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Corporate Ethical Policies in Large Corporations in Argentina, Brazil and Spain Author(s): Domnec Mel, Patricia Debeljuh and

M. Cecilia Arruda Source: Journal of Business Ethics, Vol. 63, No. 1 (Jan., 2006), pp. 21-38 Published by: Springer Stable URL: http://www.jstor.org/stable/25123685 . Accessed: 27/03/2014 05:49
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(2006) 63: 21-38 Journal of Business Ethics DOI 10.1007/sl0551-005-7100-y

Springer 2006

Corporate Corporations

Ethical

Policies

in Argentina,

in Large Brazil

and Spain

Domenec Mele Patricia Debeljuh M. Cecilia Arruda

Domenec

Mele

is Professor

and Director

of

the Department

of

ABSTRACT.

This

paper

examines

the status

of Corporate

Business Ethics at IESE Business School, University


Navarra, Spain. a Doctorate in Theology. He chairs the biennial 'International

of

Ethical Policies
Brazil and Spain,

(CEP) in large companies


with a special emphasis

in Argentina,
on Corporate

Symposium on Ethics, Business and Society" held by IESE.


He has another in Industrial Engineering degree seven He is author or co-author of and books

Ethics Statements
philosophy, survey findings Among of the reveal other values 500 many

(CES), documents
and largest norms of companies

that define the firms'


It is based nations. on The a in these

conduct.

on business ethics and social ethics (in Spanish) and has edited ten books (in Spanish), which include different topics on
business ethics and corporate social responsibility. In addition,

similarities it emerges in business

between that most and have

these

countries. give some

consideration

things, to ethics

companies adopted

he has written 20
numerous Patricia articles and

case studies (IESE Publishing)


in this field. Professor Resources at

and

kind of formal or informal ethical policies. Regardless


whether or conduct not ethical they must be have taken a CES, into companies account when agree

of
that

Debeljuh

chapters is an Associate and Human

of Administration

the Department at Universidad

Argentina
obtained doctorate Spain.

de

la Empresa

(UADE),
Resources the University include

Argentina.
at UADE

She
and a

in Human her degree at in Philosophy Her areas

of Navarra, business and ethics, corporate

of specialization for

selecting, as an and promoting ethical personnel important to draw is a growing There up formal policy. tendency are per ethics documents. These documents corporate as first and foremost, the development of ceived, supporting Most culture. that primary believe corporate respondents appraising

philosophical

foundations

management

responsibility for ethical issues in the company restswith


CEO. the findings Finally, more resources that devote CESs have two indicate to that most companies communicating formal the countries given taking The to ethics

the

responsibility. She is author of 'El desafio de la etica' (The ChaUenge of Ethics) and 'La conquista de las
virtudes la empresa' in of virtues (The conquest on business the company) and co-author of three books is also Academic ethics and philosophy She of management. the Latin of and Economics Arruda Vargas American (ALENE). Professor Brazil, Ethics. where She got at the Fundacao she teaches in Association of Ethics, en

menting The study avoiding when main

or more

and imple documents. in the such account in as

differences

between

included

concern

Director Business M. Cecilia Getulio the area

the emphasis or misconduct personnel. corruption

aspects, specific into ethical criteria

is an Associate Sao Paulo, and

selecting countries where

seems

is greatest emphasis most prevalent.

degree tration

of Marketing in Economics the University

her Bachelor Adminis degree Var in

KEY business ethics,

WORDS: ethics Argentina,

codes policy, Brazil,

of

conduct,

values of

statement, business

and Doctorate of Sao at Paulo,

in Business and

institutionalization Spain.

at

aMaster Getulio

? Advertising was developed at theCUNY City University of New York. Professor Arruda is a founding member of ALENE (LatinAmerican Business Ethics Network) and of the Center of Studies for Ethics in organizations, which she currently coordinates (CENE/EAESP/FGV). Currently
she serves as a member Society in the Executive of Business, Committee and of the International Economics Ethics

in Business ? Sao gas

Administration Paulo. Her

the Fundacao program

post-doctorate

on Ethics

Introduction Over the last two decades, there has been a growing interest in developing and implementing Corporate to Ethical Policies in ethical order foster (CEP) conduct to Brooks and employees. According among managers the factors the growing (1989), underlying

(ISBEE).

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22 Domenec Mele interest in business mistrust ethics policies the include: of business the de activities; standard of life in line with peo

et al. for Business 2000; Ethics, 1992; DriscoU Gaumnitz and Lere, 2004; and Hoffman, and Kaptein

widespread mand for a better

the requirement that executives ples' expectations; not act own do solely for their profit, the awareness of companies' the regulate to and the need increasing power of certain activities interest groups; interest in these matters and a greater them. A reducing in perspective that change to the the goal of business
of profit is also relevant.

Wempe, There CEP

1998; McDonald, 2000, etc.). are also publications on the spread of and, more SpecificaUy, on codes of conduct CESs have in particular countries. Large US been studied and White by Berenbeim of the Confer for Business (1990), 1992), the Center

and other companies Montgomery ence Board Ethics Murphy

greater public awareness of argues


short-term

(1980), (1987, 1992),

against

(1986,

maximization

these Beyond since Aristotle

there is the fact, accepted influences, made his first impact, that ethics is

(1995, 2000) (1999a). and Houston (1989) study corporate Schlegelmilch in large UK codes of ethics while companies,

and Siers Sweeny et al. and Weaver

of part of every human action, and the recognition this helps to humanize business activity. At the core of any CEP lie certain corporate documents statements, define the firm's code certain arise of conduct business and values creeds, mission (corporate and similar business principles texts) that philosophy setting out dilemmas and values and/or a rules for dealing with or special issues that may

corpo (1992) does the same for Australian Kaye rations and Snell et al. (1999) for corporations in and Lefebvre (1992) analyze Hong Kong. Singh Canadian et al. of ethics, while Lindsay are (1996) survey how Canadian companies et al. (2000) report instilling ethical policies. Mele in large Spanish the results of a survey on CEP a comparative and Arruda offers (2001) companies corporate analysis
ethics.

codes

in the workplace docu (Mele, 1994). These can which be called Corporate ments, generically Ethics Statements (CES), are like a compass for the it in practices that lead to good company, guiding ethical behavior. A CES usually goes hand in hand a process of communication and appropriate with
training, as well as with other support measures.

