Run your business under the principles of ethical management. - - ABRN (Automotive Body Repair News)
Run your business under the principles of ethical management.

Source: Automotive Body Repair News




Looking at the daily news headlines, you'll notice that the "ethics" adhered to by many companies worldwide have been under severe scrutiny and in some cases have brought public uproar. At the same time, there's also a powerfully growing movement for better ethical management and recognition for companies that adhere to the highest ethical standards. Customers are beginning to recognize the significance of this movement. Many companies are responding by positioning themselves to capitalize from the implementation of strict ethical standards.

The purpose of this article is not to point out areas of our industry where folks are not operating ethically (such as where outright fraud is being practiced) but rather to explain how to make sure everyone in an operation truly is keeping to an ethical code. When it comes to ethics, everyone is accountable, everything counts, and everyone must "walk the talk."

No gray zones

Recently, my wife and I went to our favorite Chinese buffet. The hostess at the desk handed us a rolled napkin with the fork and spoon inside. This was strange because in the past the silverware was on the table where the drinks were dispensed. The owner told us he had to change that since last year alone over 800 forks and spoons came up missing.

In your shop is it okay to take that roll of 2" or ¾" tape home? Probably not. Yet at many shops, sandpaper, adhesives, copy paper, coffee, pens, customer's CDs, change, etc. all can come up "missing." Why? When it comes to the workplace or places of business, people often take a different view of the same ethics they practice elsewhere. They put them aside. They seem to believe they're no longer stealing when they take something from a business instead of from a person. You'll even see this in our industry when it comes to "cost shifting" on an insurance or customer pay estimate. It's as if a difference in environment somehow allows for a different set of ethics.

This simply shouldn't be. Walking the talk is not about setting rules, laws and penalties. It's about cultivating a belief within an organization to "do the right thing" all of the time. You, as the owner or manager, must lead this culture. That means addressing ethical gray zones, areas where employees may think ethics no longer apply or may be "redefined."

To remove these gray zones, always stick strictly to existing laws and regulations. Avoid the influence from third parties. Look not just at the literal wording of laws/regulations but also the intent of the rules. Then, get your entire staff involved. Listen to your conscience and to that of others within your organization. Discuss gray areas and ask, "Is this right?" Staff involvement is the first step in building your code of ethics into your business culture.

Take action

Discussions, promises and written agreements mean nothing without verifiable actions everyone, including the customer, can see. Actions matter most. You'll find that most people adhere to the old adage "behavior doesn't lie."

The best way to determine if your own actions equal or exceed your promises is to ask your customers, employees, suppliers and insurers. Third party customer satisfaction index providers tell you if you are on track. Are you hitting your promise dates? Employee Satisfaction Index (ESI) programs can determine if your leadership is in line with your promises. Other survey programs developed over the years can provide good information from your suppliers and insurers you work with.

Your leadership as an owner and manager determines how the information will be used to improve your organization. At times it may be a harsh reality, but if you want to improve your business while building an ethical organization, you must act on the feedback, and change.


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Source: Automotive Body Repair News,
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