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Ethics & Integrity in
service
Abia State…. Ọhā Chukwu!
                    “Abians”:
                     entrepreneurial,
                     known and
                     reputed to be
                     industrious,
                     highly market
                     oriented, very
                     hospitable and
                     accommodating.

            Remi ADESEUN
Abia in the context of Nigeria

                   Population ca.
                    2.8mio
                   Created 1991
                   From the Provinces
                    of:
                     Aba
                     Bende
                     Isikwuato
                     Afikpo
                       South-East
              Remi ADESEUN
                       Niger-Delta!
Nigeria
 Quick Facts (from
  2000-2011) :
   5 Fold Increase in
    GDP (From
    $46bio-$247)
   30% Growth in
    Population (From
    120-160 mio)
   Per Capita Growth
    from $390-$1500

                   Remi ADESEUN
Nigeria
                   Infrastructure
                    Deficit
                   Energy Inadequacy
                        Fragile Security
                        Falling Education
                        Failing Health
                        Poor Human
                         Development
                         Index
          Remi ADESEUN
Nigeria
                   NOT DOING
                    BADLY….FOR
                    THEMSELVES!
                          Nigerian politicians
                           are the highest paid
                           in the world (Richard
                           Dowden)
                          Costliest Laws
                          Honorable?
                           Distinguished?
                           Excellency?
                          Different Rules of
                           Engagement
          Remi ADESEUN    DISCONNECTED!
Nigeria




          Remi ADESEUN
Nigeria




          Remi ADESEUN
Failed states list 2011


 1. Somalia (0)
 2. Chad (0)
 3. Sudan (0)
 4. Democratic Republic of the Congo (+1)
 5. Haiti (+6)
 6. Zimbabwe (-2)
 7. Afghanistan (-1)
 8. Central African Republic (0)
 9. Iraq (-2)
 10. Cote d'Ivoire (+2)
 11. Guinea (-2)
 12. Pakistan (-2)
 13. Yemen (+2)




 14.

 15.
          Nigeria
       Niger (+5)
                                            (0)



 16.   Kenya (-3)
 17.   Burundi (+6)
 18.   Guinea-Bissau (+4)
 19.   Myanmar (-2)
 20.   Ethiopia (-3)
Indicators of state vulnerability

   Social indicators                       Political indicators
       Demographic pressures                 Criminalization and/or
       Massive movement of                       delegitimisation of the
        refugees and internally                   state
        displaced peoples                     Progressive deterioration of
       Legacy of vengeance-                      public services
        seeking group grievance               Widespread violation of
       Chronic and sustained                     human rights
        human flight                          Security apparatus as
                                                  „state within a state‟
   Economic Indicators
                                              Rise of factionalised elites
       Uneven economic
        development along group               Intervention of other states
        lines                                     or external factors
       Sharp and/or severe
        economic decline


                              Remi ADESEUN
Ethics & Integrity in Nigeria….A Call to Action

 To Paraphrase Emeritus Prof.
  O.O.Akinkugbe:
   “The topic we engage today reflects the
    cumulus in our present sky:values upturned,
    integrity short-changed, discipline outraged
    and merit marginalised. A dawn is upon us
    and each „Abian‟ (Nigerian) must make
    some contribution to the total national
    effort”.
     Of Monks & Monkeys-The Wages of Integrity in Nigeria‟s Polity.
      1999. Government College Ibadan 70th Anniversary Lecture
Ethics & Integrity in Nigeria….A Call to Action (2)

 It seems according to President Olusegun Obasanjo that
  “What matters to most Nigerians is the 6 P‟s which are
  pursued at all cost:
   Position
   Power
   Possession
   Plaudit
   Popularity
   Pleasure
 Nothing else matters. With the 6 P‟s he can buy anything
  and buy himself into anything. Honesty is disregarded,
  indolence is extolled, probity is derided, waste and
  ostentation are paraded”
The Importance of Ethics &
Integrity in the Nigerian Context

 “National Ethics” is item 23 in
  Chapter II of the Constitution of the
  Federal Republic of Nigeria 1999.
 Code of Conduct is item 209 under
  section C Part “ (State Executive)
 ..states inter alia: “A Person in the
  Public Service of a State shall observe
  and conform to the “Code of Conduct”
Ethics & Integrity….Many Questions

 What is “Ethics”? “Integrity”?
 How does Ethics contrast with Law?
 Why the Focus on Ethics & Integrity?
 What is the nexus between Ethics,
  Integrity, Leadership & Good
  Governance?
 What is the goal of Good Governance?
What is the Goal of Good Governance?
Nigeria




          Remi ADESEUN
What is the Goal of Good Governance?
Transforming Abia Through…



Ethics & Integrity in
 service
What does ETHICS mean to you?




We are what we repeatedly do. Excellence, then, is not an act, but a habit.
Aristotle
What does ETHICS mean to you?

          “Ethics has to do with what my
           Feelings tell me is right or wrong”
          “Ethics has to do with my Religious
           beliefs”
          “Ethics is doing what the Law
           requires”
          “Ethics is the standard of behaviour
           Society accepts”
We are what we repeatedly do. Excellence, then, is not an act, but a habit.
Aristotle
What is ETHICS?
 Ethics refers to:
   well founded standards of right and
    wrong that prescribe what humans
    ought to do, usually in terms of
    rights, obligations, benefits to
    society, fairness, or specific virtues.
   the study and development of one's
    ethical standards.
How does Ethics contrast with the Law?




Ethics   Ethics is the study of   Law
         right or wrong
                                        Is the collection of
         conduct in situations
                                        rules of conduct
         where there is a
                                        imposed by an
         choice of behavior
                                        authority
         involving human
         values
Relationship between Ethics and the Law
          • With ethics, human values are the primary binding social mediator
          • With law, rules of conduct are the primary binding social mediator
Purpose



          • Societies, communities and people
Target



          • People to live well together
 Goal


          • Ethics governs society‟s moral standards, a realm that the law can‟t always reach
          • The law imposes a specific conduct on society, a realm that ethics can‟t always
Need        reach
Need for ETHICS in Service

 Ethics, Integrity & Good Governance
  are core principles for public service
     Public/Civil Servants make and implement decisions directly
      affecting the citizens
     They conceive policies, conduct negotiations, determine the use of
      resources, and have access to sensitive information
     The Citizens are thus entitled to expect ethical behaviour and
      integrity from them
     The reputation and performance of the Government & its
      institutions depend on these qualities (and in functional systems,
      so also should the political fate of public office holders)
     Hence the need for formal rules and codified principles that
      guarantee the impartiality, discretion and integrity of all those who
      hold public office.
Ethical Principles

  Obligations        Consequences




    Respect             Values
Integrity in Relation to Value Systems & Ethics

 What is Integrity?
   A concept of consistency of actions, values,
    methods, measures, principles, expectations, and
    outcomes.
   A value system may evolve over time while
    retaining integrity provided those who espouse the
    values account for and resolve inconsistencies.
   A Person can be described as having ethical
    integrity to the extent that everything that person
    does or believes (actions, methods, measures &
    principles) all derive from a single core group of
    values.
Integrity in Modern Ethics
 3 key requirements:
   Discerning what is right and what is wrong
   Acting on what you have discerned, even at
     personal cost
   Saying openly that you are acting on well
     founded standards of what is right and what is
     wrong
 Benefits:
   Leads to increased performance for individuals,
     groups, organisations and societies.
   Results in improved quality of life and value-
     creation for all
What is an Ethical Culture?


    An ethical culture is an intangible
       structure of organizing and
   characterizing a group of people to
   constitute a framework influencing
    the behavior of each individual in
                the group
How to Evaluate an Ethical
Culture
 Collect feedback from:
   Front-line employees
   Established confidential or anonymous reporting
    mechanisms
   Human Resources Department
 Evaluate whether:
   Ethical values are properly interpreted, clear and
    working as desired
   A swift and consistent way to deal with ethical
    concerns exists
   Ethical values provide a sense of trust and confidence
    in the public
   Ethical values are enforceable and revisable, or not
Remi ADESEUN


How to Evaluate an
Ethical Culture

• Benchmark with data you
  collect from peer
  institutions
• Perform ethics audits
Influences of Ethical Behavior
 Personal values
 Credible enforcement of ethics violations
 Attitude and behavior of supervisors
 Attitude and behavior of senior
  managers
 Friends and co-workers
 Internal drive to succeed
 Ethics related legislation
 External Incentives e.g. Mo Ibrahim Award
Pressures that Compromise
 Following boss‟s directive
 Meeting aggressive financial
  objectives
 Helping the organization survive
 Meeting scheduled pressures
 Wanting to be a team player
 Saving jobs
Pressures continued
   Advancing boss‟s career interest
   Rationalizing that others do it
   Feeling peer pressure
   Resisting competitive threats
   Advancing own career interests
Why Ethical Lapses Occur
 The “Bad Apple”
   Corrupt Individual; Eliminate
 The “Bad Barrel”
   Organisational/Societal Culture; Overhaul, Commit to
     adequate personal integrity
 Competitive Pressures
   Short-term focus, unsustainable
 Opportunity Pressures
   Temptation; the greater the reward or the smaller
     the penalty, the greater the probability of unethical
     conduct
 Globalisation of Business
   Negative cultural “cross-pollination”
What is a Conflict of
Interest?