of

the scholars

contents have of ethics

of

Brazilian out

codes

of

Other studies ferent the UK gelmilch

carried

of codes countries. and

and other

comparative in dif CESs

compares (1989) Schlegelmilch the USA, while and Schle Langlois and the USA three compare (1990) countries Berenbeim of ethics (Britain, France and West the diffu (1992) compares in the USA, and European et al. (2002) analyze several

According ethical practices


events such as

to Nash
a

(1992), the introduction in firms tends to be triggered


the appointment of

of by

European

scandal,

a new

Germany). sion of codes Canadian differences headquarters et al. Wood of corporate and Sweden. Similar whether on

Chief Executive Officer, the retirement of a founder or the introduction new of legislation. There may be other reasons, but the important thing institutionalization of ethics in business, is that the and more

firms. GuiUen in

that have companies large Spanish or Spain, while in either the USA the implementation (2004) deal with codes of ethics in Australia, Canada, are very scarce, or on making

the development and implementation of specifically a has become social CESs, significant phenomenon in many It started in the business corporations. United
Latin

studies for Latin America individual between countries countries.

and Japan There

States and . More

spread to Europe, Canada recently, this practice has reached then literature on on CESs, mainly of ethics (Benson, 1989;

America.

is extensive

The purpose of this comparisons to to the is fiU this gap by exploring paper, help current state of implementation of corporate ethical in Spain, Argentina in large companies policies some socioeconomic for Brazil (see Appendix to these countries). historical data relating and and This

corporate values and codes and Moore, Brooks, 1980; Cressey 1989; Chatov, 1987; 1983; Dean, 1992; Mathews, 1987; Molander, Murphy, Weaver, and on 1989, 1995; Osborne, 1988; of 1991; Ryan, 1991; others) 1993; Weller, other aspects among many ethical corporate 1992; Cash,

(Andrews,

1989; Brenner,

policies 1987; Center

seems interesting because of the Spanish comparison influence on the Argentinean culture and the strong Brazil. All of these links between and Argentina with share a Latin differences, countries, although

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Corporate Ethical Policies and a vast majority Catholic nominaUy Roman culture although is their population (between 80 and 90%, of

in Large Corporations 23 of our survey). So, in Spain, although the was sent to 500 companies, it actually questionnaire covers the 590 largest Spanish commercial companies the purposes the same ranked by number of employees. Following covers in the the 555 criterion, survey Argentina ranked commercial by companies largest Argentinean and the 500 largest in Brazil. number of employees, In Spain, we used the Dun & Bradstreet Mar on more has information keting database, which In the selection than 700,000 Argentina, companies. was made from two databases the country: La Quia VIP, ones Publicas S.A., and the day-to-day "1000 Leading Companies" published
Economica, a well-known and widely-read

only 20% practice regularly). Additionally, and Brazil are the two largest countries in Argentina is of these countries Latin America (the population more point The than 210 miUions), for other studies. which could be a reference

paper presents research based on a survey of It starts in these countries. the 500 largest companies the methodology employed. Then, the by describing
main results are shown and discussed.

that are widely used edited by Comunicaci list of by

in the

Methodology
Instrument

Prensa

magazine

The

used for our survey was drafted questionnaire and and tried out on a pilot sample of 25 executives . A lot of detailed, then subsequently improved

the in this kind of study. In Brazil, specializing Exame Maiores eMelhores ranking of the 500 largest source of was Brazilian the chosen companies .The survey was carried out in 2000 in information Spain, in 2001 Table I shows
responses obtained.

in Argentina the structure

and in 2002 of the

in Brazil. and

was helpful comments were received. The end result a written could be com list of 16 questions which 10 min. Some ofthe ques pleted in approximately others had multiple single answers while was answers. Each questionnaire posted to the CEO tions had
ofthe company or, in some cases, to the Director of

sample

Description

of the responses 106 responses (21.2% of the 126 (25.2% of the sample);

Human

Resources

or .A

the Director letter was the nature

Communications questionnaire and assuring

of Corporate to the attached of the research and of

In Spain we received sample); in Argentina,

explaining

confidentiahty disclosed. information any

of the responses

re and in Brazil, 100 (20% of the sample). These in other sponse levels are similar to those obtained studies of this kind carried out in other countries4, and even higher than in similar surveys carried out in in the case of Argentina, these counties, especially
where response most rate. surveys do not receive more than a 15%

Sample We as chose our the 500 largest companies taking different sample, The of selection criterion since we in each country databases into the for size was

account. number

In Spain, the responses came from the President or General Manager of Hu (32.1%), the Director man Resources Director of the (20.8%), Corporate Communications manager. Manager (84.1%) Brazil, Director
senior

that, in employees, thought are the most relevant factor. business ethics, people Several companies were excluded on the grounds that they were not commercial enterprises. Govern bodies, and national health educational and social services, mutual for instance, were organizations,

(13.2%)

or

some

other

senior

In Argentina, the President Director of Human (7.2%), or some other the President of Human

or General Resources And in

ment

senior manager. or General Manager


three cases, the

Resources
all

(12%), (52%) or some other


largest com

not included. Assuming that there were no significant to the same differences among companies belonging we to take decided group, company groups as single entities includes (e.g. the Telefonica Group, which several companies, was treated as a single company for

manager.

In

the highest response rates. panies In Spain, 55% of responses are from companies in Spain, while the rest are from headquartered have companies based abroad (22% in Europe and 21%

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24 Domenec Mele TABLE


Number of corporations (ordered by number of employees)

et al. I
and responses obtained (Percentages in brackets)

Number

of employees

Argentina Corporations Responses 5 (45.5) 9 (64.3) 12 (22.2) 25 (28.4) 29 (17.8) 46 (20.4)


n/a

Brazil

Spain Responses 8 (29.6) 18 (35.2) 30 (23.5) 18 (16.2) 11 (14.8) 9 (16.3) 100 106 590 Corporations 17 (76.5) 13 29 16 (55.2) 118 24 231 40 195* 13 Responses

Corporations 27 (5.4) 51 (10.2) 127 (25.4) 111 (22.2) 74 (14.8) 55 (11)


6 (10.9)

>20000-10000 9999-5000 4999-2000 1999-1000 499-less

11 (2.0) 14 (2.5) 54 (9.7) 88 (15.9) 999-500 163 (29.3) 225 (40.5) Total 555 (100)

(20.3) (24.3) (6.7)

126

500

The

range used in Spain was

(999-750). is common

in

the USA).

headquarters the USA, in Europe, 23.8% 4.8% in other Latin American are from 50% of responses Brazil, 21% from companies the USA, 26% in Europe,
in Canada.

