Integrity is a Choice- Tough Decisions in Tough Times
In these difficult economic times, business owners are pressing harder than ever to turn a profit. Competition for clients and customers is difficult, and price has become a major factor in defining value to end users. Slashing the cost of goods and services has quickly become an operating norm, a cost of doing business. While cutting prices attempts to address the issue of income, the other variable is controlling operating costs to compensate. Simply, budgeted margins remain the expectation. With, in theory, the same production to produce a smaller profit, costs need to be cut to make up for the new shortfall in income.
Every manager knows that labor is potentially the biggest cost in any operation, and the ability to manage it effectively plays a huge part in the success or failure of an operation. Engaged, motivated, properly trained employees can be extremely productive, and their value to an organization will increase over time. It is for this reason that many managers, fearful of not hitting budget, goals, or other key performance measures, choose to jeopardize their own position by partaking in wrongful business practices with their labor force. Seemingly simple transactions like not providing overtime pay when applicable or asking workers to clock out while continuing to work to avoid overtime pay is not an option, regardless of how creative the rationale might be. Not providing performance evaluations or fudging them to eliminate possibility of pay increase is a common practice, and can have far-reaching residual influence towards the working environment. Misrepresenting inventory levels, sitting on invoices instead of paying them promptly, and not allowing injured workers to seek medical treatment are other common ways to skew financial results and effectively ruin a management career under the guise of being a good company man or woman.
Part of the temptation to jeopardize one’s own integrity is intrinsic. Managers want to be recognized as top producers, valuable cogs in the machine, or rewarded for outstanding performance. Skewing data used to measure performance is the easiest way to do so. Additionally, pressure is applied to managers to deliver results, and increasingly, managers are choosing to jeopardize their own code of ethics to “get their boss off their back.” Is denying an expense report reimbursement because it is a day late or trying to rescind earned vacation not taken really in the best interests of the company financial statement? If a manager is found to have knowingly done something unethical, the response or explanation never sounds good, and the apology that comes prior to the resignation or termination is along the lines of pleading.
In the interest of doing well by doing right, I offer these few tips to managers that are feeling conflicted:
- Know what is expected of you. Get it straight from your job description, employee handbook, or your boss in orientation. Sure, there are interpretations, but let it be your own, not from someone else.
- Most companies have a vision statement, principles, or both. Know it, live it. Ideally, your own ethics and principles are closely aligned with them.
- Ask questions. We all know about assumptions- ignorance is no defense, and more often than not will not save you or your job.
- Practice the Golden and Platinum Rules. By treating others the way you would like to be treated- and the way they want to be treated- this alone will eliminate a great number of “integrity dilemmas.”
Finally, be humble enough to ask for help when you need it. Traditionally, managers are viewed as experienced oracles that have all the answers, but are often guilty of making something up or taking the path of least resistance. Managers often will not lose their positions because they did not deliver desired results. They are provided coaching, training, and resources to get a handle on the issue/area that needs help. However, many managers have been terminated for lying, cheating, or stealing. Besides- your integrity is the only thing no one can take from you.