  A conflict of interest is a situation where a public
      office holder exploits relationships with the
institution for personal financial or other gain, which
     may compromise or have the appearance of
 compromising professional judgment when making
decisions or influencing the decisions of other public
                     office holders.
Types of Conflicts of
Interest

    TANGIBLE              INTANGIBLE

                          The personal gain is
   The personal gain is
                          professional or non-
    financial/material
                                material
Potential Conflicts of
Interest
 Conflict of effort or conflict of obligation is when
  work time is spent on a secondary personal activity
 Conflict of conscience is when personal, political, or
  religious views influence objectivity
 Political conflict of interest is when one responds
  positively to an idea/proposal/person because it
  represents or is presented by a person/party with
  whom one is politically affiliated, or where one may
  act to delay/prevent access or opportunity of a
  competitor's idea/proposal in order to strengthen
  the public office holder‟s preferred political group‟s
  chances
Potential Conflicts of
Interest
 Using institutional facilities, resources or time for
  personal gain and/or activities for which one is paid
  by anyone other than the employer, except when
  such activities have been approved in compliance
  with institutional policies and procedures
 Accepting or soliciting any gift, hospitality, favor,
  service, benefit, or monetary award that one should
  reasonably know is offered to influence decisions or
  actions (bribes, kickbacks, etc)
 Doing personal business with the institution,
  employees or trustees, or their immediate family
  members or business partners
Potential Conflicts of
Interest
 Participating in the hiring of or having
  supervisory authority over a family member
  or a relative
 Accepting additional employment which
  competes or conflicts with one‟s primary
  duties
 Excessively browsing the web, participating
  in social media, or participating in
  entertainment or leisure activities during
  official time and for reasons not related to
  official duties
Potential Conflicts of
Interest
 Accepting compensation for referring
  employees to vendors
 Reselling materials received as part of one‟s
  role in the organisation
 Engaging in a sexual or amorous relationship
  with someone over which one has supervisory,
  decision-making, advising, and other
  evaluative responsibilities
 sharing inside information, falsifying records,
  defrauding customers, obstructing an
  investigation
Priority Areas for Ethics in Society

   Government
   Business
   Media
   Arts & Entertainment
   Education
   Health
   Religion
Best Practices
Ethical Framework

 Responsibility     Transparency




  Accountability      Fairness
Tackling the issue

   Establish an Ethics and Governance Policy for the MDA
   Publish the Policy, along with a Code of Conduct for the
    employees.
    Communicate the policy widely and repeatedly.
   Encourage dialogue and challenge,
   Come down hard on the cynics.
   Set the example from the top;
   Circulate the policy amongst customers and suppliers.
   Establish an Ethics Hotline which is secure, confidential and
    available to all employees.
   Take swift and fair action on reported violations, after due
    verification.
   Review the policy at regular intervals, to make sure it stays
    current with changing requirements.
Establishing Ethical Standards
   The Utilitarian Principle
     The greatest good for the greatest number
   Kant‟s Categorical Imperative
     Universal Law or Rule of Behaviour
   The Professional Ethic
     Will a disinterested group of Pros agree?
   The “Golden” Rule
     Treat others the way you want to be treated
   The Television Test
     Would you comfortably explain your action on TV?
   The Family Test
     Would you comfortably explain your action to your parents, spouse
        & kids?
   The “Red Face” Test
     Would you be ashamed if you were found out?
Maintaining Ethical Standards
 Create a Credo/Statement of Values
 Develop a Code of Ethics
 Enforce the Code Fairly & Consistently
 Hire the Right People
 Conduct Ethics Training
 Perform Periodic Ethics Audit
 Establish High Standards of Behaviour, not just
  rules
 Set an Impeccable Ethical Example at all times
 Create a 2-way Communication Culture
 Involve Employees in Establishing Ethical Standards
The Naked Truth: Transparency Is Key


 “…clarity and transparency
 promote better behaviour. People
 think twice about what they are
 doing if the naked truth is staring
 them – and the rest of the world –
 in the face.”
Accountability
   Appoint MDA Compliance Officer
   Internal MDA Audit Team
   Exco Responsible
   Exco Level Audit Sub-Committee
   Training
Code of Conduct
 An outline of responsibilities of or
  best practice for an individual or the
  organization
 Set of principles of good
  organisational behavior adopted by
  the MDA
 Nigerian Ministers Code of Conduct
CODE OF ETHICS FOR
GOVERNMENT SERVICE
 Any person in Government
  service should:
   1. Put loyalty to the highest moral principals and to country above loyalty to Government
    persons, party, or department.
   2. Uphold the Constitution, laws, and legal regulations and of all governments therein and
    never be a party to their evasion.
   3. Give a full day's labor for a full day's pay; giving to the performance of his duties his
    earnest effort and best thought.
   4. Seek to find and employ more efficient and economical ways of getting tasks accomplished.
   5. Never discriminate unfairly by the dispensing of special favors or privileges to anyone,
    whether for remuneration or not; and never accept for himself or his family, favors or benefits
    under circumstances which might be construed by reasonable persons as influencing the
    performance of his governmental duties.
   6. Make no private promises of any kind binding upon the duties of office, since a Government
    employee has no private word which can be binding on public duty.
   7. Engage in no business with the Government, either directly or indirectly which is
    inconsistent with the conscientious performance of his governmental duties.
   8. Never use any information coming to him confidentially in the performance of governmental
    duties as a means for making private profit.
   9. Expose corruption wherever discovered.
   10. Uphold these principles, ever conscious that public office is a public trust.
Training and Communication
 Ethics and Integrity
  1.   New employee orientation
  2.   Policy and/or employee handbook
  3.   Periodic discussions in meetings
  4.   Formal annual communication
  5.   Performance reviews
  6.   Employee hotline
Whistle-blower Act
 A whistleblower is an employee, former
  employee, or member of an organization,
  especially a business or government agency,
  who reports misconduct to people or entities
  that have the power and presumed
  willingness to take corrective action.
 Generally the misconduct is a violation of
  law, rule, regulation and/or a direct threat to
  public interest -- fraud, health, safety
  violations, and corruption are just a few
  examples
Discipline
 The punishment should fit the crime
 Unintentional
   Write-up
   Impact on performance review
 Deliberate
   Termination
In the Final Analysis …

 EFFECTIVE LEADERSHIP..
   IS
     Synonymous with Good Governance
     Needed to turn Nigeria‟s Economic Growth into
      Inclusive and Sustainable Development of its
      People & Society
     Needed to Bridge The Disconnect between the
      Rulers and the People, and thus save the Nation
      from an avoidable life of misery and costly revolt.
     Built on Values and Character
     Built on a Solid Foundation of Ethics & Integrity
Conclusion
 Establishing & Maintaining High Ethical and
  Socially Responsible Standards must be a
  Priority for Leaders to be able to deliver the
  “dividends of democracy” i.e.

 Leaders must be aware of and committed to
  enthroning conditions and structures that are
  favourable to the development of integrity and
  ethical behaviour
 Leaders must recognise the key role they play
  in influencing the people‟s ethical behaviour.
  The Leaders‟ actions speak louder than words.
Ethics in Crisis Management
Keys issues in Crisis Management
 the nature of organizational crisis

 how to manage through it

 and the role of ethics in confronting
  one of the most difficult experiences
  an organization can face.
Ethics in Crisis Management