In Argentina, in Argentina, while

40.5% 30.2% 0.8% countries.

have

their in

are based

kinds

in Japan and In Brazil, in based companies with 2% headquarters in Japan and in 1%

in companies of aU practice or not have formal ethics (whether they in countries 62% and all from documents) (ranging in Spain to 75% in Brazil and 79% in Argentina). that this these findings are difficult to interpret, the score in Latin American countries could have to do with

Although higher

the supposedly higher level of in the eager these countries and maybe corruption ness of large companies to obtain a good reputation. something This to explain the high score of Brazil. Due the devaluation real (Brazilian currency) some ofthe could
ago, Brazilian companies became very attrac

Diffusion corporate

of

ethical corporate statements ethics

policies

and

years

tive Given
Brazilian

for

international
can

business
be

and

investments.
trust

the high
companies

level of corruption
only

(see Appendix),
considered

are probably one of the most Ethics Statements but there are others. parts of a CEP, important in Another measure CEPs is that of taking envisaged ethical conduct into account appraisal and promotion in personnel (Table II). Results selection, indicate

worthy
demonstrate

suppliers
a

to

foreign programs).

customers
to ethics

if
(e.g.

they
by

commitment

implementing
ethics has become

ethical
a

Having
as well.

a code

of

requirement

TABLE
Adoption of corporate ethical policies,

II
from Corporate ethical statements

apart

Policies Taking moral behavior into account for personnel appraisal and promotion Periodic ethical accounting, auditing and reporting Standardized procedures for dealing with ethical issues Ethical training programs for managers or employees Ethical offices Supporting research on business ethics
Percentage of companies with a formal ethics document; those without in brackets.

Argentina 79 39 39 22 29 15 (62) (24) (11) (3) (8) (8)

Brazil 75 45 36 15 9 12 (60) (30) (17) (13) (4) (4)

Spain 62 27 24 19 15 1 (75) (9) (6) (6) (0) (3)

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Corporate Ethical Policies are other measures less common, Although much ethical also sometimes notably: periodic adopted, and reporting, standardized auditing for with ethical issues, and ethical dealing procedures or a few programs for managers Only employees. re or are have ethical offices funding companies accounting, search in business Additional companies have formal with ethics. of our statements show that survey are more likely to findings ethics

in Large Corporations 25 companies Argentinean one. had Before panies that had codes multinationals. and 20% of Brazilian com

1990, most ofthe were ethics of

companies US-based

In the USA many drew companies a in of codes conduct mid '70s and the after '80s, up as series of scandals. Understood practice "good were these codes guidelines", adopted by foreign The Foreign Corrupt a lot to do with this concern. countries. influenced the diffusion of Act of 1977 also had factor ethics that of in the Another ofthe U.S.

standardized ethics programs, proce dures, periodic audits and special ethics offices. Most in our sample, whether of the companies they have
ethics statements or not, also show particular con

codes

U.S.

Commission

cern

for fostering

the human

excellence

of

their

employees

to be avoided, by signaling practices misconduct. and conflicts, resolving penalizing to Murphy (1995), documents setting According companies'
categories:

Sentencing in which 1991, gave (USSC) guidelines some legal advantages to companies that reinforced codes of ethics legal compliance by implementing and ethical programs (Dalton et al., 1994). This may account introduced for the higher level of codes of ethics in the USA in 1993 and 1994 (Weaver there has been a growing their ethics statements

was

the implementation

out
three

ethical
values

policies
statements,

generally
corporate

fall

into

credos

et al, 1999a, p. 286). In the last three years

and

codes

included in vision
ments are,

ethics may be of ethics. Furthermore, statements as well, or in corporate mission statements. Both mission and vision state
or should be, crucial to management. In a

to revise trend for companies in all three countries. This probably has to do with an increasing interest in business ethics in all of these countries. ambiguities some problems In Spain, despite in the past, business ethics has in recent years and been

broad
vision

sense
and

therefore,
mission

when
statements,

ethics as CESs.

is embedded
these statements

in

should

also be

considered

That

is what

Lindsay et al. (1996) do in their analysis of ethics in Canadian 44% of documents companies. Nearly to these authors' the respondents survey say that are included in and philosophies ethical concepts
their companies' corporate mission statements

making Even though many problems group of academics working


many managers are now

progress

1999). (Argandofia, remain, there is now a in this field. Moreover,


sensitive to corporate

more

ethical

issues and the social responsibility as in other Latin American In Brazil, the interest

of business.

in our survey we considered (p. 396). Accordingly, or statements with mission ethical corporate vision
content because porate as formal of credos their were corporate affinity, added ethics values to the documents. statements same group. and Also, cor

including Argentina, has also been increasing

countries, in business ethics

in academia, companies and a and government, significant effort to create codes of ethics in organizations has been made (Arruda, 1997). In addition, some companies have also started to include business ethics in their recruitment and for managers. The programs press has in this effort by creating cooperated rankings of companies which display special values. A similar interest can be noted in Argentina. training still is the finding that many not a that do have formal yet corporate companies are thinking of introducing one in ethics document the near future (25% in Spain, 32% in Argentina and relevant 15% in Brazil). The proportion of with CESs is companies among those that have their than in any other in our companies More

(see Table III) show that 71% of the Spanish 70% of the Argentinean companies, in and 77% of the Brazilian companies companies our sample have some kind of written ethics docu
ment. The most common documents are codes of

Our

survey data

ethics

or conduct
Some

and company
companies have

vision
more

or mission
than one

statements.

document statement
three:

(see Table and a code


statement,

a values IV): for instance, of ethics. Some even have


a corporate values state

a mission

ment Most then,

and a code of ethics CESs only were of 23%

(22-25%). introduced after Spanish

highest, 1990. Before 30% of

companies,

sample, in the US, rather headquarters ofthe U.S.-based country (100%

in our

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Domenec 26 Mele TABLE


Corporate Ethical

et al. TABLE V
Proportion of companies Statements by having of Corporate company Ethical

III
Statements

type

Statements Vision Scmission statements

Argentina 67 48 4347 70 70

Brazil 6950

Spain CompanyArgentina Brazil 96 100 71 71 Spain 83 84 57 84 81 77 60

with ethical values Values statement or


corporate credo

Large multinational Listed companies Companies 65 49 71 77


an international

companies 75 to belonging
holding

85 83 75 73 45 75 65 42

Corporate
or simUar

code of ethics
document

Companies
in the

with
country

headquarters or with

Some kind of corporate


ethical statement

National
little of received.

