Wednesday, March 16, 2011

OD Salon discussion: What role does honesty play in organizational life?

Nine organizational development professionals gathered last Friday to discuss the topic of organizational development over lunch at Mory's in downtown New Haven. We had a lively discussion, ranging from personal integrity to white lies, and talked about the concept of organizational honesty and also details, the nitty gritty impact of our actions.

We started off with the following questions to stimulate discussion:
  • What role does honesty play in organizational life? 
  • What is organizational honesty? 
  • What action taken or not taken by your organization or someone in it would cause you to quit your job? 
  • What is your “ethics line” and what is it for others in your organization?
Responses from participants:
    Organizational honesty: A broadly accepted set of values and expectations which govern (guide) choices made by employees at all levels, and in all functions as they interact with each other and the larger community. The organization as an evolving entity provides the framework within which values and expectations are shaped for the purpose of carrying out its goals and objectives.

    * * *
    As I continue to ponder the questions you raised about honesty in organizations, I come up with more questions than answers:
    1. What is the opposite of honesty? Is it lying, cheating, stealing, all of these or something else?
    2. How do we evaluate other people's honesty if we don't have a common definition?
    3. Are there generational, cultural,or other factors that change the ethical landscape around honesty?
    4. What is the difference between espoused honesty and honesty in practice (i.e. actually tested)?
    * * *
    Honesty: It is very important in organizations but seldom focused on or used.  It is very risky for employees to be "honest". It is less risky for a consultant to be honest but still risky. "Telling the truth" is very often not done. People don't necessarily lie, they just don't tell all of the truth. Honesty is often opinion-based. Honesty is naming the Elephant in the room--something everyone knows is going on but no one wants to say it!

    * * *
    I believe that organizational honesty is equated with integrity: consistency in principles and actions builds trust in employees, vendors and customers. That consistency is achieved through a values-based organizational culture. When leaders model the shared values through their interactions, they build trust with employees. When employees throughout the organization act in accordance with the shared organizational values by delivering excellent customer service and quality products or services, they build trust with customers.

    * * * 

    Our next OD Salon will be held on May 6th in New Haven. Contact us to register, or visit our website for more information.

    4 comments:

    1. It seems that we all know in our gut what it means to "do the right thing" but it can be difficult to define. Looking at what goes wrong can help to illustrate honesty. A lack of organizational honesty is detrimental to organizational success.

      Enron is an infamous example. An energy company whose market cap was once the largest in the world encouraged a culture focused on profit and personal enrichment. This led to the downfall of the company, destruction of shareholder value, imprisonment and suicide by corporate executives.

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    2. Another Salon participant sent this article by Rick Brenner: Rope-A-Dope in Organizational Politics. He argues that Mohammed Ali's strategy of rope-a-dope has application in OD, and this article in his recent newsletter gives an example of applying rope-a-dope to workplace politics at the organizational scale.

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    3. This comment has been removed by the author.

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    4. In his book, The Social Animal, David Brooks talks about how reason and emotion influence our decision-making (a gross oversimplification). Being honest to ourselves and in organizations may require relying on our gut emotions, and understanding this can help us better understand how to motivate human behavior.

      If you don't have time to read the book, read his article, "The New Humanism," in the 7 Mar 2011 New York Times.

      If you don't have time to read the article, watch this interview on The Colbert Report, which aired 9 March 2011.

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