Ethical Leadership Development: Global Principles

By Linda Fisher Thornton

Beyond complying with laws and regulations, what should C-Suite leaders be doing about ethical leadership and responsible business practices? CEOs, CLOs, CHROs and other C-Suite leaders should be working together to ensure that every leader is doing business responsibly and ethically. But what does “doing business responsibly and ethically” look like in today’s global economy? In our interconnected working world, where each economy affects all others around the world, ethical business practices need to be thought about more broadly than ever before.

Trust and confidence sustain free markets and ethical business practices provide the basis for such trust and confidence.
The Caux Roundtable: Moral Capitalism for a Better World, Principles for Responsible Business

Leaders need to learn about the Global “Principles for Responsible Business” that are the current best thinking about ethical business practices. The Principles “are the product of collaboration between executives from Europe, Japan, and the United States… The Principles are recognized by many as the most comprehensive statement of responsible business practice ever formulated by business leaders, for business leaders.” (Caux Round Table: About)

The self-interested pursuit of profit, with no concern for other stakeholders, will ultimately lead to business failure and, at times, to counterproductive regulation. Consequently, business leaders must always assert ethical leadership so as to protect the foundations of sustainable prosperity.
The Caux Roundtable: Moral Capitalism for a Better World, Principles for Responsible Business

The Principles for Responsible Business are available free online. Caux Round Table Principles for Responsible Business.

How can you use these Principles to build a more responsible organization and make responsible business the minimum standard in your organization?

1. Discuss the “Principles for Responsible Business” with other key leaders

2. Together, determine how your organization can more fully comply with the principles

3. Teach leaders what it means to comply with the principles within your organization

4. Include discussions about ethical and responsible behavior in regular meetings and problem-solving sessions

5. Hold leaders at all levels accountable for following the principles, and for teaching their employees to do the same