Others
Expressed

8 7 as percentage responses

companies

internationalization

sized than 900) companies (less 69 Family businesses


Percentage of responses.

Small and medium

TABLE
Number of Corporate Ethical company

IV
Statements in each

The behavior Brazil 31 21 22


formal ethical

level code

of

ethical the

is much

Number

of documents

Argentina 35 37 25 45 32 24
having

Spain

formal

of ethics

over employee a in companies with one as in companies without same arises: what question not having a CES and forward? The answers

concern

One document Two documents Three documents


Percentage documents. of companies

a (Table VI). At this point reasons did companies give for what alternatives did they put are shown in Table VII. Only claimed behavior that there was among

a very few respondees no need to reinforce ethical

samples, and 89% of those in Spanish and Brazilian is not surprising, the Argentinean sample). That a of Fortune 500 firms that survey considering in the mid corporations) (mostly North American to address that 98% of firms claimed '90s found issues in some kind of formal ethics and conduct and 78% of those had a code of ethics document, (Weaver et al., 1999a, p. 285). the proportion of companies with Furthermore, an ethics statement is higher among listed companies and holding and for large transnational companies than among family businesses, degree of internationaUzation companies and smaU companies is consistent with the react more with a low

them approved do with business".


business is an

and hardly any of their personnel, to the statement "Ethics has nothing This confirms
is no

that the myth


longer accepted.

that

amoral

endeavor

Many adopted

thinking other corporate

have said that their companies codes and that they are general professional a code of ethics or some of introducing respondees ethics document in the near future

TABLE VI
Common ethical concerns of large companies

Ethical concerns Employee practices Wrong practices to avoid Solving possible conflicts
of interest

Argentina 4.4 (4.0) 4.4 (3.9) 4.2 (3.5) 3.8 (3.7)

Brazil

Spain

(see Table V). This finding weU-known fact that large organizations when it comes

4.4 (4.3) 4.3 (4.2) 4.0 (4.1) 4.0 (3.9) 4.1 (3.8) 3.7 (3.6) 3.4 (3.7) 3.1 (3.8)

quickly smaU ones, especiaUy for higher ethical standards and social responsibility et al., 1986; Lindsay Ethics, (Center for Business and Siers, 1990). 1996; Sweeney

to introducing CESs than in response to public demands

Sanctions for breaking


the rules with a formal

Companies

ethics

document;

those

without

in brackets. Scale from 1 (very low) to 5 (very high).

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Corporate Ethical Policies

in Large Corporations

27

TABLE VII
Companies without a written ethical statement: Reasons and alternatives

Reasons Argentina They They


They

Brazil 43.5 34.8 13.0 4.3 0 0 65.2 4.3

Spain 40.6 40.6 31.3 6.3 3.1 0 25 0

reinforce ethical behaviors in other ways 51.3 foUow generic professional codes of ethics 29.7
consider the exemplarity of senior management

to be more influential than any written statement 16.2 A written statement does not seem useful 2.7 It is not necessary to reinforce personnel ethical behavior 5.4 They think ethics has nothing to do with business 2.7 They plan to introduce a formal document 32.4 Other
Expressed

alternatives
as percentage

8.1
of responses received.

TABLE VIII
Motives for implementing ethical statements

Motives Argentina Spreading the company's values or philosophy 6.5 Presenting a corporate public commitment 5.5 Reminding employees of their obligations 6.0 5.8 human Promoting development to the company's reputation 5.1 Avoiding damage trust and confidence within the company 5.8 Building Gaining competitive advantage 4.4 Protecting the firm against legal actions 4.3 Scale from 1 (very low) to 7 (very high). or are trying to reinforce ethical behavior in other Some the that ways. agreed example given by a more executives is than any influential company's written statement. ered that having Only an ethics document a minority (1-6%) is useless. consid Some reluctant
documents

Brazil 6.8 6.0 6.1 6.0 5.6 6.2 5.3 5.2

Spain 6.5 5.6 5.2 5.4 4.7 5.0 4.5 3.5

companies to adopt
to promote

without alternatives
ethical

ethics
behavior.

documents
We

are

to codes

or other
inter

that the executives in question feel pret this to mean that existing to ensure good laws are sufficient IX

TABLE

Priority of objectives Ethical aspects Argentina


Express Construct Foster Promote Reinforce corporate corporate awareness human common of values identity expected behavior 4.5 of business ethics 4.5 4.2 4.4 4.4 4.3 4.8 4.6 4.7 4.5 4.4 4.6 4.6 4.6 4.3

Brazil

Spain

excellence standards

Scale from

1 (very low) to 5 (very high).

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Domenec 28 Mele behavior. In this sense, executives tend even if it is their peers or competitors, legal or ethical. They do not feel strong change unethical habits because they fear they will be forced to emulate not

et al. to achieve honesty seldom


became procedures

act ethically

totally to enough that if they out of the market.

than through goals by corrupt means and competence. Unfair practices were and a social and moral disorder punished
common were in often the so country. slow that Government managers and

Purpose
statements

and

grounds

of

corporate

ethics

companies of corruption problem worse. One ofthe authors

started to use

. The the same expedient in Argentina could be even

based on her (Debeljuh), of that believes knowledge Argentina, corruption all levels of society and aU insti has been pervaded favoritism, that, in this cronyism, bribery, context, personal effort and merit are often pushed which aside by opportunism, the slowly undermines . foundations of a healthy work culture and protecting competitive Creating advantage the firm against legal action get the lowest score, it is still significant. The former may be although due to a lower with level of concern policies could be these competitive to attributable for relating The advantage. of ethical latter tutions, in various forms: privileges, and so on. She thinks

Purpose An

of corporate ethics statements

in 1980 (mentioned poll published opinion by showed that chief executives 1992, p. 858) Kaye, felt and other senior officers of U.S. corporations that the main reasons for developing codes corporate of In image and reputation. public set of motives 1992 another survey gave awider for to be a socially ethics into a company: introducing to of the company (95% responsible respondees); conduct guidelines with compliance public for the conduct law (79%); (94%); to improve to ensure the were

provide

a lack

company's profits

(30%) p. 864). More found that a particular


ences ethics mitment are more programs to ethics. strongly than

(43%); and to improve image Business for Ethics, 1992, (Center et al. (1999a) have recently, Weaver set of environmental
associated are The top with management's the

with

giving advantages It may ethical programs. in Latin that countries, respect for the emphasizing as as not is in law strong probably Anglo-Saxon formal
and Scandinavian countries. In our perception,

countries

in legislation to companies also be worth

influ
scope com of

environmental

influences

people with legality. The becomes legitimacy


stood as "whatever

are more

concerned problem purely


other

than legitimacy is that, aU too often, or is under subjective with


people do". Sometimes,

include awareness of USSC they mention guidelines, to a firm's ethical problems, and media attention representation The respondees important corporate throughout
next most corporate

this attitude evasion,

has

repercussions,

for

instance

in tax

at The

Conference

to our survey reason for implementing CESs or the values corporate the organization
important commitment, reason to was to

