There is little that can hurt a company’s reputation and success quite like unethical behavior. Even the best companies can struggle from a lapse of business ethics that, when left unreported and unsolved, can cause disaster for even the most successful of corporations.
Uber is perhaps one of the more prominent examples. A string of corporate missteps, from false advertising, theft of intellectual property, sexual harassment, and spying have all but tanked the company’s reputation and caused their valuation to drop by as much as 30% or more. Companies much smaller than Uber are often at even greater risk.
It is this risk that makes it important for corporations of all sizes to strongly consider some type of ethics hotline service – a system that anonymously accepts accusations of corporate misconduct.
The Legal and Economic Importance of Whistleblower Hotline Services
No company wants to hear that there is an ethical challenge in their workplace. But the only thing worse than a reported corporate ethics problem is an unreported corporate ethics problem, which has the potential to cause substantial damage to a company’s reputation, morale, security, and more.
Benefits of an Ethics Compliance Hotline
It is not the mistake itself that brings down the company. It is the pattern of behaviors and the perception of a cover-up. With an ethics compliance hotline, corporations are able to protect themselves, their reputation, their assets, and more from corporate misconduct, with benefits that include:
- Early Intervention – The more witnesses and whistleblowers feel it safe to comment, the sooner the company can take action.
- Ethical Work Environment – Corporations that care about business ethics yield company cultures that are more ethical.
- Reduced Escalation – The longer unethical behavior goes unchecked, the more likely it is to escalate in both frequency and severity.
- Retaliation Prevention – Anonymous third-party hotlines, like those at Continental Message Solution (CMS), help to protect employees from retaliation.
- Protocol for Addressing Claims – In addition, the company will have greater control over how to take the next steps towards addressing the claims, including both crisis management and investigation.
It is critical that businesses respond to corporate misconduct as fast as possible, as well as create an environment where employees can report on that misconduct freely and without fear of backlash. Your own Compliance Hotline from CMS helps to provide that availability, with an anonymous reporting line that is available 24 hours a day to those that have a claim to make.
Contact CMS Today to Set Up a Secure Third-Party Hotline
Companies should not fear ethics violations. Instead, there are numerous financial reasons to encourage employees to speak out. Outsourcing your ethics hotline provides anonymity that encourages more reports, and makes it easier for you to monitor and manage the culture of the workplace. Give your team a number to call with CMS by starting an Ethics Hotline today by contacting CMS at 1-800-369-8908 or viewing our online price guide.