What levers can a “Chief Ethics Officer” pull to make a company behave in an ethical manner? Is the position performative, i.e. does it exist to fulfill a need to appear ethical versus as a forcing function for the company to act ethically?

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To be effective, a Chief Ethics Officer has to play a role in driving integrity throughout the culture of a company..."appearances" only have some temporary, short term benefit at best, people see right through that kind of thing quickly. Frankly, a company needs to be run by leaders who are all, in their way, chief ethics officers, in their way -- if leadership isn't bought in, having one Chief Ethics Officer doesn't mean much. Levers? Communication...a pulpit from which the ethics officer can talk openly as a leader to the entire company about what integrity means, and why it matters.

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Thanks for the answer, Rob. Looking forward to seeing the type of work coming from your position at AirBnB.

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As a follow-up, are there a set of criteria within AirBnB that are deemed “ethical?” And if so, what happens if the company is violating one of the criterium? Is this an advisory position, for example do you make recommendations and suggestions to stop the unethical behavior? Or do you have the power to stop actions, including revenue-producing actions, that violate a defined ethical principle?

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Very cool, thanks for this insight!

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As long as the choice is between ‘ethics’ and ‘revenue’... I know what will win

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I don't think it's a choice -- as long as you are operating with foresight (beyond hitting a quarterly number), I think that integrity is aligned with revenue, and maybe even a driver of revenue.

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Additional Posts in Ethics In Business

I’ve long disliked the term ethics. Definitions of ethics all refer to morals. Morals are very personal and vary a lot from person to person, culture to culture. Law is how we as a society express our preferences and impose rules and restrictions on ourselves. So the question should never be about whether companies can be ethical. What does that mean? One person thinks eating meat is unethical, another thinks it’s perfectly ethical. Companies should focus on complying with the law.

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How do you thoughtfully instill ethics with leadership and have that trickle down to the rest of the organization?

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Do you think capitalism is compatible with a sense of ethics, or is another system better suited for it?

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I’m a VC in SF and have been spending a majority of my time helping companies navigate the uncertain terrain ahead. I am able to address obvious concerns around fund raising and pivot strategies , yet there are many questions I am struggling to answer regarding PPP eligibility and this one. . “ Is there a way to ethically lay off employees?”

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Companies are not people... despite prevailing law. Why do we pretend they will behave ethically?

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Does the ambit and application of ethics vary per the rank and profile of an employee in the organization? For instance what would be an ethical take on the Amazon VP quitting over virus firings?

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Ethics is a topic in computer engineering that I have had to dance around. In a federal capacity with a security clearance ethics didn't mean anything.

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From what I understand, ethics is separate from legal. Legal violations have consequences, ethical violations don’t. What’s the point of ethics if there are no consequences? Sure when it’s convenient to be ethnical, everyone will be. It only matters when it’s not convenient. So should there be ethics set up with consequences like loss of job that applies evenly for everyone in the company including the CEO? Should their be financial consequences set up for smaller violations?

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Lots of great discussion this afternoon...there are few objectively "right" answers in this area, and I'm impressed that everyone on the forum engages in vigorous but respectful debate.

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Question. Court case reveals a security breach of an associate. Should the firm be notified?

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Just wondering if anyone here has reported someone to Ethics, had the illegal or unethical behavior of the person been substantiated and STILL be retaliated by their company. Also please state if you followed the reporting policy and if your company has a non-retaliation policy

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I feel like we talk a lot about ethics in business from a liberal standpoint - but what if that Colorado baker just really didn't want to make a cake for a gay wedding because they don't believe in equal marriage?

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Ethics are a glorified way to protect companies from liability. Change my mind.

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How do you justify the ethicality of Airbnbs often accelerating gentrification and housing inequity in many cities? Do you weigh it against the GDP brought in by travel?

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Hi everyone, wanted to come back and talk about the work environment at the Washington Redskins/Football Club -- the Washington Post story was pretty jaw dropping. One troubling angle was the use of NDAs to stifle victims. NDAs have for too long enabled bad behavior to continue, and it's time companies pledged to stop using NDAs in settlements with victims -- the coverup is worse than the bad acts. I think Warren torpedoed Bloomberg's campaign due to his use of NDAs. Thoughts?

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