Board meetings. stated that the most is to spread

lack of compliance with the law, or the in certain of the economy presence underground industries. It could be argued that in some Latin laws have all too often been countries, a not with to building view made strong institu of those tions but to satisfy the needs and wishes American can lead to a lack of respect in power, which effect not only the law. This has a detrimental . on individuals but also institutions survey also asked what considered important, companies one. The related to the previous Our
highest scores were "express the

philosophy (see Table VIII). The


evidence human a public devel

promote

opment trastwith studied

and to build companies

trust and confidence. in the U.S.,

In con

for on

in the countries we

to ethics commitment top management's than seemed more environmental influ important ences. However, of their reminding employees and avoiding damage to the company's obligations reputation and Brazil. are also This in Argentina important, mainly to the fact is probably attributable in these two countries is high (see cultural
For

ethical goals the a question closely answers with the


company's values"

that corruption The Appendix).


understand the

corporate (Table IX). identity" awareness of behavior and pro Fostering expected standards human exceUence and moting reinforcing of business perception, ethics in also received these a good score. In our countries there is a certain

and

"construct

context
many years,

can

help
easier

to

causes.

it was

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Corporate Ethical Policies

in Large Corporations

29

TABLE X
General principles applied in drafting the statements

General principles Human Universal virtues

Argentina

Brazil 4.5 4.3 3.9 4.3 3.8 3.2 3.5 3.5 2.7 3.2 4.2

Spain 4.1 4.0 4.1 3.5 2.9 2.9

ethical principles Generally accepted social values Utilitarianism Legal requirements International texts of human rights Scale from 1 (very low) to 5 (very high).

3.3

tendency engage
Thus,

to individualism, unwiUingness in teamwork and a lack of trust in people. towards


the company's values and cor

emphasizing

and some others. in good faith in negotiations or at least norms are universal These principles wide social which acceptance. They are also enjoy appropriate for developing human virtues (integ of truthfulness, rity, justice, loyalty, etc.). Codes can be taken from law or from interna conduct can also be tional texts on human rights. They on . a consequentialist approach (Utilitari

porate

identity and awareness cooperation


answer to this

However,
firm

promoting of being part of a whole. further research would necessary to give a


question.

could

be

related with

founded Philosophical grounds of corporate ethical policies Dunfee business add and Robenson, after defining ethics as a list of fundamental a code "can a code of

principles, this (needed) provide link between immediate ethical theory and daily decision making" 1992, p. 286). (quoted by Dean, one can these find: Among principles compliance that with the well-being, avoiding dentiality,
commitments,

anism) to In spite of these considerations, it is difficult is strictly ethical policy argue that every corporate or ethical since based on philosophical theories, codes and other ethical statements are instrumental in their
review led us of to

implementation.
some suppose relevant that,

However,
corporate to a certain

an exploratory
ethics extent, statements formal

ethics express ethics,


rights

documents universal social


and so on.

reflect

ethical

theories.

They

can virtue

respect contracts, keeping promises, honoring bribes and exercising due care, confi to special and fidelity responsibilities
avoiding conflicts of interest, acting

law,

for persons

and for human

principles, values, legal


In order to

Utilitarianism, requirements,
obtain some

human
informa

tion about ble

this point,

theoretical

the questionnaire listed possi on statements which ethical grounds

TABLE XI Who developed Corporate Ethical Statements? Position Argentina 67 42 47 Top managers Board of Directors 27 8 35 Middle managers 13 17 25 Managers and employees 14 13 12 A communicative process with the main stakeholders Collaboration of external experts 14 8 21
Expressed as percentage of responses received.

Brazil

Spain

12 5

13

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30 Domenec Mele TABLE XII


How ethical statements are

et al.

communicated

and

promoted

Means Argentina
Posters, handbooks, brochures, web sites 25 44 86

Brazil

Spain

Oral presentations 52 24 25 Seminars or workshops 41 14 14 Periodical revisions 31 16 8 Signature on the document 0 0 12 Others
Expressed as percentage of responses received.

11

are based, giving a short, simple explanation in show that human brackets7. The findings X) (Table come first, closely foUowed virtues by universal principles comes Utilitarianism logical values ethical generaUy-accepted seems in fourth place. That we social since, in the countries studied, are not so different from universal ethical and values.

agerial
tinuous

commitment,
monitoring.

employee has primary

training

and

con

When ethical
The

asked: "Who issues cited


most

in

respondees
second

for responsibility most of the company?", the Executive Manager (80?84%). the
common response was the Human

Resources

contained in human principles and the requirements virtues. Their tradition is more deontological than are At the list of the bottom legal consequentialist. texts on human and international requirements for One this is that ethics rights. possible explanation ismuch more highly-regarded than the law and the ered rights may too generic. AdditionaUy, in these countries to the U.S. there is nothing Sentencing comparable
guidelines encouraging the incorpora

(25-30%), Manager managers (6-15%) and the legal department (5?9%). in particular has respon A few replied that nobody issues for ethical latter (1?5%). These sibility responses generally came from no formal ethics statements. companies that have

and

then middle

international

texts on human

be consid

considered that responsibility Very few companies the Ethics for ethical issues in the company lay with Officer 0% in Spain and Brazil) or (7% in Argentina, the Ethics trast with Committee U.S. top for ethical man responsibility agement (Weaver et al., 1999b, p. 55). This may explain why about 30% of the US com et al. (1999a, p. 288) had panies surveyed by Weaver delegate to others ethical and legal compli special officers to monitor ance. In the countries in our survey these functions seem generally to be performed by legal or human
resources departments.

