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LEADERSHIP, ETHICS & ACTIVE CITIZENSHIP:
Role of HR
17 May 2016
Marius Meyer
@SABPP1
SABPP Professional Values
RESPONSIBILITY
I
RESPECT
INTEGRITY
COMPETENCE
Launch of HR Ethics Book
“Congratulations to SABPP with the launch of the HR Ethics book, and for the good work you are doing to promote ethics and the HR profession.”
Advocate Thuli Madonsela
Importance of ethics for HR
Definition of Ethics Competence
Behaving ethically as HR Professionals and
living our professional code in driving ethics
and values within our organisations, being
champions of ethics, integrity and honesty in
the workplace.
SABPP HR Competency Model (2013)
Ethics Competence Outputs
SABPP HR Competency Model (2013)
Your organisation
Your profession
You
HR Voice II: 2016-2018
Setting HR Standards – SABPP: the Voice of the HR Profession
Human Resource Governance
Research
Value & visibility
Optimisingalliances
Innovation/ Technology
CPD
Excel-lence
HR Academy
QualityAssurance
Knowledge
Governance Duty to society
Ethics
Res-ponsi-bility
Res-pect
Inte-grity
Com-peten-
ce
HR Professionalism: 4 pillars, 4 principles, 4 top products, 7 priorities
Active Citizenship: Stakeholder engagement & impact
Current Current reality
• Fraud
• Corruption
• Theft
• Espionage
• Sabotage
• Money laundering
• Lies
• Crime
• Conflict of interest
• Cyber crime
• Nepotism
• Favouratism
• Price fixing
• Exploitation
• Mismanagement
• Poor governance
• Plagiarism
• Bribery
Getting the balance right
Professional knowledge and
standards(competence)
Professional ethics(conscience)
Doing good work
(excellence)
Ethical behaviour
and conduct(ethics)
Accountability Responsibility Fairness Transparency
POSITIONING GRC IN COMPANIES:
ROLE OF MANAGERS
• E T H I C S
GOVER-NANCE
RISKCOM-
PLIANCE
LEADERSHIP
MANAGEMENT
CU
LTUR
E
CO
NTR
OLS
King III Chapter 1 - Ethics
RESPONSIBLE
LEADERSHIP
BOARD
RESPONSIBILITIES
ETHICAL
FOUNDATION
Ethical
Foun-
dation
Sustai-
nability
Effec-
tive
Leader-
ship
Gover-
nance
values
Corpo-
rate
citizen
Manage
ethics
Strate-
gic di-
rection
ControlValues
Code
Draft King IV™ – 3 principles
The governing body should:
1. Set the tone and lead ethically and
effectively.
2. Ensure that the organisation’s ethics is
managed effectively.
3. Ensure that the organisation is a
responsible citizen.
IODSA (2016)
King IV™ Ethical characteristics
Indepen-dence
Inclusivity
Diligence Informed Courage
Compe-tence
IODSA (2016)
King IV™ - Role of governing body: Ethics
• Set the example and tone for an ethical culture.
• Provide clear strategic direction on the management of the organisation’s
ethics.
• Ensure that ethics, values, norms are clearly articulated in codes of conduct,
and in its policies.
• Ensure that ethics policy encompasses the relationship with internal & external
stakeholders, including the conduct of organisations within the supply chain +
address ethical risk profile of organisation.
• Ensure that structures are in place to give effect to the organisation’s ethics,
values, norms, including safe reporting mechanisms & appropriate oversight &
resources for ethics management.
• Oversee that there are processes to ensure that employees, business
associates, contractors and suppliers are familiar with the organisation’s ethics
norms as set out in codes of ethics & conduct, e.g. incorporating these in
employment & supply contracts.
• Oversee that recruitment processes, promotion criteria and performance
evaluations of employees recognise adherence to ethics norms (codes,
sanctions).
• Disclosure of structures, processes for ethics management + monitoring.
