Do the right thing

The Institute of Directors is pushing ahead with a consultation on a brand spanking new code of conduct for boardroom leaders. This, the IoD says, could help with occasions when directors “fall short of what society expects” when it comes to ethics and values. Pretty sure there’s no need to mention them but Carillion and BHS left the public a little shocked. The inquiry into decisions made at the Post Office is still ongoing.

The IoD’s director general, Jonathan Geldart, says: “Those at the top may lose touch with what really matters—namely the need to demonstrate exemplary values and integrity in both their business decisions and their personal behaviours.” No disagreement here.

Lord McNicol, leader of the commission that crafted the draft code, says it’s all about the impact of business decision makers. “The role of the director has never been more vital, complex and challenging, Directors make decisions that are fundamental to the success of their organisations, and which have life-changing consequences for their employees, customers and other stakeholders.

“Given the extent of their responsibilities, it is essential that society trusts them to do the right thing.” And, as Sal says in Do the Right Thing: “This ain’t about money…”. Consultation closes on 16 August this year.

The righteous path

Here’s some good news: employees and board members believe their organisations are improving their integrity.

According to research from EY, 49% of more than 5,000 people polled around the world believe their organisation has improved over the past two years. Though Board Agenda wondered why 51% could not say the same.

The main drivers of improvement are increased direction from management (61%); tougher regulation and law enforcement (48%); demand from customers and public (33%) and, behind them, shareholders (26%) and employees (22%).

Andrew Gordon, EY’s integrity leader, says: “High integrity standards are a vital currency for organizations on the global stage—not least because they have such a huge bearing on the extent to which companies are trusted—but they can only be upheld if senior people adhere to them; lead by example; and communicate their importance effectively.”

Home fixture

Last week, it was revealed Manchester United FC are pushing staff to get back in the office and end working from home. This week, we now know which firms are more likely to be relaxed about grafting from your spare room.

A new study shows companies in states with “richer social capital and a sense of trust”, or a corporate culture “focused on innovation” are linked to “more generous working from home policies”.

Now, far be it from Board Agenda to pass judgment on Sir Jim Ratcliffe’s approach to social capital, trust and innovation, but those research findings do make you wonder how next season is going to go.