Within the go-getter world of business, it may seem contradictory that an ethical outlook is essential for success. The hard truth is that when unethical attitudes are adopted in the name of profit, any progress will usually be undermined when the inevitable fallout finally comes knocking. That’s why it’s so important to be familiar not only with the legal hot water that poor business ethics can land you in, but also the brunt that will be born by your team, your company reputation, and ultimately your long term prospects. Read on to discover the need-to-knows on business ethics plus what to do if your organization’s morals have already gone astray.
Bad Business Ethics and Legal Repercussions
A range of laws established and enacted by federal and state governments operate as an ethical safety rail, protecting the economy and America’s citizens from the damage that can be done when business ethics go out the window. Of course, at times larger companies may decide that breaching these laws and paying the associated fines is profitable enough to leave their morals at the door. However, these kinds of decisions often result ultimately in criminal charges and litigation that may eventually even sink the ship. The question is, would you see the iceberg coming in time to course correct?
Poor Business Ethics Are a Poisoned Pill For Corporate Culture
There is nothing like spiraling ethics to destabilize the strength of a team and undermine employee performance, and yet the recent Global Ethics Survey revealed that pressure on U.S. employees to compromise their standards is the highest it has ever been. The sad fact of the matter is that without clear parameters within which to operate, employees can quickly step into loose cannon shoes, disregarding essential protocols and making costly errors in the name of proving their worth. Simultaneously, other employees who see colleagues or leaders bending and breaking the rules are likely to become demoralized. Team-wide trust can quickly be dismantled, with collaboration and creativity sacrificed in the name of hitting short-term targets.
This kind of disengagement and mistrust can rapidly set the stage for an acceleration of things like employee theft, malingering, workplace bullying, and even white collar crime. High-caliber employees who operate with integrity won’t stick around in such an environment, so turnover can be the next sign that the hull of your business ethics vessel has been breached. At this juncture, damage to corporate culture can begin to manifest very much like an infection, with knock-on impacts seen in every area, and complaints and losses leaving leadership and HR running around in circles.
A Crisis In How Your Company is Perceived
With information sharing on social media at an all time high and review sites like Glassdoor growing increasingly popular, you can be certain that news of a business ethics crisis won’t remain under wraps for long. In an era that sees consumers value integrity more than ever when choosing where to invest their hard-earned dollars, the repercussions can be severe is your company’s credibility comes crashing down. Once this particular dam has burst, restoring consumer confidence can be a lengthy and costly undertaking. The key is to strike while the iron is hot—if you know that business ethics are not up to standard within your organization, act now to ensure that the many potential impacts of unethical activities are not allowed to ripple outwards.
How a Corporate Investigator Can Help You Get Business Ethics Back on Track
Many corporate leaders imagine that corporate investigation services are something to call on when crisis point has already been reached and a breach or crime has occurred. While it’s true that this kind of reactive investigative work is a facet of what we do, the corporate investigator also has a powerful role to play in risk prevention and pursuit of optimal performance. Business ethics and corporate culture are intricately interlinked, and an investigation into one will almost always shed light on the state of the other. For any company wishing to raise their business ethics profile—whether aiming to prevent a downward spiral or mitigate damage already done—a Corporate Culture Audit is the best place to start. Our expert corporate investigators will illuminate the root causes that undermined your enterprise’s ethical status in the first place, and help you steer a course toward forging a thriving corporate culture that ensures productivity, innovation, and progress in all the right ways. Learn more about our comprehensive corporate auditing services today, or connect with our team to discuss your unique needs.
For any company with precious assets and interests to safeguard, fortifying the ramparts against external threats is a given—but what happens when the true dangers lurk within? White collar crime occurring under the radar often leaves a trail of devastation in its wake. Making matters worse, the greater the position of trust enjoyed by the perpetrators, the more substantial the damage is likely to be.
In truth, the extent of white collar crime across the US remains an unknown—loosely estimated to be anywhere between$426 billion and $1.7 trillion annually—because data suggests that as many as 90% of white-collar crimes go unreported. Simultaneously, prosecutions continue to drop, having plummeted by more than 50% since 2011. So, how can you ensure that your organization doesn’t simply become one of these sinister statistics?
Covert corporate investigations can help you identify the white collar criminal and stop them in their tracks. From stemming the flow of financial haemorrhaging to gathering enough evidence to take swift legal action, a corporate investigator from Lauth Investigations International will serve as your secret weapon against white collar crime.
What Constitutes White Collar Crime?
If you think that your leadership team doesn’t warrant scrutiny, think again. The types of white collar crime that our investigators regularly encounter are diverse in nature. Bad actors with data and assets at their fingertips can soon dip into nefarious activities such as securities fraud, insurance fraud, insider trading, money laundering, embezzlement, bribery, tax evasion, Ponzi schemes, identify theft, and more.
What’s worse is that a company operating under a veil of naivety will not only be vulnerable to substantial financial losses, but also potential implication in illegal activity that may lead to a quagmire of investigations and litigation. The key to avoiding such an unwelcome destiny is constant evaluation of security protocols and taking deft action whenever the faintest aroma rises that something might be amiss.