 …where something has publicly gone
  wrong and the world is watching!
Crisis Timelines
 Sometimes crisis is contained and
  manageable, winding to its conclusion
  in relatively short order.
 At other times, the crisis is deep,
  long-lasting and existential.
Types of Crisis
 sudden, abrupt events that make
  headlines

 the long smoldering, cumulative kind
  that has its roots in ongoing ne-
  glect, carelessness, or
  procrastination.
Examples of Crisis
 Hurricane Katrina       President Yar
 Gulf Oil Spill           Adua Illness
 Ikeja Cantonment        Global Financial
  Bomb Explosion           Crisis
 Plane Crash             US Govt Debt
 ABSU Gang Rape           Default
 Abia “Backloading       Post-Election Riots
  of Non Indigenes”
                          Fuel Subsidy
 Withholding of           Removal Riots
  Statutory Allocation
Challenges of Crisis
Management
 Guiding the organisation through the
  storm with its reputation intact.
 As events unfold, dealing/confronted
  with
    surprising facts
    unanticipated developments
    frustrating challenges to the
     organization‟s integrity and the values
     that guide it
 Remi ADESEUN
Dimensions of organizational crises
 On the surface,
   operational issues, legal entanglements
    or public relations challenges.
 Looking deeper,
   character and ethics – who we are and
    what we stand for.
   Almost every question and every
    decision will have an ethics component.
   Outsiders (and many insiders, too) will
    view the crisis with an ethics scorecard
    and ask “did they do the right thing?”
Getting it Right
 examine the issue of crisis response
  and the role of ethics in preparing for
  crisis,
 managing through the turmoil,
 recovering once the danger is
  resolved.
Comfort..
 With proper preparation and effective
  response, crises can be overcome and
  may even change organizations for the
  better
 Crisis-initiated adjustments, such as
  more acute risk management or new
  cohesiveness among employees, may
  leave an organisation better positioned
  at the end of a crisis than at the
  beginning.
Organisational response to crisis
 – in terms of the standards and
  values that guide decision-making
 – can be thoughtfully considered
  before calamity strikes.
Leadership is key
 An effective leader of a crisis team is equipped
  to:
   Honestly evaluate the facts of the situation
   Recognize the core values of the
     organization as they relate to decisions
     being made by the team
   Remain independent from the crisis (if
     possible)
   „ Manage emotions
   Make high-level decisions
   Provide leadership for the group
The Stages of Crisis Management
   Detection
   Preparation
   Containment/Damage Control
   Learning/Understanding
   Recovering




Remi ADESEUN
Where does Ethics fit in?

 Crisis is a test of character; who we
  are gets magnifed before a global
  audience.
 Crisis management is fundamentally
  about ethics and whether the
  organisation’s response demonstrates
  that it is guided by the right set of
  values.
Where does Ethics fit in?
 choosing between right and wrong.
 pledge to “do the right thing.”
 But when the crisis team faces specifc
  decision points, identifying the “right
  thing” is often a complex challenge
  that involves sorting out conficting
  responsibilities to a wide range of
  stakeholders.
6 Critical Questions in Crisis Management
 1. The Crisis Team: Is There Somebody in the
  Room Who Will Uphold the Organisation‟s Values?
 2. Do We Have the Right Values to Guide us in
  Crisis?
 3. What Values Will our Stakeholders Expect us to
  Honor in a Crisis?
 4. How Will Our People and Culture React to Crisis?
 5. How Will We Know When We‟ve Recovered From
  Crisis?
 6. Have we established Trust with External
  Audiences?
1) The Crisis Team: Is There Somebody in the
Room Who Will Uphold the Organisation‟s Values?


   A. How confident are we that the people identifed as our crisis
    team are well- versed in our ethics standards, and adequately
    trained to resist the pressures to compromise our values?
   B. Can one or more members of the team assess changing
    conditions on an objective basis and apply our values in
    responding?
   C. Do we have sufficient resources if our Crisis Team needs an
    independent perspective about a decision involving our core
    values?
2. Do we have the Right Values to
Guide us in a Crisis?
A. Will we be proud of our core values if we have
   to publicly defend them during a crisis? Will
   any of our values cast us in a poor light if
   something goes wrong?
B. How would we want our crisis team to
   prioritize of our values when faced with a
   difcult decision?
C. To what extent does our current code of
   conduct provide enough guidance to answer
   questions that will emerge throughout a crisis?
Example of Values
   RODOT VISION:
   To be the preferred provider of products,services and solutions
    to clients in our chosen spheres of endeavour.
   RODOT MISSION:
   To commit our internal resources and external alliances
    towards contributing positively to our clients sucess and
    delight.
   CORE VALUES:
   Creative and Quality Oriented
   People-valuing Company
   Learning Company
   Ethical Company
   Team based high performance
   Friendly work environment
3. What Values will our Stakeholders
expect us to honour in a crisis?
 Who are your Stakeholders? What is their
  order of precedence?
     Indigenes
     Residents
     Civil Servants
     Political Party
     Other Tiers of Government
     Vendors/Suppliers/Contractors
     Neighbours
     Media
     NGOs and other Special Interest Groups
     Members of the Public-at-large
3. What Values will our Stakeholders
expect us to honour in a crisis?
A. Who are the stakeholders who will be
   important to us, if crisis should occur?
B. What values do our stakeholders expect us
   to employ in a crisis situation? To what
   extent are those values in line with our
   priorities?
C. Are there any stakeholder groups that should
   receive a copy of our values statement now,
   so that in a time of crisis we have earned
   credibility as having a set of standards to
   guide our decisions?
4. How will our People and Culture
React to the Crisis?
A. To what extent do our people have
   confidence in the leadership and
   believe that our organisation will live
   up to its stated values in a time of
   crisis?
B. How do we want our culture to react to
   a crisis?
C. Based on what we know of our culture
   now, how will it actually react?
5. How will we know we have
recovered from crisis?
 A. What metrics do we currently use to
  gauge the well-being of our organisation
  and its reputation?
 B. What additional metrics will we need to
  give us an indication of our organisation‟s
  recovery if crisis ensues?
 C. After a crisis is over, how can we
  improve our organization‟s crisis response?
 D. How can our organization help ensure
  that this problem doesn‟t happen again?
5. How will we know we have
recovered from crisis?
 Peoples trust in leadership
 Strong ethical culture
 Supplier & vendor confidence in the
  organisation‟s integrity
 People‟s trust in organisation‟s image
 Respect from peers and informed observers for
  the crisis response
6. Have we established Trust with
External Audiences
A. To what extent have we publicly established a reputation of
   having a set of core values that guide our policy decisions?
B. What are we doing now to demonstrate our commitment to
   integrity among public officials, regulators and enforcement
   agencies?
C. What efforts are underway to establish credibility among our
   other external audiences?
 Communities where we operate
 NGOs and interest groups
 Customers
 Shareholders
 Peers/Neighbours
 Members of the press
6. Have we established Trust with
External Audiences
      “We wouldn’t have survived [our crisis] if we
    didn’t have that love and loyalty [of our
    employees and customers]. And it stems, in
    some measure, from our heritage as a good
    corporate citizen. So for us…our past behavior
    was like money in the bank. It gave us a
    reservoir of goodwill that we could draw upon
    in our hour of need.”
Recommended Action Steps..(1)
 1. Establish/Review Core Values
 2. Conduct periodic ethics training for
  persons identifed to serve on a crisis
  team
 3. Conduct a comprehensive
  stakeholder review.
 4. Review crisis communications plans
  and outline ethics-related messages
Recommended Action Steps..(2)
 5. Conduct a culture assessment
 6. Make systematic “deposits in the
  credibility bank.”
 7. Conduct an objective post-mortem.
 8. Have additional resources “on the
  ready.”
Abia State Government Action
Steps
   1
   2
   3
   4
   5
   6
   7
   8
Summary
 Crises and crisis management have many
  dimensions
 When problems arise, survival demands
  strong performance in many areas.
 “Communicate, Communicate,
  Communicate.”
 Where applicable, apply „the Three As‟ –
  Acknowledge, Apologize, Act.”
 Take ownership and fix the problem
  because something went wrong!
Conclusion
   The key success factor throughout a crisis is ethical behavior
       openness to the truth
       acceptance of responsibility
       commitment to setting things right

   Companies with ethical cultures, beginning with strong tone at the top,
    fare better in day to day operations and during crisis.
       Their employees are more loyal, and more willing to go the extra mile to get
        their job done.
       Potential problems are identifed sooner and reported up the line, which
        helps avert crisis in the frst place and helps resolve them more efficiently
        when they do arise.

   The number one priority is for Leaders to insist on ethical cultures.
       Ask the key questions outlined above,
       Find vulnerabilities, and make sure they get fixed.
       If the Leaders can do that, the organisation will be better prepared should
        crisis strike.
Thank You!


Contact Information:
Remi ADESEUN

Chairman

Rodot Group

.Healthcare

.Architecture

.Consulting

+234 8057713769

r.adeseun@rodot.org

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Ethics and Integrity in Service-A Presentation made to the Abia State Executive Council at a Leadership Programme under the auspices of Alpha Institute for Research in Science, Economics and Development.

