Formal Systems
A formal document that outlines an organization's key values, ethical principles, and expectations for employee conduct
Standards of daily behavior that are accepted as appropriate by members of a group
What are norms?
The rewards systems that guide employee behavior by signaling what is valued by the organization
What are incentives?
A short, formal statement describing a company's purpose, values, and overarching ethical priorities
What is a mission statement?
Everyday words, phrases, or jokes shared by employees that reflect company values
What is language?
Employees are more likely to follow formal ethics policies when leadership actions help build this fundamental social bond
What is trust?
Structured sessions and materials designed to teach employees about ethical decision-making and compliance
Repeated activities and practices that communicate what the organization really values
What are rituals?
If formal systems support ethical behavior but informal systems do not, employees are more likely to behave ________
What is unethically?
The formal systems for recruiting and hiring new employees
What are selection systems?
Individuals within the organization whose behavior is emulated by others, often because of their ethical decision-making and actions
What are heroes/role models?
Formal ________ management systems should be designed to hold people accountable for ethical conduct
What is performance?
When one piece of formal culture is lacking, it can cause a ripple effect throughout the entire informal culture. Strong ethical cultures happen when an organization’s formal and informal systems are in this important state, reinforcing each other instead of sending mixed messages.
What is alignment?