Why You Might Call on Covert Corporate Investigations Services
Preventive measures to keep white collar crime at bay include conducting regular Corporate Culture Audits, threat assessments, and comprehensive employee background checks. These tactics can dramatically reduce the risk that a member—or members—of your team are about to go rogue. However, when warning signs begin to appear, covert corporate investigations become the best resource in your toolkit for nipping white collar criminality in the bud.
Examples of these raise-the-alarm indicators include finding evidence of losses but being unable to trace their cause, receiving a tip on criminal activity but lacking the detail to address it, becoming aware of worrying evolution of departmental team dynamics, or pervasive divergence from company policy within the behaviours of employees. At times, the signs that all is not well are obvious, but at others, following an instinctive hunch that something is amiss can mean the difference between taking swift disciplinary action and moving smoothly on, or being overwhelmed under the weight of an escalating legal fallout.
Covert Corporate Investigations From Lauth Investigations International
Our seasoned and objective undercover operators are experts at quickly blending in within any corporate environment, adopting the role of a new recruit before tracking and evidencing all of the information required to identify a white collar crime perpetrator and mount an effective counter offensive. Their speciality is illuminating the unseen within your organization, drawing not only on covert corporate penetration tactics but also cutting-edge surveillance technology and licenced access to verified law enforcement-favored databases.
Covert corporate investigations are not only ideal for revealing the facts of a white collar crime as quickly as possible, but also ensuring that navigating this internal threat is done discreetly, protecting your organization’s operations from the substantial disruption that can occur when an unmitigated crisis takes hold. If you are concerned about white collar crime within your teams, we are ready to assist. Connect with our corporate investigations specialists today and protect your assets and integrity from internal dangers.
Inevitably, certain types of workplace wrongdoing warrant an overt investigation—when it’s in the company’s best interests to take a stance of transparency when taking steps to rectify the issue at hand. But in others instances, keeping your investigation under wraps can ultimately be the only way to mitigate damage, catch wrongdoers in the act, and prevent an escalation of impact to company reputation and financial standing. In these moments, a corporate investigator well versed in launching efficient and sound undercover investigations is the crucial ally you need in your corner.
When evidence suggests that something nefarious is bubbling under the surface of your organization’s operations, there is always a risk that what you have detected is only the tip of the iceberg. To gain a sense of the scale of the issue, it’s important to recognize that 90% of all significant theft losses within the corporate world come from employees—and that’s only one within a spectrum of immoral activities that could be happening right under your nose.
Factors such as eroded company culture, patterns of workplace theft, malingering, and even catastrophic white collar crime often go undetected by leadership for months until untold damage has been done. The salve to such risks is proactive and discreet action taken at the right time, offering the potential to thwart the misappropriation of company assets and resources. If you find yourself wondering what you are missing in your workplace, Lauth Investigations International is ready to assist.
The Types of Workplace Wrongdoing That Undercover Investigations Bring to Light
Whenever an employer has a clear sense of conduct violations or even criminality taking place under their roof—or simply has a suspicion that all is not as it should be—undercover investigations can reveal far more of what takes place in the workplace than any other form of surveillance.
A highly trained covert corporate operative will be able to accurately evidence the things that your security systems and CCTV have missed, including issues such as product or property theft, fraud and forgery, idling and malingering, substance-abuse, bullying and discrimination, non-compete violations, safety and security issues, and much more beside.
A phenomenal amount of evidence gathering can take place with zero disruption to the workplace or any indication to wrongdoers that their actions are being monitored. Once the covert operation is concluded, further formal corporate investigations, disciplinary procedures, and legal action can be taken with confidence that the material evidence is in place to back every step up.
Why Undercover Investigations Are So Effective
Whether an employee’s actions are intentionally criminal or dangerously negligent, an admission of guilt is never something that will simply arrive on your desk. As soon as the individual or individuals in question sense that they are under the microscope, in all likelihood they will quickly rally to cover their tracks. This makes overt corporate investigations a risky pursuit, as HR quickly find themselves running up against dead ends, unable to pinpoint the source of accumulated losses.
In contrast, a covert investigation undertaken with the assistance of undercover investigations specialists from Lauth Investigations International ensures the means to cast a spotlight on the facts before they move forever into the shadows. Whether the result is confirmation of your fears and the opportunity to correct them justly, or the confidence that trust in your team is something that you can afford to indulge, undercover investigations provide ultimate peace of mind. If faith has been compromised at your workplace and you suspect that all is not as it should be, reach out to our team today for tailored advice on the best way to proceed.
An internal audit has appeared on the impending schedule and it’s time to make sure that your house is in order. After all, your procedures are about to be combed through in depth and faults and flaws brought to the surface. When faced with this prospect, it is vital to take proactive action, thinking through and identifying potential weak areas. But not only that; the internal audit is a collaborative process that can either reward or reprove. Preparations are key, and a skilled corporate investigator can help you lay the foundation for a prosperous outcome. Let’s examine the process a little more closely.
