Do small and medium sized companies (SMEs) need codes?
Ethics is just as important to SMEs as it is to larger companies, but the key issues and concerns can be very different. In 2000, IBE commissioned Dr Laura Spence to produce Priorities, Practice and Ethics in Small Firms, a guide to ethical issues facing SMEs. The Codes of Conduct section of this web site also provides some guidance for SMEs on how to tackle ethical issues. Today’s multinational corporations were yesterday’s SMEs, and IBE suggests that SMEs address ethical concerns as early as possible. IBE recommends that SMEs produce their own code of business ethics, involving employees in the process and tailoring the code to the needs of their business. Many companies make the mistake of only tackling ethics when problems arise. But, by then, it can sometimes be too late. A reputation takes years to build, but can be lost overnight.
