They are called the Romance Countries for a reason

By Steve | September 14, 2007

Last week I had the difficult task of conducting leadership training in Milan and Paris. Forget Springtime in Paris, Autumn is the time of year to visit. Blue skies, temperatures in the low 70s, a crispness in the air . . .but I digress.

In Milan and Paris, and earlier this year in Barcelona and Lisbon, I asked a number of mid to senior level leaders how they would respond if they learned that one of their direct reports was having an affair with one of his/her direct reports.

I’ve asked this question the same way all over the world. Not in private conversations—the leaders needed to give an impromptu answer in front of a group of their colleagues. Do you care to predict how leaders in the aptly named Romance Countries responded?

To hold the suspense a little while longer, let’s review the standard American response. Most Americans say that this situation is unacceptable. Many offer an argument that it could lead to issues of sexual harassment. While few use the magic words “hostile work environment,” there are clear echoes in the answers. Others talk about conflict of interest, and note that when a manager is having an affair with a subordinate it is pretty hard to make objective decisions about that subordinate. Some people even mention both harassment and conflict of interest in one answer, earning bonus brownie points.

In the Romance Countries, the first reaction is mild discomfort at being asked the question—moreso from men than from women. After a few seconds of reflection, men and women alike universally give the same answer: “This is a private matter that is none of my business.”

The “hostile work environment” concept not being firmly entrenched here, (and with harassment the explicit subject of another case) I push forward on the other front. “It is now one month later, and an employee comes to you with a problem. ‘I am no longer getting good work assignments,’ she says, ‘my coworker gets them all, and I think it is because she is having an affair with our manager.’”

We can see the lightbulbs going off. But even then, many leaders resist major interference. “I would counsel the manager to be more careful,” says one. “I would start reviewing all major personnel decisions,” says another.” Yet most leaders at this point realize that the situation is untenable, and adjustments to the reporting assignment must be made.

Of all the subject areas of ethics and compliance, conflicts of interest and relationships between the sexes continue to provoke the most divergent responses worldwide. Years of policies, training and media attention have diminished the divergence—a little. But, not surprisingly, the culture of your country still makes “tout le difference.”

Moscow, Russia - Can business be ethical in a country where petty corruption runs rampant?

By Steve | April 16, 2006

100 roubles. There’s no price list, but everybody knows that if a police officer pulls you over in Moscow, that is what you pay to be allowed to proceed without hassles or tickets. Maybe a little more if you are drunk instead of speeding. 100 roubles is about $4 US Dollars.

Continue reading "Moscow, Russia - Can business be ethical in a country where petty corruption runs rampant?" »

Budapest Hungary - Does Ethics Pay?

By Steve | April 12, 2006

Yesterday I teamed with several executives of a multinational to conduct training for their high level employees and important suppliers in Budapest. Many companies have been doing ethics training with employees for years now. Training suppliers is a newer phenomenon, and is fraught with issues: Who are we (the buyer) to teach ethics to other companies? Which suppliers do we train? What happens if they say no?

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ELG was founded in 1993 and has since done work in more than 40 countries with over 25% of the Fortune 200

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This blog contains personal reflections and commentary on corporate responsibility by the consultants of Ethical Leadership Group. It is intended to communicate short, timely items of interest to our clients and colleagues. We look forward to your comments. Please visit our Ethics and Compliance Blog for more general ethics and compliance issues.

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Published Writings by ELG consultants

Climate Change: Tilting at Windmills - the rush on renewables
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Hewlett-Packard and ‘pretexting’ - A rose by any other name
from the website of Ethical Corporation Magazine

Starting to ‘Get’ Responsibility
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Invite Your Lawyers to the Corporate Responsibility Dance
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The Anti-CSR Lobby: House of Straw
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Making the Business Case for the Business Case
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Ethical Reporting and the Law
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Ethical Sourcing – Good News for Industry-wide Initiatives
from the website of Ethical Corporation Magazine

When Mars meets Venus
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Reputation Roulette
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TXU Takeover – How Capitalism is really Turning Green
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Published Writings quoting ELG consultants

Corporate America's Hidden Risks
by Mark Gunther, from Fortune Magazine

Win or Lose in Court
by Bill Baue, from Business Ethics magazine
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