  • 1. Ethics & Integrity in service
  • 2. Abia State…. Ọhā Chukwu!  “Abians”: entrepreneurial, known and reputed to be industrious, highly market oriented, very hospitable and accommodating. Remi ADESEUN
  • 3. Abia in the context of Nigeria  Population ca. 2.8mio  Created 1991  From the Provinces of:  Aba  Bende  Isikwuato  Afikpo  South-East Remi ADESEUN  Niger-Delta!
  • 4. Nigeria  Quick Facts (from 2000-2011) :  5 Fold Increase in GDP (From $46bio-$247)  30% Growth in Population (From 120-160 mio)  Per Capita Growth from $390-$1500 Remi ADESEUN
  • 5. Nigeria  Infrastructure Deficit  Energy Inadequacy  Fragile Security  Falling Education  Failing Health  Poor Human Development Index Remi ADESEUN
  • 6. Nigeria  NOT DOING BADLY….FOR THEMSELVES!  Nigerian politicians are the highest paid in the world (Richard Dowden)  Costliest Laws  Honorable? Distinguished? Excellency?  Different Rules of Engagement Remi ADESEUN  DISCONNECTED!
  • 7. Nigeria Remi ADESEUN
  • 8. Nigeria Remi ADESEUN
  • 9. Failed states list 2011 1. Somalia (0) 2. Chad (0) 3. Sudan (0) 4. Democratic Republic of the Congo (+1) 5. Haiti (+6) 6. Zimbabwe (-2) 7. Afghanistan (-1) 8. Central African Republic (0) 9. Iraq (-2) 10. Cote d'Ivoire (+2) 11. Guinea (-2) 12. Pakistan (-2) 13. Yemen (+2) 14. 15. Nigeria Niger (+5) (0) 16. Kenya (-3) 17. Burundi (+6) 18. Guinea-Bissau (+4) 19. Myanmar (-2) 20. Ethiopia (-3)
  • 10. Indicators of state vulnerability  Social indicators  Political indicators  Demographic pressures  Criminalization and/or  Massive movement of delegitimisation of the refugees and internally state displaced peoples  Progressive deterioration of  Legacy of vengeance- public services seeking group grievance  Widespread violation of  Chronic and sustained human rights human flight  Security apparatus as „state within a state‟  Economic Indicators  Rise of factionalised elites  Uneven economic development along group  Intervention of other states lines or external factors  Sharp and/or severe economic decline Remi ADESEUN
  • 11. Ethics & Integrity in Nigeria….A Call to Action  To Paraphrase Emeritus Prof. O.O.Akinkugbe:  “The topic we engage today reflects the cumulus in our present sky:values upturned, integrity short-changed, discipline outraged and merit marginalised. A dawn is upon us and each „Abian‟ (Nigerian) must make some contribution to the total national effort”.  Of Monks & Monkeys-The Wages of Integrity in Nigeria‟s Polity. 1999. Government College Ibadan 70th Anniversary Lecture
  • 12. Ethics & Integrity in Nigeria….A Call to Action (2)  It seems according to President Olusegun Obasanjo that “What matters to most Nigerians is the 6 P‟s which are pursued at all cost:  Position  Power  Possession  Plaudit  Popularity  Pleasure  Nothing else matters. With the 6 P‟s he can buy anything and buy himself into anything. Honesty is disregarded, indolence is extolled, probity is derided, waste and ostentation are paraded”
  • 13. The Importance of Ethics & Integrity in the Nigerian Context  “National Ethics” is item 23 in Chapter II of the Constitution of the Federal Republic of Nigeria 1999.  Code of Conduct is item 209 under section C Part “ (State Executive)  ..states inter alia: “A Person in the Public Service of a State shall observe and conform to the “Code of Conduct”
  • 14. Ethics & Integrity….Many Questions  What is “Ethics”? “Integrity”?  How does Ethics contrast with Law?  Why the Focus on Ethics & Integrity?  What is the nexus between Ethics, Integrity, Leadership & Good Governance?  What is the goal of Good Governance?
  • 15. What is the Goal of Good Governance?
  • 16. Nigeria Remi ADESEUN
  • 17. What is the Goal of Good Governance?
  • 18. Transforming Abia Through… Ethics & Integrity in service
  • 19. What does ETHICS mean to you? We are what we repeatedly do. Excellence, then, is not an act, but a habit. Aristotle
  • 20. What does ETHICS mean to you?  “Ethics has to do with what my Feelings tell me is right or wrong”  “Ethics has to do with my Religious beliefs”  “Ethics is doing what the Law requires”  “Ethics is the standard of behaviour Society accepts” We are what we repeatedly do. Excellence, then, is not an act, but a habit. Aristotle
  • 21. What is ETHICS?  Ethics refers to:  well founded standards of right and wrong that prescribe what humans ought to do, usually in terms of rights, obligations, benefits to society, fairness, or specific virtues.  the study and development of one's ethical standards.
  • 22. How does Ethics contrast with the Law? Ethics Ethics is the study of Law right or wrong Is the collection of conduct in situations rules of conduct where there is a imposed by an choice of behavior authority involving human values
  • 23. Relationship between Ethics and the Law • With ethics, human values are the primary binding social mediator • With law, rules of conduct are the primary binding social mediator Purpose • Societies, communities and people Target • People to live well together Goal • Ethics governs society‟s moral standards, a realm that the law can‟t always reach • The law imposes a specific conduct on society, a realm that ethics can‟t always Need reach
  • 24. Need for ETHICS in Service  Ethics, Integrity & Good Governance are core principles for public service  Public/Civil Servants make and implement decisions directly affecting the citizens  They conceive policies, conduct negotiations, determine the use of resources, and have access to sensitive information  The Citizens are thus entitled to expect ethical behaviour and integrity from them  The reputation and performance of the Government & its institutions depend on these qualities (and in functional systems, so also should the political fate of public office holders)  Hence the need for formal rules and codified principles that guarantee the impartiality, discretion and integrity of all those who hold public office.
  • 25. Ethical Principles Obligations Consequences Respect Values
  • 26. Integrity in Relation to Value Systems & Ethics  What is Integrity?  A concept of consistency of actions, values, methods, measures, principles, expectations, and outcomes.  A value system may evolve over time while retaining integrity provided those who espouse the values account for and resolve inconsistencies.  A Person can be described as having ethical integrity to the extent that everything that person does or believes (actions, methods, measures & principles) all derive from a single core group of values.
  • 27. Integrity in Modern Ethics  3 key requirements:  Discerning what is right and what is wrong  Acting on what you have discerned, even at personal cost  Saying openly that you are acting on well founded standards of what is right and what is wrong  Benefits:  Leads to increased performance for individuals, groups, organisations and societies.  Results in improved quality of life and value- creation for all
  • 28. What is an Ethical Culture? An ethical culture is an intangible structure of organizing and characterizing a group of people to constitute a framework influencing the behavior of each individual in the group
  • 29. How to Evaluate an Ethical Culture  Collect feedback from:  Front-line employees  Established confidential or anonymous reporting mechanisms  Human Resources Department  Evaluate whether:  Ethical values are properly interpreted, clear and working as desired  A swift and consistent way to deal with ethical concerns exists  Ethical values provide a sense of trust and confidence in the public  Ethical values are enforceable and revisable, or not
  • 30. Remi ADESEUN How to Evaluate an Ethical Culture • Benchmark with data you collect from peer institutions • Perform ethics audits
  • 31. Influences of Ethical Behavior  Personal values  Credible enforcement of ethics violations  Attitude and behavior of supervisors  Attitude and behavior of senior managers  Friends and co-workers  Internal drive to succeed  Ethics related legislation  External Incentives e.g. Mo Ibrahim Award
  • 32. Pressures that Compromise  Following boss‟s directive  Meeting aggressive financial objectives  Helping the organization survive  Meeting scheduled pressures  Wanting to be a team player  Saving jobs
  • 33. Pressures continued  Advancing boss‟s career interest  Rationalizing that others do it  Feeling peer pressure  Resisting competitive threats  Advancing own career interests
  • 34. Why Ethical Lapses Occur  The “Bad Apple”  Corrupt Individual; Eliminate  The “Bad Barrel”  Organisational/Societal Culture; Overhaul, Commit to adequate personal integrity  Competitive Pressures  Short-term focus, unsustainable  Opportunity Pressures  Temptation; the greater the reward or the smaller the penalty, the greater the probability of unethical conduct  Globalisation of Business  Negative cultural “cross-pollination”