Commission

(1?2%). These findings in which many companies,

con

tion of legal content 1994).

in codes of ethics

(Dalton

et al.,

managers

The

role of top management in organizational ethical policies is responsible for authors behavior think ethical issues in the company? that the first step to promoting is to ensure that

Who Most ethical of

the organization's ethical conduct

in an organization leaders propound in business

Drafting An

and communicating corporate ethics statements

DriscoU

and Hoffman, 2000; in culture the value of organizational emphasize (Gandz and Bird, instiUing ethics in organizations and Giacalone, 1992; Murphy, 1989; Knouse 1988). Both of these positions have a lot to do with man

the importance 1989; (Andrews, Others HaU, 1993).

ethical issue in relation to corporate important com to to how and CESs is how draw up policies in our of the companies municate them. In most sample, Argentina ethics statements were management Table XI): 47% and 42% in Brazil. up by top 67% in Spain, In some cases they in drawn

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Corporate Ethical Policies

in Large Corporations 31

TABLE XIII
Perceived impact of ethical statements

Argentina Aspects
Building the corporate culture 6.1 6.1 5.8

Brazil

Spain

Shaping policies
Fostering Improving Avoiding Helping moral the

and practices
excellence corporate 5.7

6.1 6.0 5.4


6.3 5.6 5.1 of the organization 5.44.5 5.5 5.2 5.9 5.2

misconduct in the day-to-day

image 7.0 5.7

running

Scale from 1 (very low) to 7 (very high). were nearly by the Board of Directors: developed but only 8% in in Spain, 27% in Argentina, also took part in this Brazil. Middle management in but 25% process: only 13% in Argentina Spain, and 17% in Brazil. 35%
Not many companies encourage wider partici

It is significant that only 14% of oral presentation. or in Spain and Brazil held working the companies in the whereas sessions, figure Argentina training was 41%. The periodic ments to the organization's and apply their content actual practices came out at 31% in Argentina, 16% in Brazil and 8% in Spain. The higher percentage in Argentina that stressed communi of companies cation and training in corporate ethics may be due
to the growing awareness of the need to overcome

of companies proportion to study or review meetings

that held the docu

of corporate pation in drawing up formal documents and employees of managers ethics. The involvement was between 12% and 14%, and even lower for stakeholders (5.3% in Spain, 13% in Argentina for this may lie and 12% in Brazil). The explanation a wider participation of managing in the complexity think that having too process; or perhaps managers to interests make it difficult will many conflicting other achieve high ethical rate of participation stress the importance such a low standards. However, scholars is hardly ideal, as most

the

current
are

moral
a way common

crisis
of

in Argentina,

as ethics
and

programs strengthening

confronting values.

corruption

A mote

smaU proportion and implement

involvement of high employee in the process of creating and implementing corpo It is also rate ethical policies 1987). (Berenbeim, worth external noting the in low level of involvement the documents of formulating experts and only 8% in (21.3% in Spain, 14% in Argentina be because This may Brazil). companies already have to do it, because managers feel they skilled people
can do it on their own, or even because there are no

requiring employees had read them (12.2% in Spain and 0% in Argentina and Brazil). It isworth
between the

to pro of companies wanted their ethics documents by to sign them to prove that they

pointing
number

out
of

that there is a correlation


documents in each com

pany
them.

and the intensity


The more

of means used

used
there are,

to implement
the greater

documents

the

intensity

of means

to communicate was apparent


ethics

and in

known

experts

in the field. corporate


an effective

them. This phenomenon implement all three countries (see Figure la?c).
when ument there is more than mission, one values corporate (corporate

Accordingly,
doc code of

Implementing
company requires

ethics

statements

in a
sys

communication

statement,

tem

and Spinks, 1996). Our 1999; Wells (Stevens, survey asked about this and, as Table XII shows, in
cases corporate ethics documents are com

conduct), companies frequently also employ range of means for effective implementation. It has
companies

a wider some
code

most

been
have

said

that

the
statement

only
or

reason
ethics

municated

brochures, through promoted or via the corporate web site posters, handbooks, and 25% in 86% in Argentina (44% in Spain, a in Spain and of About quarter Brazil). companies in this and half backed Brazil, up with an Argentina

and

a values

is to hang it on the waU or as "window dressing", while other take these documents companies and try to make them effective. The seriously found correlation we statement the that supports

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Domenec Mele 32

et al.

W Others L

Seminars ^HHjf^^'
Reviewing meetings^^^^^^^B

Oral presentation W//////BKKK^^^


etc. Posters,handbook, HMHBHB^^^^^^^^
I i i ??i-1-1

20

40

60

80

100

1 document M2 or more documents

Others H|JP
Seminars HH^'^^^^
Reviewing meetings HJHIBBBBi^'i

Oral presentation BBHMHH^^^^^^^^


etc. Posters,handbook, HHBBB^^^^^^^^^
0 10 20 30 40 50 60

1 document M2 or more documents (c)

Seminars

~^^^^^^^^^^^^^m ^^^^^^^^^^^^^^^^^^

Reviewing meetings BB^^'^^^^^'^^^^^^' of document Signing H^^P^^H Oralpresentation M^H^M^gy

etc. Posters, handbook, W///////////^^^ '', ' i-1-1-1 A-1


0 20 40 60 80 100 1 document M2 or more documents
Figure 1. Correlation between the number of formal ethical documents and the measires taken to implement

Corporate

Ethical Statements

in (a)Argentina,

(b) Brazil

(c) Spain.

quite effort formal

a few to

a major the companies that make more one ethics than have implement of document. relevant

ethics

This increased company. proportion in the that had their companies headquarters USA. One possible explanation for this finding are outside for the cultural ency differences, and openness. could on such be ethical as the sense of for Another a fear issues the reason transpar these low a pubUc faUing to interest in

aspect is the scope of com munication of the document. 36% of re Only in in and 47% in 33% Argentina Spain, spondees stated that codes of ethics or any other BrazU Another formal ethics documents had been communicated

percentages commitment Uve up to

of making and then lack of

it. However,

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Corporate Ethical Policies ethical commitments making public to ignorance of the advantages for publishing and promoting ethics could be due of

in Large Corporations 33 Conclusions In examining the status of corporate ethical policies in large companies in Argentina, Brazil and Spain, our research reveals a lot of common features and some a Common features differences. include to implement trend for companies formal growing

companies documents.

Do

executives think that corporate ethics statements are effective? impact but itwould
than ours.

