve our organization’s crisis response?

D. How can our organization help ensure that this problem doesn’t happen again?

5. How will we know we have recovered from crisis?

Peoples trust in leadership Strong ethical culture Supplier & vendor confidence in the

organisation’s integrity People’s trust in organisation’s image Respect from peers and informed observers for

the crisis response

6. Have we established Trust with External Audiences

A. To what extent have we publicly established a reputation of having a set of core values that guide our policy decisions?

B. What are we doing now to demonstrate our commitment to integrity among public officials, regulators and enforcement agencies?

C. What efforts are underway to establish credibility among our other external audiences?

Communities where we operate NGOs and interest groups Customers Shareholders Peers/Neighbours Members of the press

6. Have we established Trust with External Audiences

“We wouldn’t have survived [our crisis] if we didn’t have that love and loyalty [of our employees and customers]. And it stems, in some measure, from our heritage as a good corporate citizen. So for us…our past behavior was like money in the bank. It gave us a reservoir of goodwill that we could draw upon in our hour of need.”

Recommended Action Steps..(1)

1. Establish/Review Core Values 2. Conduct periodic ethics training for

persons identifed to serve on a crisis team

3. Conduct a comprehensive stakeholder review.

4. Review crisis communications plans and outline ethics-related messages

Recommended Action Steps..(2)

5. Conduct a culture assessment 6. Make systematic “deposits in the

credibility bank.” 7. Conduct an objective post-mortem. 8. Have additional resources “on the

ready.”

Abia State Government Action Steps

1 2 3 4 5 6 7 8

Summary Crises and crisis management have many

dimensions When problems arise, survival demands

strong performance in many areas. “Communicate, Communicate,

Communicate.” Where applicable, apply ‘the Three As’ –

Acknowledge, Apologize, Act.” Take ownership and fix the problem

because something went wrong!

Conclusion The key success factor throughout a crisis is ethical behavior

openness to the truth acceptance of responsibility commitment to setting things right

Companies with ethical cultures, beginning with strong tone at the top, fare better in day to day operations and during crisis. Their employees are more loyal, and more willing to go the extra mile to get

their job done. Potential problems are identifed sooner and reported up the line, which

helps avert crisis in the frst place and helps resolve them more efficiently when they do arise.

The number one priority is for Leaders to insist on ethical cultures. Ask the key questions outlined above, Find vulnerabilities, and make sure they get fixed. If the Leaders can do that, the organisation will be better prepared should

crisis strike.

Thank You!

Contact Information:

Remi ADESEUN

Chairman

Rodot Group

.Healthcare

.Architecture

.Consulting

+234 8057713769

r.adeseun@rodot.org