  • 35. What is a Conflict of Interest? A conflict of interest is a situation where a public office holder exploits relationships with the institution for personal financial or other gain, which may compromise or have the appearance of compromising professional judgment when making decisions or influencing the decisions of other public office holders.
  • 36. Types of Conflicts of Interest TANGIBLE INTANGIBLE The personal gain is The personal gain is professional or non- financial/material material
  • 37. Potential Conflicts of Interest  Conflict of effort or conflict of obligation is when work time is spent on a secondary personal activity  Conflict of conscience is when personal, political, or religious views influence objectivity  Political conflict of interest is when one responds positively to an idea/proposal/person because it represents or is presented by a person/party with whom one is politically affiliated, or where one may act to delay/prevent access or opportunity of a competitor's idea/proposal in order to strengthen the public office holder‟s preferred political group‟s chances
  • 38. Potential Conflicts of Interest  Using institutional facilities, resources or time for personal gain and/or activities for which one is paid by anyone other than the employer, except when such activities have been approved in compliance with institutional policies and procedures  Accepting or soliciting any gift, hospitality, favor, service, benefit, or monetary award that one should reasonably know is offered to influence decisions or actions (bribes, kickbacks, etc)  Doing personal business with the institution, employees or trustees, or their immediate family members or business partners
  • 39. Potential Conflicts of Interest  Participating in the hiring of or having supervisory authority over a family member or a relative  Accepting additional employment which competes or conflicts with one‟s primary duties  Excessively browsing the web, participating in social media, or participating in entertainment or leisure activities during official time and for reasons not related to official duties
  • 40. Potential Conflicts of Interest  Accepting compensation for referring employees to vendors  Reselling materials received as part of one‟s role in the organisation  Engaging in a sexual or amorous relationship with someone over which one has supervisory, decision-making, advising, and other evaluative responsibilities  sharing inside information, falsifying records, defrauding customers, obstructing an investigation
  • 41. Priority Areas for Ethics in Society  Government  Business  Media  Arts & Entertainment  Education  Health  Religion
  • 43. Ethical Framework Responsibility Transparency Accountability Fairness
  • 44. Tackling the issue  Establish an Ethics and Governance Policy for the MDA  Publish the Policy, along with a Code of Conduct for the employees. Communicate the policy widely and repeatedly.  Encourage dialogue and challenge,  Come down hard on the cynics.  Set the example from the top;  Circulate the policy amongst customers and suppliers.  Establish an Ethics Hotline which is secure, confidential and available to all employees.  Take swift and fair action on reported violations, after due verification.  Review the policy at regular intervals, to make sure it stays current with changing requirements.
  • 45. Establishing Ethical Standards  The Utilitarian Principle  The greatest good for the greatest number  Kant‟s Categorical Imperative  Universal Law or Rule of Behaviour  The Professional Ethic  Will a disinterested group of Pros agree?  The “Golden” Rule  Treat others the way you want to be treated  The Television Test  Would you comfortably explain your action on TV?  The Family Test  Would you comfortably explain your action to your parents, spouse & kids?  The “Red Face” Test  Would you be ashamed if you were found out?
  • 46. Maintaining Ethical Standards  Create a Credo/Statement of Values  Develop a Code of Ethics  Enforce the Code Fairly & Consistently  Hire the Right People  Conduct Ethics Training  Perform Periodic Ethics Audit  Establish High Standards of Behaviour, not just rules  Set an Impeccable Ethical Example at all times  Create a 2-way Communication Culture  Involve Employees in Establishing Ethical Standards
  • 47. The Naked Truth: Transparency Is Key “…clarity and transparency promote better behaviour. People think twice about what they are doing if the naked truth is staring them – and the rest of the world – in the face.”
  • 48. Accountability  Appoint MDA Compliance Officer  Internal MDA Audit Team  Exco Responsible  Exco Level Audit Sub-Committee  Training
  • 49. Code of Conduct  An outline of responsibilities of or best practice for an individual or the organization  Set of principles of good organisational behavior adopted by the MDA  Nigerian Ministers Code of Conduct
  • 50. CODE OF ETHICS FOR GOVERNMENT SERVICE  Any person in Government service should:  1. Put loyalty to the highest moral principals and to country above loyalty to Government persons, party, or department.  2. Uphold the Constitution, laws, and legal regulations and of all governments therein and never be a party to their evasion.  3. Give a full day's labor for a full day's pay; giving to the performance of his duties his earnest effort and best thought.  4. Seek to find and employ more efficient and economical ways of getting tasks accomplished.  5. Never discriminate unfairly by the dispensing of special favors or privileges to anyone, whether for remuneration or not; and never accept for himself or his family, favors or benefits under circumstances which might be construed by reasonable persons as influencing the performance of his governmental duties.  6. Make no private promises of any kind binding upon the duties of office, since a Government employee has no private word which can be binding on public duty.  7. Engage in no business with the Government, either directly or indirectly which is inconsistent with the conscientious performance of his governmental duties.  8. Never use any information coming to him confidentially in the performance of governmental duties as a means for making private profit.  9. Expose corruption wherever discovered.  10. Uphold these principles, ever conscious that public office is a public trust.
  • 51. Training and Communication  Ethics and Integrity 1. New employee orientation 2. Policy and/or employee handbook 3. Periodic discussions in meetings 4. Formal annual communication 5. Performance reviews 6. Employee hotline
  • 52. Whistle-blower Act  A whistleblower is an employee, former employee, or member of an organization, especially a business or government agency, who reports misconduct to people or entities that have the power and presumed willingness to take corrective action.  Generally the misconduct is a violation of law, rule, regulation and/or a direct threat to public interest -- fraud, health, safety violations, and corruption are just a few examples
  • 53. Discipline  The punishment should fit the crime  Unintentional  Write-up  Impact on performance review  Deliberate  Termination
  • 54. In the Final Analysis …  EFFECTIVE LEADERSHIP..  IS  Synonymous with Good Governance  Needed to turn Nigeria‟s Economic Growth into Inclusive and Sustainable Development of its People & Society  Needed to Bridge The Disconnect between the Rulers and the People, and thus save the Nation from an avoidable life of misery and costly revolt.  Built on Values and Character  Built on a Solid Foundation of Ethics & Integrity
  • 55. Conclusion  Establishing & Maintaining High Ethical and Socially Responsible Standards must be a Priority for Leaders to be able to deliver the “dividends of democracy” i.e.  Leaders must be aware of and committed to enthroning conditions and structures that are favourable to the development of integrity and ethical behaviour  Leaders must recognise the key role they play in influencing the people‟s ethical behaviour. The Leaders‟ actions speak louder than words.
  • 56. Ethics in Crisis Management
  • 57. Keys issues in Crisis Management  the nature of organizational crisis  how to manage through it  and the role of ethics in confronting one of the most difficult experiences an organization can face.
  • 58. Ethics in Crisis Management  …where something has publicly gone wrong and the world is watching!
  • 59. Crisis Timelines  Sometimes crisis is contained and manageable, winding to its conclusion in relatively short order.  At other times, the crisis is deep, long-lasting and existential.
  • 60. Types of Crisis  sudden, abrupt events that make headlines  the long smoldering, cumulative kind that has its roots in ongoing ne- glect, carelessness, or procrastination.
  • 61. Examples of Crisis  Hurricane Katrina  President Yar  Gulf Oil Spill Adua Illness  Ikeja Cantonment  Global Financial Bomb Explosion Crisis  Plane Crash  US Govt Debt  ABSU Gang Rape Default  Abia “Backloading  Post-Election Riots of Non Indigenes”  Fuel Subsidy  Withholding of Removal Riots Statutory Allocation