Knowing important,
investigation

the

these

documents
we

have and deeper


can make

is
a

require a broader
Nevertheless,

can be considered as the statements, which core of these kinds of policies. Large corporations are more to statements ethics than implement likely ethics companies. to note It is worthy that companies that have to ethics statements usually launch more initiatives ethical behavior than among improve employees
those that don't. However, even companies that do

small and medium-sized

first approximation (see Table XIII). As we have

from

the responses we

received

for imple seen, the main motive statements to is ethics menting spread the company's values or corporate philosophy (Table VIII) and the primary is to express corporate values objective It that both have been would appear (Table IX). goals as on the these documents have had achieved, impact the development of a corporate and Brazil (6.1 in Argentina Another culture and is significant 5.8 in Spain).

not have in business reinforce

formal

ethics

documents

show

an interest

are using other tools to ethics. They ethical behavior, including the example of and the of ethical cri top management application teria in personnel selection, appraisal and promotion. This latter practice is, in fact, a relevant ethical policy in all companies, whether they have CESs or not. of the that do not Furthermore, many companies are have ethics formal of documents thinking them in the near future. introducing Although
popular rate mission come more ethics or

human important motive was to promote VII and the find (Tables VIII). Again development as was the have been there CESs effective, ings suggest a score also high for fostering moral exceUence (5.7 in 6.3 in Brazil to our and 5.2 in Spain). these documents respondees,

Argentina,

the

code

of

ethics
others values

is still
such as statement of

the most
the corpo be

According have had amajor and practices: in Argentina

document, corporate as

impact on various business polices 5.4 out of 7 in Spain, and much more (6.1) and Brazil (6.0). This would are these documents but are

have

popular

a means

implementing

ethics most ethics cating

suggest that in many companies not used merely for public relations purposes,
taken seriously.

in organizations. of the companies documents


one

Another that have more them for


promote

relevant effort

fact is that formal

two or more than those

devote

to communi that have ethics


cul

and implementing
document.

Ethics
image and

statements
prevent

seem
misconduct.

to

improve
The score

corporate
for pre

only

The
statements ture.

main
is

reason
to define

given
and

formulating
corporate reinforce

vention This
five

of misconduct business
as we

reflects

is extremely high in Brazil. to the serious effort that has been made ethics
state

Thus,

these

documents

corporate

promote
years:

in Brazil, mostly
the risk

in the past

values
sons

and build
given are:

the corporate
to express public

identity.

Other

rea
to

above,

of misbehavior

commitment,

on the Brazilian companies implement


misconduct.

side could jeopardize trade terms, so have decided to create codes of ethics and ethics programs, mainly to avoid

remind mote

of their obligations, and to pro employees human development. The perception is that the documents achieve their purpose in building the

the impact on the day-to-day However, running turns out to be lower, though not of companies to 4.5 in low (from 5.5 in Argentina extremely Spain). ruption,
misconduct.

corporate culture and have an influence company's on business policy on the pursuit of human making, excellence and on the avoidance of misconduct. The
statements

criteria
are

applied
mainly

in formulating
human virtues,

the

ethics
gener

This

could

as most

depend of the

the degree of cor are focused on codes

on

ally-accepted principles,

social followed

values by

and

universal

ethical Legal

Utilitarianism.

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34 Domenec Mele and international requirements are less influential. rights Most However, conduct More of the companies through in our their CESs posters texts on human

et al. into the actual practices of the company. At the same to obtain it would be worth time, attempting are from those information which companies to answer reluctant like this, by using a surveys different methodology. exploratory study also suggests the benefits of an developing in-depth analysis of the best corporate ethical policies in each of these countries and a between them. This could comparison subsequent include a detailed of the study specific content of codes of ethics, corporate values and other CESs. This

a significant sessions working than half


their

sample promote or oral presentations. also group of companies periodic we companies


statements

and

reviews. surveyed
in

of

the
ethics

communicate

exclusively

side the company. The proportion that also com municates it outside is higher among the company that have U.S.-based firms. Most of the companies two or more formal ethics documents devote more effort to communicating than those that have only implementing one document. and them

Apart know
are

from

other
in

purposes, particular
countries.

this would corporate

better which
these

help us to ethical issues

foremost

CESs are generally drawn up by top management or low. and the degree of participation is moderate a small of claim that percentage Only respondees
their ethics statements are developed in a commu

Appendix Some socioeconomic and Spain and historical data on Argen

nicative we

the main stakeholders. process with The main differences between the three countries studied Ue in the importance given to avoiding and the consideration of ethical criteria in of personnel.
most

tina, Brazil

misconduct

Argentina has an extension of more than 2.7 million Argentina a and miUion of 38 km., sq. population people. After in 1816, it from achieving independence Spain opened mainly period opment. Argentina
the ethnic

the selection
corruption

The

countries
stressed

in which
these points.

seemed

prevalent

This of which

the number of respondees, is significant but still not very large, and the size of the companies the (the larger the company, of response). Like any survey, greater the proportion

research project from these derives

has certain

limitations.

One

from up to massive immigration between 1860 and 1930. This was for

Europe, a crucial

it relies on the respondees' knowledge, sincerity and In ofthe addition, there is a understanding questions.
self-selection factor, as is usual in any survey where

the country's social and cultural devel In fact, this massive has given immigration within its own distinctive physiognomy
panorama of Latin America.

the return is voluntary. calls asking Some telephone about the receipt ofthe questionnaire suggested to us that a few companies lacked interest in the topic and
even, in some smaU companies, that there was

with

recent political history of Argentina began a long period of authoritarian Peronist rule IL In 1976 a military after World War took junta was restored. The and in 1983 democracy power The reforms of the 1990s not attracted which investment, brought only infrastructure but also the inefficiencies foreign a modern

ethical policies were about. Thus, ignorance was to respond only the tendency there probably one had something positive to say. All of this when of what leads us to think that the reality is worse than the findings suggest. In spite of these

market

of private a few Only Argentinean companies monopolies. were able to withstand that is the fierce competition; so many of them have ended up in foreign why hands. The presence of foreign capital in the top 500 in Argentina increased from 46% to 65% companies between In 2003, 2001). Income per capita of US$ 3650. the Gross National In the last few decades, has gone Argentina one serious crisis after with another, through 1993 and 2001 (INDEC, inflation, a huge external debt, capital flight and

ethical respect to corporate in in Brazil the largest companies Argentina, policies a wider and Spain. Further research should include and a survey with more precise causal links between corporate including sample mission statements, and the incorporation questions, codes and of such

survey wiU help current situation with

that our limitations, we hope to improve our knowledge of the

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Corporate Ethical Policies in situation worsened budget deficits. The economic a and banks massive from withdrawals with 2001, consumers and lack of confidence among general the economy investors. Fortunately, from mid-2002 stabiUzed, albeit at a lower level and since then has latest crisis has little by Uttle. The been growing a in civil about society. People no change brought from the State, a sense of longer expect everything soUdarity is starting to emerge and society is calling show more for stricter ethical standards. Companies awareness and of social responsibility (Paladino Mohan, 2002) in 2002, Argentina held Regarding corruption, in the Tl 2.8 points, 70th place out of 102, with Index, Perceptions only, Corruption surpassed Latin American countries, among by Venezuela, Bolivia, Ecuador 2002) and Paraguay (Transparency International,

in Large Corporations 35 the 1960s the internationalization process During intense. became more of many foreign companies set up subsidiaries in Many multinational companies countries, including Brazil. This brought developing a new of doing way introduced subsidiaries and behavior
company's their

business codes of that were


values and

and ethics not

some

of

the

customs
parent

to prevent aligned with


Some of

practices.

