With the word ''ethics'' materializing in business headlines and board discussions with increased frequency, some executives and association leaders are rightfully beginning to question their organization's principles, values, and policies. Even more are asking whether they have or need a code of ethics, whether it is being properly communicated, and what their role in upholding the code should be.

''More often than not, codes of ethics sit on the shelves and gather dust,'' said Dean Williams, president of Williams Savvy & Associates, a strategic communication consultation firm based in Toronto, Canada. ''The first step to implementing and communicating a code of ethics is to decide that you're going to implement and communicate it.''

He adds that implementing a code of ethics and communicating a code of ethics are interdependent. Both processes rely on a myriad of objective factors: the work environment, the number and location of employees, the type of industry, the resources dedicated to the process, and dozens more.

''Ideally, the more personal the process, the better your chance of success,'' said Williams. ''If employees are involved, as opposed to an employer arbitrarily imposing new rules, there is a greater chance of making it work. So the process can be as important as the code.''

Craig Walton, professor of ethics and policy studies at the University of Nevada, Las Vegas, says that people near the top of the organization must make ethics an agenda item and continuing concern, much as they would sexual harassment, health, or workplace safety. But unlike those areas, the issue of ethics goes much deeper.

''Since a code of ethics sets out priorities and expectations, there are a number of questions that must be answered first. What is the culture of this workplace, what kind of character traits are praised and rewarded, which are held in low regard (i.e. lying, covering up, falsification of documents), and what attitudes will get you promoted or fired,'' said Walton. ''It requires truthful answers to these questions to tell of the moral culture of an organization. What sort of moral character do we expect to see in people who work for us?''

According to one study conducted by the Ethics Resource Center (ERC), 90 percent of American workers in business, non-profit, and government sectors want and expect their organizations to do what is right, not merely what is profitable. Yet, one in eight employees also report they feel pressured to compromise ethical standards.

''If employees feel that their leadership doesn't care, there is very little chance of getting their buy-in,'' explains Williams. ''In fact, there is a very good chance the opposite will happen: low morale, low productivity, theft and poor customer service.''

The ERC study reveals the frequency and extent of poor ethical judgment in the workplace, with one in three workers observing misconduct in the last 12 months: lying to employees, customers or vendors (26 percent); withholding necessary information from employees, customers, vendors or the public (25 percent); abusive or intimidating behavior toward employees (25 percent); discrimination (17 percent); sexual harassment (13 percent); stealing or fraud (12 percent); breaking environmental and safety regulations (12 percent); falsifying records and reports (12 percent); drug or alcohol abuse on the job (10 percent); and giving or accepting bribes or kickbacks (5 percent).

Williams points to the beleaguered Enron, the first of several companies to recently bring ethical violations to the forefront, as an example. Prior to executing questionable practices, the board of directors had effectively suspended the company’s code of ethics.

''No matter how they communicated or implemented their code of ethics, it apparently meant nothing to the leadership,'' noted Williams. ''On the other hand, if leadership had cared and encouraged everyone to buy into the same rules, the results could have been astounding.''

Still, Walton cautions that implementing and effectively communicating a code of ethics does not happen overnight. It requires the cooperation and commitment of upper and middle management, people in leadership positions who are willing to set an example and reach out to others.

''What you're working for is to keep all habits and practices that are honesty sustaining and reverse all policies that enable employees to be silenced or intimidated,'' said Walton. ''Encourage and improve areas that are upright and truthful, and weed out practices of retribution.''

A code of ethics sets out an organization's priorities and expectations, but it is ultimately an individual's responsibility. Even when a code is not in place, individuals should always ask if their actions are legal, moral, and ethical. -- knlv