PILLAR TWO

Perceptions of the Function

PILLAR TWO

Perceptions of the Function

What it is we aim to measure:

Perceived quality and program effectiveness of the ethics and compliance function’s efforts in communicating, training and support. In other words, are your efforts reaching the intended audience? Do they see any of the assets you have deployed or are they languishing some whereon the SharePoint site with no viewers?

Topics covered in the assessment:

Perceived effectiveness and relevancy of the ethics and compliance function’s training efforts
Employee level of understanding of the organization’s code of conduct and policies
The level to which employees understand what’s expected of them

Why it matters:

Measuring employee understanding of the messaging delivered by the ethics and compliance function is an important step towards ﬁguring out what is – and is not – resonating with employees. By measuring whether employees view these resources as effective, organizations can ensure their ethics and compliance function is not only well-designed but also perceived as supportive, relevant, and trustworthy—key factors for maintaining an ethical workplace. These insights can factor into resource plans, communication approach, and prioritization.

What the data says:

Most companies perform well here due to investments in training.

Ethisphere's data shows that:

92%

of employees believe the training on their company’s Code of Conduct was clear and understandable.

88%

of employees believe their company’s other training and communication efforts about ethical responsibilities and conduct are effective.

94%

of employees believe the Code explains what is expected of them as they conduct the company’s business.

PILLAR TWO

Perceptions of the Function

Although these percentages are high, a global company with hundreds of thousands of employees could still have a significant gap. It only takes one unethical employee to cause an issue that could become a reputational disaster.

How Ethisphere clients have used the data/insights:

The demographic analysis can be exceptionally powerful. One area where it is not uncommon to see significant variances is by total length of employment with the organization. For example, in working with one global company, ethical culture assessment results showed that across the organization 95 percent of employees believe the code explains what is expected of them. However, that number dipped to 80 percent with employees who have been with the company for 5 to 7 years. Situations like this beg the question: how is the ethics and compliance function keeping its materials engaging to keep longer tenured employees engaged and receptive to the messaging?

Our data also shows that managers are where employees most often report concerns. As such, these longer-term employees, who are also more likely to be managers, could beneﬁt from a short training course or communication so that they better understand the code of conduct and can educate teams on it as well.

Top Tips for Your Program:

Tailor explanations or training materials to different roles or departments, showing how sections of the Code of Conduct applies directly to their day-to-day responsibilities.

Share examples of how following the Code has helped the company or employees avoid problems and maintain trust, reinforcing its practical value.

Use the demographic analysis to identify where employees may be struggling to understand the company’s standards. Perhaps it is by tenure, or business unit, or newly acquired entity.