Aligning With the Objectives of the Internal Audit Process
Internal audits are conducted in an effort to minimize risk and optimize business operations. This will include things like confirming legal compliance and adherence to company policies, safeguarding various assets, preventing fraud and other forms of white collar crime, and ensuring the strength and efficiency of practices.
To yield positive results from this process, it is key to understand the objectives and risks of the undertaking in relation to your unique enterprise—failure to do so will potentially see you blind-sided by obligations following the internal audit’s results. If the behaviours of your team have diverged dramatically from policies, procedures, and business goals, knowing this ahead of time can help you prepare for what’s coming, as well as enabling you to contribute to the course of the internal investigation’s conclusions and follow up.
Crucially, many internal auditors are trained on measuring the metrics that dictate whether standards and requirements are being met, however they may not be experts on the intricate realities of your particular field. Even armed with the goal to steer you toward compliance and help you achieve higher standards moving forwards, their input may make unwelcome waves.
Your tactical preparation for this assessment can help you work with them to meet the targets in question, rather than allowing conclusions drawn to side-track your department’s progress. Who better to help you prepare than a corporate investigator able to approach the internal audit process with comprehension of both perspectives?
Help In Developing An Effective Audit Program
If, in contrast, you are an executive charged with developing an effective internal audit program, drawing upon expert assistance can be invaluable. After all, an internal audit is only as effective as its scope is comprehensive. A corporate investigations specialist from Lauth Investigations International will offer essential guidance in curating an effective strategy.
Extensively versed in designing and conducting corporate audits and investigations, we understand the necessity to develop bespoke internal audit solutions that not only ensure that every ‘i’ is dotted and ‘t’ crossed, but also that operations, assets, integrity, and—crucially—corporate culture are elevated through the auditing process. Our veteran corporate investigations and auditing specialists can assist all branches of business in preparation ahead an internal audit, helping them ensure that they have shone a light into every dark crevice and corner, and are armed with the information and strategies required to make the process as painless and constructive as possible.
For companies aiming to establish or reinvent their internal audit processes, we can both aid in the development of tailored auditing practices as well as offering comprehensive Corporate Culture Audits that assess every facet of an organization’s operations in order to propel it towards its full potential. To discover more about internal audit support from the Lauth team, contact us today.
In the wake of the so-called “Great Resignation” triggered the Covid-19 pandemic, businesses across America are struggling more than ever to recruit and retain the talent they need to drive profit and progress. What many don’t realize is that while the pandemic may have knocked over the first domino, toxic workplace culture is often the true culprit that keeps them tumbling. So much so, that research indicates that the impact of a vacuum in corporate culture is ten times that of perceived under-compensation when it comes to an employee deciding to quit.
When leaders think that they can pay off the problem without tapping into workplace culture from the employee perspective, it remains impossible to slam on the breaks of runaway turnover. So what is the key to fixing workplace culture and restoring employee retention once and for all? In these instances, a Corporate Culture Audit is the ultimate resource. Only when the holes in workplace culture are seen and understood can the work of repair begin.
Why Improving Retention Should Be High on Your Agenda
Not only can a company expect to have to fork out 200% of an employee’s salary to replace them after they head for the door, but the problem is more pervasive than that. Recent research reveals that employees jumping ship often convince their co-workers to go with them. In fact, so rife is this issue that 38% of employees say they have encountered a coworker who encouraged them to leave their current positions with them. Allowing workplace culture to erode is a sure-fire route to a domino-effect that escalates exponentially.
Going beyond the core issue, it’s also worth considering the fact that poor retention can be only one symptom of a far larger problem. When workplace culture has degraded, productivity is likely to plummet, customer care collapse, and misconduct issues ranging from malingering to employee theft and even white collar crime become far more likely to occur.
What Investing in Workplace Culture Looks Like
If retention issues sit among a cluster of warning signs that workplace culture has gone awry, what is the solution? Job satisfaction is key, but boosting this metric is not as simple as flipping a light switch—it calls for assessing workplace culture holistically. Factors such as strength of communication, leadership styles, achievement recognition, development opportunities, and supportive environment-creation all play their part.
Equally, rooting out negative behaviors and habits is essential if they are to be tackled decisively. Re-evaluating company values and improving development programs will only go so far if workplace bullying and time theft is commonplace. Correcting workplace culture cannot be a band-aid solution—it needs to be approached accurately and comprehensively with no stone left unturned.
Building a Road Map to Stronger Workplace Culture
According to Harvard Business Review, satisfied employees reward their employers with 31% higher productivity, 37% higher engagement, and no less than triple the creativity. If you want your team to excel and innovate, the process begins with understanding your current workplace culture standing.
To aid in this process, Lauth Investigations is proud to serve businesses across the country with comprehensive Corporate Culture Audits. With our assistance, a clear picture of the state of play can be realized and a course can be set towards the kind of high-caliber corporate culture that will enhance employee retention, increase performance, and grow your bottom line. Are your ready to get started? Discover more about the process or reach out to our dedicated corporate investigations team to discuss your needs.
