Integrity and Ethics: Building Integrity in Workplace Tulasi Sharan Sigdel Director of Studies, NASC 2/16/2019

Session objectives Explain concept of integrity and ethics Analyze issues of transparency and accountability in public sector Analyze the factors influencing integrity Identify integrity building measures 2/16/2019

Contents Integrity and ethics: Foundation of leadership Transparency and accountability in public sector Factors influencing integrity and ethics Integrity building techniques 2/16/2019

What is integrity? Integrity is knowing right things to do and doing the right things Integrity is not an absolute notion that you either have or totally lack. Such a black or white approach would, yet again, render the notion meaningless since no institution is without some blemish or occasional rule that requires bending. It is an ability to create problem solving alternatives with respect to legal provisions and not compromising with integrity values. 2/16/2019

Philosophical approaches Utilitarian approach Rights approach Fairness or justice approach 2/16/2019

Ethical Landscape Source: Carol W. Lewis 2/16/2019

Why fail in integrity building? The context problem in picture! 2/16/2019 Source: Matt Andrews; Limits of institutional reform in development

Ethical Competence: 3 Elements Ability to identify and name an integrity problem Knowledge of the legislation, codes, standards related to the problem Able to identify the solution 2/16/2019

Characteristics of ‘Toxic Leader’ VS ‘Integrity Builder’ 2/16/2019

Core Characteristics of Toxic Leader 1. Commitment to public interest 2. Incorruptibility 4. Experimentation 3. Consistency of goal 6. Institutional intelligence 5. Competence 2/16/2019

Core Characteristics of Popular and Self-serving Leader 1. Commitment to public interest 2. Incorruptibility 4. Experimentation 3. Consistency of goal 6. Institutional intelligence 5. Competence 2/16/2019

Core Characteristics of Integrity Builder 1. Commitment to public interest 2. Incorruptibility 4. Experimentation 3. Consistency of goal 6. Institutional intelligence 5. Competence 2/16/2019

Video An offer that they can not refuse 2/16/2019

Horizontal and Vertical accountability Executive Civil service/public sector Legislature Oversight Institutions Citizens Diagonal Vertical 2/16/2019

What do we do in everyday life? Integrity: Viable Options 3 5 Loyalty Exit Voice 2 1 4 Organize 6 Source: Albert O. Hirshman 2/16/2019

What is integrity? I = a (A+C+E ) – C I-integrity A- accountability C- competence E- ethics C- corruption 2/16/2019

Why integrity problems arises? Discrepancy between… A contract and actual execution Policy and implementation Entitlements and access 2/16/2019

The roots of integrity In a case, Nurturing a high-integrity culture, Jean Francois Manzoni writes: Organization, that employ lasting success in terms of both performance and integrity, have developed a strong and positive organizational culture that nurtures its employees. Changing organization culture requires modifying the common way of thinking The first step for quest for integrity is basic compliance dimension. While this is necessary condition but not sufficient. 2/16/2019

Cont.… High integrity entails more than respecting rules and regulations; it implies “doing the right things” for the organization Building trust and trustworthiness Eg: why should I pay tax? How does my government make the best use of money I paid? 2/16/2019

Cont… “Breakdowns” of Integrity Fear Need?/Greed How do these two things shape employee’s behaviour in organization? How does it paralyzes organization’s culture? 2/16/2019

Let’s see some evidences? Some inserts from the reports from GoN 2/16/2019

2/16/2019 PPMO report 2074

2/16/2019

2/16/2019

स्रोत: महालेखा परीक्षकको प्रतिवेदन २०७३ 2/16/2019

Some Photos: Crushing stones Gavin-ware wall 2/16/2019

Extracting stones Crushing stones Road 2/16/2019

2/16/2019

Integrity versus Compliance Reactive Proactive Integrity versus Compliance Compliance training Integrity testing Zero tolerance policy Code of Conduct Business Collective Action Supplier “white lists” Rewards to whistle-blowers Integrity Pact Medium return, Medium risk Community Integrity Building Multi-stakeholder initiatives with oversight Integrity as competitive differentiator Holistic/step change High return, High risk Ethics advice center Ethics officer Code of Ethics Compliance-plus ethics Low return, Low risk Whistle-blower hotline Whistle-blower protection Supplier “black lists” Low return, Low risk Compliance Integrity Adopted form Integrity Action

Integrity versus Compliance Reactive Proactive Integrity versus Compliance Community Integrity Building Multi-stakeholder initiatives with oversight Integrity as competitive differentiator Holistic/step change High return, High risk Compliance training Integrity testing Zero tolerance policy Code of Conduct Business Collective Action Supplier “white lists” Rewards to whistle-blowers Integrity Pact Medium return, Medium risk Ethics advice center Ethics officer Code of Ethics Compliance-plus ethics Low return, Low risk Whistle-blower hotline Whistle-blower protection Supplier “black lists” Low return, Low risk Compliance Integrity Adopted from Integrity Action

Factors affecting Integrity… Executive as an Individual Internal/ Organizational External Environment Family Influences Policies, Code of conduct Government regulations Religious / Cultural values Behaviour of leaders, supervisors, peers and subordinates Norms and values of politics – political behaviour Personal standards, and needs Organisational culture Ethical climate of society- social values and norms My Choice Ethical Behaviour 2/16/2019

Why integrity matters in leadership? For both legal and social approval of actions Building trust and trustworthiness Maintaining equality, justice and fairness Gain social/public respect Satisfying the ‘self’ 2/16/2019

Thank You ! Have a good day ! 2/16/2019