  • 62. Challenges of Crisis Management  Guiding the organisation through the storm with its reputation intact.  As events unfold, dealing/confronted with  surprising facts  unanticipated developments  frustrating challenges to the organization‟s integrity and the values that guide it Remi ADESEUN
  • 63. Dimensions of organizational crises  On the surface,  operational issues, legal entanglements or public relations challenges.  Looking deeper,  character and ethics – who we are and what we stand for.  Almost every question and every decision will have an ethics component.  Outsiders (and many insiders, too) will view the crisis with an ethics scorecard and ask “did they do the right thing?”
  • 64. Getting it Right  examine the issue of crisis response and the role of ethics in preparing for crisis,  managing through the turmoil,  recovering once the danger is resolved.
  • 65. Comfort..  With proper preparation and effective response, crises can be overcome and may even change organizations for the better  Crisis-initiated adjustments, such as more acute risk management or new cohesiveness among employees, may leave an organisation better positioned at the end of a crisis than at the beginning.
  • 66. Organisational response to crisis  – in terms of the standards and values that guide decision-making  – can be thoughtfully considered before calamity strikes.
  • 67. Leadership is key  An effective leader of a crisis team is equipped to:  Honestly evaluate the facts of the situation  Recognize the core values of the organization as they relate to decisions being made by the team  Remain independent from the crisis (if possible)  „ Manage emotions  Make high-level decisions  Provide leadership for the group
  • 68. The Stages of Crisis Management  Detection  Preparation  Containment/Damage Control  Learning/Understanding  Recovering Remi ADESEUN
  • 69. Where does Ethics fit in?  Crisis is a test of character; who we are gets magnifed before a global audience.  Crisis management is fundamentally about ethics and whether the organisation’s response demonstrates that it is guided by the right set of values.
  • 70. Where does Ethics fit in?  choosing between right and wrong.  pledge to “do the right thing.”  But when the crisis team faces specifc decision points, identifying the “right thing” is often a complex challenge that involves sorting out conficting responsibilities to a wide range of stakeholders.
  • 71. 6 Critical Questions in Crisis Management  1. The Crisis Team: Is There Somebody in the Room Who Will Uphold the Organisation‟s Values?  2. Do We Have the Right Values to Guide us in Crisis?  3. What Values Will our Stakeholders Expect us to Honor in a Crisis?  4. How Will Our People and Culture React to Crisis?  5. How Will We Know When We‟ve Recovered From Crisis?  6. Have we established Trust with External Audiences?
  • 72. 1) The Crisis Team: Is There Somebody in the Room Who Will Uphold the Organisation‟s Values?  A. How confident are we that the people identifed as our crisis team are well- versed in our ethics standards, and adequately trained to resist the pressures to compromise our values?  B. Can one or more members of the team assess changing conditions on an objective basis and apply our values in responding?  C. Do we have sufficient resources if our Crisis Team needs an independent perspective about a decision involving our core values?
  • 73. 2. Do we have the Right Values to Guide us in a Crisis? A. Will we be proud of our core values if we have to publicly defend them during a crisis? Will any of our values cast us in a poor light if something goes wrong? B. How would we want our crisis team to prioritize of our values when faced with a difcult decision? C. To what extent does our current code of conduct provide enough guidance to answer questions that will emerge throughout a crisis?
  • 74. Example of Values  RODOT VISION:  To be the preferred provider of products,services and solutions to clients in our chosen spheres of endeavour.  RODOT MISSION:  To commit our internal resources and external alliances towards contributing positively to our clients sucess and delight.  CORE VALUES:  Creative and Quality Oriented  People-valuing Company  Learning Company  Ethical Company  Team based high performance  Friendly work environment
  • 75. 3. What Values will our Stakeholders expect us to honour in a crisis?  Who are your Stakeholders? What is their order of precedence?  Indigenes  Residents  Civil Servants  Political Party  Other Tiers of Government  Vendors/Suppliers/Contractors  Neighbours  Media  NGOs and other Special Interest Groups  Members of the Public-at-large
  • 76. 3. What Values will our Stakeholders expect us to honour in a crisis? A. Who are the stakeholders who will be important to us, if crisis should occur? B. What values do our stakeholders expect us to employ in a crisis situation? To what extent are those values in line with our priorities? C. Are there any stakeholder groups that should receive a copy of our values statement now, so that in a time of crisis we have earned credibility as having a set of standards to guide our decisions?
  • 77. 4. How will our People and Culture React to the Crisis? A. To what extent do our people have confidence in the leadership and believe that our organisation will live up to its stated values in a time of crisis? B. How do we want our culture to react to a crisis? C. Based on what we know of our culture now, how will it actually react?
  • 78. 5. How will we know we have recovered from crisis?  A. What metrics do we currently use to gauge the well-being of our organisation and its reputation?  B. What additional metrics will we need to give us an indication of our organisation‟s recovery if crisis ensues?  C. After a crisis is over, how can we improve our organization‟s crisis response?  D. How can our organization help ensure that this problem doesn‟t happen again?
  • 79. 5. How will we know we have recovered from crisis?  Peoples trust in leadership  Strong ethical culture  Supplier & vendor confidence in the organisation‟s integrity  People‟s trust in organisation‟s image  Respect from peers and informed observers for the crisis response
  • 80. 6. Have we established Trust with External Audiences A. To what extent have we publicly established a reputation of having a set of core values that guide our policy decisions? B. What are we doing now to demonstrate our commitment to integrity among public officials, regulators and enforcement agencies? C. What efforts are underway to establish credibility among our other external audiences?  Communities where we operate  NGOs and interest groups  Customers  Shareholders  Peers/Neighbours  Members of the press
  • 81. 6. Have we established Trust with External Audiences  “We wouldn’t have survived [our crisis] if we didn’t have that love and loyalty [of our employees and customers]. And it stems, in some measure, from our heritage as a good corporate citizen. So for us…our past behavior was like money in the bank. It gave us a reservoir of goodwill that we could draw upon in our hour of need.”
  • 82. Recommended Action Steps..(1)  1. Establish/Review Core Values  2. Conduct periodic ethics training for persons identifed to serve on a crisis team  3. Conduct a comprehensive stakeholder review.  4. Review crisis communications plans and outline ethics-related messages
  • 83. Recommended Action Steps..(2)  5. Conduct a culture assessment  6. Make systematic “deposits in the credibility bank.”  7. Conduct an objective post-mortem.  8. Have additional resources “on the ready.”
  • 84. Abia State Government Action Steps  1  2  3  4  5  6  7  8
  • 85. Summary  Crises and crisis management have many dimensions  When problems arise, survival demands strong performance in many areas.  “Communicate, Communicate, Communicate.”  Where applicable, apply „the Three As‟ – Acknowledge, Apologize, Act.”  Take ownership and fix the problem because something went wrong!
  • 86. Conclusion  The key success factor throughout a crisis is ethical behavior  openness to the truth  acceptance of responsibility  commitment to setting things right  Companies with ethical cultures, beginning with strong tone at the top, fare better in day to day operations and during crisis.  Their employees are more loyal, and more willing to go the extra mile to get their job done.  Potential problems are identifed sooner and reported up the line, which helps avert crisis in the frst place and helps resolve them more efficiently when they do arise.  The number one priority is for Leaders to insist on ethical cultures.  Ask the key questions outlined above,  Find vulnerabilities, and make sure they get fixed.  If the Leaders can do that, the organisation will be better prepared should crisis strike.
  • 87. Thank You! Contact Information: Remi ADESEUN Chairman Rodot Group .Healthcare .Architecture .Consulting +234 8057713769 r.adeseun@rodot.org