IODSA (2016)
Conflict of interest
DirectorManagerEmployeeInterest
Organisa-tion
Interest
CONFLICT OF INTERESTPersonalInterest
Others’Interest
Responsible corporate citizenship
Governing body should ensure that the organisation
is a responsible corporate citizen:
1. Provide strategic direction for organisation to be
a responsible corporate citizen and to respond to
economic, social, environmental outcomes of its
activities;
2. Oversee that the performance as a corporate
citizen is monitored against targets;
3. Disclosure of structures, processes, monitoring.
IODSA (2016)
Corporate citizenship include:• Sustainable development
• Human rights
• Impact on communities
• Protection of the natural environment
• Fair labour practices
• Fair & responsible remuneration
• Employee wellbeing & development
• Employee & public health & safety
• Compliance with legislation related to E, S, E
• Prevention, detection & response to fraud/corruption
• Economic transformation, including EE & BEE
• Fair treatment of customers
• Fair competition with industry peers
• Fair treatment of associates, suppliers, contractors
• Responsible tax policies
Source: King IV™
HR Standards Files
13 standards (2013) 19 standards (2014)
BUSINESS STRATEGY – HR BUSINESS ALIGNMENT
StrategicHRM
TalentManagement
HR RiskManagement
HR ARCHITECTURE
I
HR VALUE & DELIVERY PLATFORM
Work-force
planning
Learning&
Deve-lopment
Perfor-manceMana-
gement
Reward &
Recogni-tion
Em-ployee
wellness
Employ-mentRela-tions
Organi-sationDeve-
lopment
HR Service Delivery
HR Technology(HRIS)
Prepare
Imple-ment
Review ImproveHR MEASUREMENTHR Audit: Standards & Metrics
H R
C O
M P
E T E N C
I E S© SABPP HR MANAGEMENT SYSTEM STANDARD MODEL
Ethics in the HR Standards
3.3.1 Position HR as a strategic partner in the risk governance structures
and processes of the organisation.
6.2.4 Ensure fair, ethical and organisational cultural practices focusing on
the achievement of performance targets in a sustainable way.
7.2.2 Deliver a fair & equitable reward system and process that is ethical,
cost effective and sustainable.
7.2.4 Ensure compliance with organisational governance principles and
practices aligned to national and relevant international governance codes
of practice and relevant legislation.
10.3.2 Ethics of interventions is observed.
11.3.7 Provide independent professional oversight, guidance and
consulting with regard to HR policy, strategy and organisational people
practices and ethical values.
National HR Management Standards (2013) SABPP.
Quick test: Ethical decision-making
What are my options and who would be affected by each of these options?
Are these options legal?
Do these options meet my organisation’sand my profession’s ethical standards?
Can a decision to take one of these options be disclosed to my family, to the public?
(Can I tell others what I have done?)
Yes
Yes
Yes
Probably an ethical decision
No STOP
No
No
STOP
STOP
Prof. Leon van Vuuren (Ethics Institute)
Let’s stand together
Let’s do something…
What are YOU prepared to do?
Biggest lesson in ethics
You can get away doing something unethical
over the short term.
But how long will it last? A day, a week, a
month, a year, a few years…
Eventually the truth comes out.
It takes years to build a good reputation and
only a moment to destroy it.
Build and maintain your ethical reputation.
Ethics Management Process …
Develop or revise code of ethics & processes
Build an ethical culture
Integrate ethical
standards
Assess ethics risk and
opportunities
Report & Disclose
Reference: Ethics SA www.ethicssa.org
Do the right thing
Guidelines for HR• Ethical organisation culture
• Explicit values – make alive
• Leaders actively working against fraud,
behaving in an ethical way
• Ethics and anti-fraud orientation and training
• Recognise and reward good ethics
• Communication - publicity
• Put procedures and controls in place
• Take strong action if things go wrong
• Evaluate strengths/gaps of your system
Conclusion
Ethics in business is an important aspect for
board members, managers, HR, industrial
psychologists and employees. Leadership
plays a key role.
We need to infuse ethics into our mindset and
behaviours as individuals, teams and
organisations. I invite HR & IP to become
ethics champions & active citizens. I am proud
to be part of this journey with SIOPSA &
SABPP.
We set HR standards!
professional@sabpp.co.za (Professional Registration)
ethics@sabpp.co.za (Ethical issues/complaints)
hraudit@sabpp.co.za (HR Standards & Audits)
xolani@sabpp.co.za (Operations)
events@sabpp.co.za (Projects/Marketing)
lathasha@sabpp.co.za (Research)
naren@sabpp.co.za (Learning & Quality)
marius@sabpp.co.za (Strategy inputs)
voice@sabpp.co.za (Social media)
Website: www.sabpp.co.za Blog: hrtoday.me
Office: 8 Sherborne Str, Parktown, South Africa
Tel: +27 11 045 5400 Fax: +27 482-4830
Cel: 082 859 3593 (Marius Meyer)
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