them, however,

caused deforestation the habitat and animal and species

in the Amazon endangering indigenous a to

Basin, destroying of plant multitude


the area.

TI Corruption Perceptions has improved a little. Brazil moved The and 40th place in 2002, when ranking in 1996

Index for Brazil

from 2.96 points to 4.0 points and 45th place in the countries there were more International, 1996, 2002).

(Transparency

Spain Brazil With Brazil in is the largest and most populous country South America, with an area of 8.5 miUion km., sq. 174 miUion inhabitants and vast natural resources. became centuries republic, an independent nation in 1822 after under Portuguese rule. In 1889 it became a more about 40 million inhabitants and an area of of than 500,000 sq. km., Spain is a member in the European Union and, like other countries a is has Western industrialized and Europe, highly services is still industry, although large agriculture quite significant. 1939), Spain authoritarian regime up to 1975. Democracy with the adoption of a new Constitution which established the Spanish civil war (1936? Franco's under General remained After arrived in 1978, Eco monarchy.

Brazil

the country's socio-political although democratic could hardly be considered background until recently. In 1964, a 20-year dictatorship began of a military the establishment with government. The made lack of freedom Brazilians 2710 and of incentives for education less demanding Income Gross National respects. per capita in Brazil in 2003. The annual average growth 1990 and 2002 was 2.8. Inflation, for many years, to most economists, is now Brazil about has eco in many

The was US$

a parliamentary nomic started in the sixties and re development ceived fresh impetus in 1986 when Spain became a of the European Economic member Community. Income per capita was 16,990 Spain's Gross National in to 80% of that of the four US$ 2003, equivalent economies. As a conse European leading West of privatizations, quence and the establishment
known transnational

rate between which was exorbitant 8%. According enormous potential nomic power Dissatisfaction

and, in fact, in South America. was

is the leading

and acquisitions, mergers or consolidation of well


a great number of

companies,

subtly communicated through the national theater and literature, music, press, movies. seemed unable to change either Politicians the regime or the system, until Fernando CoUor was of the nation in 1992. In his elected President speeches he showed a deep concern for integrity and moral conduct, but his actions seemed to go in an In the end, after an impeachment other direction. was he process expeUed from the government.

operate large companies The family has a prominent Spanish life. After several years of welfare

now

in Spain. role and is central

to

society is relatively underdeveloped of associations, initiatives; and membership is lower than in other parties and unions

state, civil in terms of social political countries there and is the

that are close to Spain politically. However, a growing interest in voluntary work, is number NGOs of increasing, although

Spanish

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36 Domenec Mele NGOs are not as active in relation to business

et al.
In Brazil, called the such of there is a tradition an flowers in sum to the in Portuguese is is a thoughtful ges a as an expres gift is understood by to get a problem avoiding

which agrado or

activities as they are in other Western countries. At the end of the eighties and the beginning
the nineties notorious cases of corruption

of
arose

ture sion agrado, sorted long

agrado. Literally, as a bunch of gratitude. What is a and

practice

but, fortunately, few years. Consequently, Per the Tl Corruption in Index for Spain jumped from 4.31 ceptions in 2002 and its corresponding 1996 to 7.1 points in position 32nd place the from ranking of countries went to 20th International, (Transparency

these

have

decreased

in the

last

however, out queues, faster for

of money giver's

satisfaction,

example. expression a way effort, over viveza of life ignoring any other criolla characterized the law (creole by and In

The shrewdness) making seeking addition, State's

Argentinean encapsulates the least possible

1996, 2002). are passing from pater In Spain and companies to and sustainable nalistic positions responsible and business Mele, 2004). In addition, a (Fernandez
many managers are more and more sensitive to

advantage is a widespread to solve responsibility there

individual

interest. that

assumption problems

it is the could be

that

better dealt with


Literally, ally tice, (such accepted integrity, as 'the the social

by determined
sentences values", etc.)", rule')",

and committed
among virtues Ethical were: (such

citizens.
"Gener as, jus

to choose "Human

ethical issues and the social responsibility corporate of business, and so are part of mass media and public
opinion.

loyalty, golden "Legal text)".

"Universal "Utilitarianism and

Principles for the

(welfare "Human

majority)", (international

Requirements"

Rights

Elaborated
Facts Book

by the authors from dates of the World


(http://www.cia.gov/cia/publications/fact

Notes
Instead prefer to of talk ethical some ethics scholars in busi

book/),
"corporate about poUcies" the Spain.

World Development
personal knowledge

Indicators database,
of Argentina,

(http://
and and

www.worldbank.org/data/databytopic/GNIPC.pdf) author Brazil

"institutionalizing

ness"
work Others grams" "corporate or even 1999)

(Weber,
ethics for practices employ (e.g.,

1981,
into

1993),
aU daily

understanding
decision (Weber, 1981,

by
p.

that
and 47).

"integrating

making

'As 500 Maiores 2002, pp. 81-101.


In beforehand our request the

Empresas

do Brasil', Exame,

July

aU employees" concept 1992; of

the Brenner,

ethics

practices"

ethical pro "corporate or et al., Weaver 1999b), et al., 1999a) (e.g., Weaver (Lovitky and Ahern,

we had made companies, largest to identify the appropriate person to.

inquiries to address

"compliance in a similar way.

programs"

In 1992, a survey by The Conference Board of 1900 firms (264 responses) revealed that 83% of US, 68% of Canadian and only 50% of European firms have codes (Berenbeim, 1992).
This stage was carried out by one of the authors

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Argandoiia, A.: 1999, 'Business Ethics

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Arruda, M. O: 1997,

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