Notes de l'éditeur

  1. GDP growth, especially in developing countries, often signifies little in terms of human life and well-being.#Human Development Index is a comparative measure of life expectancy, literacy, education, and standards of living for countries worldwide. It is a standard means of measuring well-being, especially child welfare. It is used to distinguish whether the country is a developed,developing, or under-developed country, and also to measure the impact of economic policies on quality of life. The index was developed in 1990 by Pakistani economist MahbubulHaq. Countries (almost all UN member states and a couple of special territories) fall into three broad categories based on their HDI: high, medium, and low human development. Nigeria is 25 of 50 African Countries (Medium HDI).Perhaps, one issue that most analysts gloss over or find it convenient to ignore but which has implications for Nigeria’s systemic competitiveness is the Failed States Index (FSI). Unfortunately, the world and investors do not ignore it.In 2005 when the FSI was first published, Nigeria ranked 54th in the world. The following year, 2006, its rank worsened to 22nd most failed state in the world. In 2009, it had worsened to 15th position and in 2010 and 2011, we have been rated the 14th most failed state in the world. A look at the list of the worst 35 countries (countries on red alert--- see appendix table 2 for the 2011 result) makes you take a long deep breath. (List of the worst 20 in 2011 in descending order of failure include: Somalia, Chad, Sudan, Democratic Republic of Congo, Haiti, Zimbabwe, Afghanistan, Central African Republic, Iraq, Cote d’Ivoire, Guinea, Pakistan, Yemen, Nigeria, Niger, Kenya, Burundi, Myanmar, Guinea-Bissau, Ethiopia). Even Liberia (ranked 26) and Sierra Leone (ranked 30) are far better. Angola, another African oil producer improved from 43rd in 2005 to 52ndin 2011. I still cannot find any other oil producing country whose ranking worsened during the period. Sadly, it is evident that Nigeria takes the first position as the country with the highest speed of deterioration between 2005 and 2011.
  2. The Inter-Parliamentary Union, a Geneva, Switzerland-based group, says every parliament should be representative, transparent, accessible, accountable and effective. But the lawmakers that peopled the nation’s legislative assemblies nationwide lacked any of the five characteristics. The National Assembly instituted in June 2007, very much like those of 1999-2003 and 2003-2007, opted for class interest, completely detached itself from the electorate and failed to provide the required checks and balances in a presidential system. To sustain their jumbo pay, the National Assembly members ensured that year in year out, Appropriation Bills were sufficiently padded to guarantee sufficient funds for their luxury – a factor largely responsible for the current stalemate over Budget 2011. On November 28, 2010, at Igbinedion University, Okada, Edo State, the Central Bank of Nigeria Governor, LamidoSanusi, revealed that 25 per cent of the Federal Government’s expenditure on overheads is consumed by the unproductive parliament. A Senior Advocate of Nigeria, Prof. ItseSagay, provided facts and figures on the ridiculous salaries and allowances of the federal lawmakers. According to him, “In 2009, a senator earned N240 million [$1.7 million] in salaries and allowances, while his House of Representatives counterpart earned N203 million [$1.45 million.” In sharp contrast, a United States senator earns $174,000 per annum, while a British parliamentarian earns $64,000. It mattered little to Nigeria’s lawmakers that the National Minimum Wage since 2003 was N7, 500 per month at the federal level and N5, 500 per month in the states. They were unconcerned that over 70 per cent of Nigeria’s population live below the poverty line, on less than N300 a day, and that some 15 million Nigerian children of school age are unable to receive formal education because their parents are very poor. 
  3. The disconnect is so bad that the people no longer care!Their key areas of concern over the next 12 months are the supply of electricity and unemployment, with between 19-23% citing these as concerns; while crime (5%) and corruption (3.5%) are seen as far less concerning.Yet 75% of middle-class Nigerians are optimistic about the future of Nigeria. This is not surprising although it has nothing to do do with the people’s faith in government. On the contrary, it hasmore to do with faith in God. 96% of Nigerians surveyed consider themselves religious and the 3rd most cited reason for optimism about the future of Nigeria is that “God will make it better”!
  4. The Inter-Parliamentary Union, a Geneva, Switzerland-based group, says every parliament should be representative, transparent, accessible, accountable and effective. But the lawmakers that peopled the nation’s legislative assemblies nationwide lacked any of the five characteristics. The National Assembly instituted in June 2007, very much like those of 1999-2003 and 2003-2007, opted for class interest, completely detached itself from the electorate and failed to provide the required checks and balances in a presidential system. To sustain their jumbo pay, the National Assembly members ensured that year in year out, Appropriation Bills were sufficiently padded to guarantee sufficient funds for their luxury – a factor largely responsible for the current stalemate over Budget 2011. On November 28, 2010, at Igbinedion University, Okada, Edo State, the Central Bank of Nigeria Governor, LamidoSanusi, revealed that 25 per cent of the Federal Government’s expenditure on overheads is consumed by the unproductive parliament. A Senior Advocate of Nigeria, Prof. ItseSagay, provided facts and figures on the ridiculous salaries and allowances of the federal lawmakers. According to him, “In 2009, a senator earned N240 million [$1.7 million] in salaries and allowances, while his House of Representatives counterpart earned N203 million [$1.45 million.” In sharp contrast, a United States senator earns $174,000 per annum, while a British parliamentarian earns $64,000. It mattered little to Nigeria’s lawmakers that the National Minimum Wage since 2003 was N7, 500 per month at the federal level and N5, 500 per month in the states. They were unconcerned that over 70 per cent of Nigeria’s population live below the poverty line, on less than N300 a day, and that some 15 million Nigerian children of school age are unable to receive formal education because their parents are very poor. 
  5. 177 states were included in the list, of which 35 were classified as "alert", 88 as "warning", 40 as "moderate", 11 as "sustainable". The worst 20 states are shown below. Change in rank from 2010 is shown in parentheses. There was a tie between Myanmar and Guinea Bissau for 18th. [34]Failed States IndexSee also: List of countries by Failed States IndexSince 2005 the United States think-tank Fund for Peace and the magazine Foreign Policy, publishes an annual index called the Failed States Index. The list only assesses sovereign states (determined by membership in the United Nations.)[5] Several territories are excluded until their political status and UN membership is ratified in international law. For example, Taiwan, the Palestinian Territories, Northern Cyprus,Kosovo, and Western Sahara are not included in the list, even though some are recognized as sovereign states by some nations. Ranking is based on the total scores of the 12 indicators (see below.) For each indicator, the ratings are placed on a scale of 0 to 10, with 0 being the lowest intensity (most stable) and 10 being the highest intensity (least stable). The total score is the sum of the 12 indicators and is on a scale of 0-120.[5][edit]Indicators of state vulnerabilityThe index's ranks are based on twelve indicators of state vulnerability - four social, two economic and six political.[6] The indicators are not designed to forecast when states may experience violence or collapse. Instead, they are meant to measure a state's vulnerability to collapse or conflict. All countries in the red (Alert, FSI of 90 or more), orange (Warning, FSI of 60 or more), or yellow (Moderate, FSI of 30 or more) categories display some features that make parts of their societies and institutions vulnerable to failure. Some in the yellow zone may be failing at a faster rate than those in the more dangerous orange or red zones, and therefore could experience violence sooner. Conversely, some in the red zone, though critical, may exhibit some positive signs of recovery or be deteriorating slowly, giving them time to adopt mitigating strategies.[5][edit]Social indicatorsDemographic pressures: including the pressures deriving from high population density relative to food supply and other life-sustaining resources. The pressure from a population's settlement patterns and physical settings, including border disputes, ownership or occupancy of land, access to transportation outlets, control of religious or historical sites, and proximity to environmental hazards.[7]Massive movement of refugees and internally displaced peoples: forced uprooting of large communities as a result of random or targeted violence and/or repression, causing food shortages, disease, lack of clean water, land competition, and turmoil that can spiral into larger humanitarian and security problems, both within and between countries.[8]Legacy of vengeance-seeking group grievance: based on recent or past injustices, which could date back centuries. Including atrocities committed with impunity against communal groups and/or specific groups singled out by state authorities, or by dominant groups, for persecution or repression. Institutionalized political exclusion. Public scapegoating of groups believed to have acquired wealth, status or power as evidenced in the emergence of "hate" radio, pamphleteering and stereotypical or nationalistic political rhetoric.[9]Chronic and sustained human flight: both the "brain drain" of professionals, intellectuals and political dissidents and voluntary emigration of "the middle class." Growth of exile/expatriate communities are also used as part of this indicator.[10][edit]Economic indicatorsUneven economic development along group lines: determined by group-based inequality, or perceived inequality, in education, jobs, and economic status. Also measured by group-based poverty levels, infant mortality rates, education levels.[11]Sharp and/or severe economic decline: measured by a progressive economic decline of the society as a whole (using: per capita income, GNP, debt, child mortality rates, poverty levels, business failures.) A sudden drop in commodity prices, trade revenue, foreign investment or debt payments. Collapse or devaluation of the national currency and a growth of hidden economies, including the drug trade, smuggling, and capital flight. Failure of the state to pay salaries of government employees and armed forces or to meet other financial obligations to its citizens, such as pension payments.[12][edit]Political indicatorsCriminalization and/or delegitimisation of the state: endemic corruption or profiteering by ruling elites and resistance to transparency, accountability and political representation. Includes any widespread loss of popular confidence in state institutions and processes.[13]Progressive deterioration of public services: a disappearance of basic state functions that serve the people, including failure to protect citizens from terrorism and violence and to provide essential services, such as health, education, sanitation, public transportation. Also using the state apparatus for agencies that serve the ruling elites, such as the security forces, presidential staff, central bank, diplomatic service, customs and collection agencies.[14]Widespread violation of human rights: an emergence of authoritarian, dictatorial or military rule in which constitutional and democratic institutions and processes are suspended or manipulated. Outbreaks of politically inspired (as opposed to criminal) violence against innocent civilians. A rising number of political prisoners or dissidents who are denied due process consistent with international norms and practices. Any widespread abuse of legal, political and social rights, including those of individuals, groups or cultural institutions (e.g., harassment of the press, politicization of the judiciary, internal use of military for political ends, public repression of political opponents, religious or cultural persecution.)[15]Security apparatus as ‘state within a state’: an emergence of elite or praetorian guards that operate with impunity. Emergence of state-sponsored or state-supported private militias that terrorize political opponents, suspected "enemies," or civilians seen to be sympathetic to the opposition. An "army within an army" that serves the interests of the dominant military or political clique. Emergence of rival militias, guerilla forces or private armies in an armed struggle or protracted violent campaigns against state security forces.[16]Rise of factionalised elites: a fragmentation of ruling elites and state institutions along group lines. Use of aggressive nationalistic rhetoric by ruling elites, especially destructive forms of communal irredentism or communal solidarity (e.g., "ethnic cleansing", "defending the faith").[17]Intervention of other states or external factors: military or Paramilitary engagement in the internal affairs of the state at risk by outside armies, states, identity groups or entities that affect the internal balance of power or resolution of the conflict. Intervention by donors, especially if there is a tendency towards over-dependence on foreign aid or peacekeeping missions.[18]
  6. Establish an Ethics and Governance Policy for the company, through discussions within thesenior management team; benchmark it with the policies of best-practice organisations. Write itout in plain, easy to understand language.Publish the Policy, along with a Code of Conduct for the employees. Illustrate the codewith typical examples of what the employee should do, when faced with day-to-day ethicaldilemmas. In other words, demystify official jargon, and make the policy user-friendly.Communicate the policy widely and repeatedly. Start all meetings with a slide on it; holdrefresher training programmes; get all employees to sign; and make it part of the newemployee orientation.Encourage dialogue and challenge, in order to improve understanding and "ownership" ofthe policy at an individual level.Come down hard on the cynics.Set the example from the top; practice the policy consistently and visibly. This is critical,the ultimate fate of the policy depends on this.Circulate the policy amongst customers and suppliers. This will make it easier for theemployees to follow the policy.Establish an Ethics Hotline which is secure, confidential and available to all employees.Someone senior should handle this hotline, with direct reporting to the CEO; alternatively, itcould be the CEO's office itself.Take swift and fair action on reported violations, after due verification.Review the policy at regular intervals, to make sure it stays current with changingregulatory and market requirements.
  7. Sarbanes-Oxley is An Act to protect investors by improving the accuracy and reliability of corporate disclosures made pursuant to the securities laws, and for other purposes.
  8. crisis is contained and manageable, winding to its conclusion in relatively short order. (UK Riots, Post-election Riots, epidemics, floods, Chile Mines Collapse)Other times, the crisis is deep, long-lasting and existential. (eg Global Financial Crisis)
  9. In some instances, an organisation may even grow in public esteem if it takes ownership of a problem and acts decisively to resolve it. By contrast, organisations that deny problems, try to shift blame, or just seem confused in their response compound their crisis by adding self-inficted damage, especially in the early stages when public attention is the keenest.
  10. Whatever the roots, crises tend to unfold in predictable stages – from denial to anger to blame shifing to acceptance – even as we struggle to fnd a fix. With proper preparation and effective response, crises can be overcome and may even change organizations for the better.
  11. At its most basic level, ethics can be defined as choosing between right and wrong. Organisations in crisis may begin their response with a pledge to “do the right thing.” But when the crisis team faces specifc decision points, identifying the “right thing” is ofen a complex challenge that in- volves sorting out conficting responsibilities to a wide range of stakeholders.e.g. US Govt decision to target for killing its own citizen Al-Awalaki
  12. Ethics pertains to situations where “the right thing to do” is in question, and the outcome of the decision afects other people. Because everyanswer in a crisis has an impact on others, every question is at least partly about ethics. Organisational Leaders can play a decisive role by resolving key ethics questions or, at least, setting the parameters for management.And, it’s a good idea for a board to address these questions in advance – in a calm environment rather than amid the turmoil and time pressure that can dominate when a crisis hits.Presumably, the organisation has a crisis plan and has generally identifed the core team that will take day-to-day responsibility for managing a crisis. Organisations shouldidentify in advance competent professionals from core functions such as communications/information, legal and human resources when assembling the team. But crisis situations add a level of stress and public pressure that is ofen unmatched by other challenges. Team members also must be prepared to apply the organisation’s core value and act as ethicists in a pressure cooker environment. Ethics and values may fall to the wayside unless members of the crisis team have the mindset, personal character and training to bring ethics into the discussion.To avoid problems, organisational leaders should encourage the establishment of a crisis team that can focus to the big picture and draw individual team members out of functional silos, so that the impact of decisions can be considered in a larger context.
  13. Values come to the fore in crisis when they can guide responses and help defne priorities. For example, what’s most important -- shareholder expectations or service to customers? In a crisis, will the company emphasize problem solving or limiting legal liability? If a crisis reduces proftability will the company care more about maintaining jobs or cutting costs? How will we choose when stakeholders have clashing interests?
  14. Many voices emerge – some loudly – when a crisis unfolds. It is essential for a crisis team to know which stakeholder groups are most important, so that they can weigh carefully the impact of their decisions on each group. When troublesurfaces, many interest groups will have a stake.An organisation in crisis will want to live up to its stakeholders’ expectations and honor their interests. These groups have tied their own future to the organisation. They have a stake and the way the crisis plays out has implications for them.Recognising that stakeholders may have competing interest and conflicting views about values that should guide the organisation’s decisions, Leaders can set the stage for crisismanagement by considering stakeholder expectations. Answering the broad questions on the next slide can guide response to the stakeholder views that will come up during a crisis.
  15. In a crisis, confdent employees can be anorganisation’s best advocates; dissatisfed or distrustful employees, however, can be the worst enemy. The growing power of social media and text messaging, which provides a platform for employees to share their perspective with a wide audience, greatly amplifes employees’ impact, and creates both opportunity and risk.In preparing for crisis, therefore, leaders should ask how the organisation’s people will respond. One important aspect of that discussion is the prevailing culture. In organisations with strong ethical cultures, employees are more likely to rally behind their leaders because of their confdence that the organization aims to do things the right way – following the right values and working hard to serve customers and other stakeholders. e.g. the japanese.
  16. Recovering from crisis is a lengthy process. Determining when reputational recovery is complete is as much an art as science, but there are some important signs. From an ethics perspective, these can include those listed above.Before a crisis, boards and senior executives should consider the indicators of company health under normal circumstances, and the most important metrics that should be monitored during and afer a crisis occurs.Like it or not, organisations in crisis also may have to consider how their decisions affect the rest of society because crises can lead to new laws, tighter regulations, and greater public scrutiny for all. Yet these situations can also be an opportunity to position an organisation as a leader of learning; helping to educate peers, legislators, policymakers and the future leaders of the organisation.
  17. The odds of successful management of a crisis increase when an organization has built a foundation of trustamong external groups who will, at the least, listen with an open mind when problems arise. Participation in community events, supporting local organizations, and establishing working relationships with civic leaders as a normal part of doing business can open doors during a crisis. Leaders should insist that such activities take place regularly. Organisations should also develop trusting relationships with customers, partners, vendors, suppliers, etc.While a company cannot expect third parties to act as apologists, building a reputation for ethical performance may earn an organization the beneft of the doubt. An organization with a reservoir of good will is likely to be accorded a bit more time to correct the problem in a crisis. When a company lacks that foundation, key audiences are more likely to view it with skepticism and even assume it has acted improperly. While the ultimateoutcome will depend on the way an organisation responds to the crisis itself, the leaders can pre-position it by building a firewall of credibility.
  18. A crisis will necessarily require real-time analysis that accounts for specifc circumstances. But taking the time to establish priorities beforehand provides the basis for smart thinking later.The following should be undertaken as soon as possible, before a crisis:1. Establish/Review Core values. Be sure that the values you expect to govern daily organisational conduct will also guide your crisis team during a difcult time. Test understanding of the values to be sure that they will shed a positive light on the organisation when they are held up as a yardstick to measure your company response to crisis.2. Conduct periodic ethics training for employees identifed to serve on a crisis team. Members of the crisis team should receive specialized training on the ethicsquestions that come up during crisis (in addition to regular training provided by the organisation to all employees). This special training should address ways to make ethical decisions while under extreme pressure, and it should highlight the resourcesavailable to the crisis team if they are in need of an independent perspective. This training should be conducted periodically so that team members are very familiar with the core values of the organisation and how they apply to crisis management.3. Conduct a comprehensive stakeholder review. Most efforts to assess perspectives of organisational ethics and compliance focus on leaders, senior managers and employees. Customers, vendors and suppliers also have strong perceptions of an organisation’s ethics, and these views should be ascertained now while the organisation is not in crisis. Additionally, gather information about the values that stakeholders expect will guide the organisation’s response to crisis.4. Review crisis communications plans and outline ethics-related messages. When stakeholders and employees understand how the values of an organization factor into policy decisions, they are more likely to accept the outcome of diffcult decisions and trust the decision-maker. Crisis communications are opportunetimes for spokespeople to highlight the ways that the core values of the organization are important to decision-making, but most spokespeople are not immediately prepared to articulate values in this context. Crisis communications plans should outline key messages that incorporate organizational values, so that spokespeoplehave a ready reference to utilize.
  19. 5.Conduct a culture assessment. Te best way to understand how employees will react to a crisis is to understand your organisation’s culture during normal circumstances, and the extent to which they feel valued and supported by the organization. To what extent do people perceive leaders as models of integrity? How comfortable areemployees in raising bad news? To what extent do the values of the organization really matter in daily business? Surveys of employee attitudes and focus groups also can be valuable in identifying how employees expect their peers will react to sudden change, and the best mechanisms for showing support to employees during difficult circumstances. 6. Make systematic “deposits in the credibility bank.” Build relationships with key external audiences, including elected officials, civic groups, community leaders,and the media, as well as direct stakeholders. By living out core values through good governance and helping enhance your communities, you demonstrate that you live your values, not just talk about that. These deposits in the credibility bank can pay important dividends in a crisis or other distruptive event in the form of good will. When an organisation has good standingin the community, external groups will be more likely to wish it well and support it during a crisis. Even gaining the neutrality of a group that might otherwise be a critic can be invaluable.7. Plan to be a thought leader if crisis occurs.It is essential to establish a process for a thoughtful post-mortem – not to assign blame, but to learn from the past and move forward efectively. Looking back on crisis, determining what caused it, how the organisation managed the crisis, how to avoid a repeat, and sharing the lessons with others can enable an organisation to beneft from the turmoil. Recovery cannot be truly complete until a post-mortem that helps the organisation learn. Organisations should plan external activity from launching a new communication campaign to sharing lessons learned from the crises with industry peers. 8. Have additional resources “on the ready.” Identify the resources that should be prepared to assist the crisis team. Ensure that crisis team is aware of these resources and their capabilities. Some additional resources that should be considered include the ethics/compliance office, communications department, outside counsel, and/or a public relations expert.