#metoo – BOS

Nudging for a Better Workplace: How to Gently Guide Employees Towards Ethical Behaviour

By Leonie Decrinis

◦ 2 min read ◦

Corporate scandals caused by unethical behaviour can have dramatic consequences for a company’s bottom line. The Volkswagen emission scandal created a financial damage of over 45 billion US dollars thus far. The Enron accounting scandal ended in the company’s bankruptcy back in 2001. Most recently, the #MeToo movement has brought to light sexual harassment at the Weinstein Company, Fox News and Uber, to name just a few, all subject to payments of significant fines. How can we explain such scandals and what can companies do about it?

Why good people do bad things

In general, when we think of bad behaviour we think of it as a matter of bad character: bad people do bad things. But research tells us that this is view is misguided. Normally, employees involved in unethical behaviour have high moral values and good intentions, in line with their companies’ sets of ethical standards. Yet, their behaviour can deviate significantly from personal and organisational principles.

In fact, the moment they engage in unethical behaviour, they might not even realise that they are doing the wrong thing.

Context matters in explaining such ‘ethical blindness’. Environmental cues in the workplace, like monetary signals, trigger the adoption of a business decision frame, whereby people favour self-interested choices over ethical behaviour without necessarily being aware of it. By applying mechanisms of moral disengagement, they think that they are doing the right thing, while in fact acting unethically. For example, they may justify their detrimental conduct by portraying it as serving a socially worthy purpose, which makes them temporarily blind to the harm they are causing.

Building a culture of control does not solve the problem

In response to issues of moral misconduct, companies usually tighten their internal control systems. They strengthen the requirements for ethics trainings by making them mandatory and introduce monitoring and surveillance systems. They also try to incentivise ethical conduct through rewards and punishments. However, these instruments do not always lead to the intended behavioural outcomes and instead might even aggravate wrongdoing. This is because such instruments send signals that reinforce the adoption of a business decision frame, which is prone to moral disengagement. For example, in the case of Volkswagen, a CEO who led through fear and bound high expectations for engineer development to tempting bonus payments encouraged employees to circumvent the rules by engaging in emissions cheating.

Nudging – beyond carrots and sticks

To promote ethics in the workplace, building a culture of fairness and trust is pivotal. Nudges are instruments that align with these principles. They do not mandate or forbid choices nor do they meaningfully alter the financial incentives related to various behaviours. Instead, by considering the psychology of decision-making, they try to gently guide people towards certain outcomes while preserving their freedom of choice. Nudges do so by subtly altering the context (choice architecture) in which humans make their decisions. Examples include default settings or social norm feedback as well as the simplification of information or the framing and priming of messages.

While initially mostly applied by governments to steer the behaviour of private citizens or consumers, more and more companies are relying on nudges to improve the choices of their employees.

JP Morgan, for example, uses proprietary algorithms to predict unethical trading behaviour before it occurs. Traders then receive pop-up messages prompting them to reconsider transactions when they are at risk of breaking the rules. Scientific studies further support the power of nudges in form of photos of close others or moral symbols at the workplace that encourage employees to adopt an ethical decision frame, which helps them to act in line with moral values. Overall, while much remains to be explored when it comes to ethical workplace nudging, the gentle steering tool seems to provide a promising route for improving behavioural ethics outcomes in organisations.

About the Author

Leonie Decrinis is PhD fellow at Copenhagen Business School with research interests in corporate social responsibility, sustainability governance and behavioral sciences. Her PhD project focuses on applying behavioral insights to corporate sustainability in order to align governance objectives with organizational behavior.

Photo by Shridhar Gupta on Unsplash

Wonder Tech and the Institution of Gender

by Jeremy Moon

“I didn’t realize that I was a woman until I went to the US.”

This was the rather arresting comment of a keynote speaker at the WonderTech Summit in Copenhagen, organized by a group of, mainly female, IT professionals. The speaker in question (a Senior Vice President of a leading MNC and leader of a women’s innovation initiative) explained that this awakening to gender was because in her home country, Denmark, she was used to being treated as another ‘person’ and, by inference, equal to men.

I have noted elements of equality in Denmark in: the extent of public funding for schools (overwhelmingly mixed sex) and parental leave; and the involvement of fathers in parenting. However, this is not to suggest that there is no gender institution in Denmark. The speaker referred to her disappointment that Denmark was only ranked 14^th in the World Economic Forum Report for Women, and some other speakers alluded to the institution of gender in the tech industry and higher education in Denmark, and the way it worked against women.

Gender as an Institution – marco, meso and micro level

This comment struck me as a nice illustration of the idea of gender as an institution[1]: the way gender delineates the largely taken for granted roles of men and women. At the systemic (macro) level there are the respective norms, laws and rules. At the organizational (meso) level gender regimes shape the ‘way things are done here’. At the individual (micro) level there are the gendered practices in daily interactions. Of course, the gender institution is manifest in different ways in different places as illustrated by the aforementioned speaker’s contrast of its operation in Denmark and the USA.

So what, I wondered, would be the approach to this issue recommended at the conference whose purpose was ‘to celebrate the achievements of women in the industry and inspire diversity in tech’?

I was interested in the way participants addressed gender in their contexts. The aforementioned speaker advised that women disappointed in job / promotion applications, should not complain but try harder and better next time. Another speaker referred to a role model for women in blockchain entrepreneurship who advised ‘not to talk about gender’. The emphasis was upon innovation and taking initiatives at the individual level, and the numerous awards that were made enabled yet more such personal stories to be told. Wilma Rudolph was a used as a role model by one speaker (check out her amazing story of overcoming obstacles of socio-economic means and physical disability alone).

Network merit

Another key theme of the conference was at the meso level but focusing not on the oppressive organization, but on women’s self-help networks for mentoring, capacity building, career modelling, and sheer encouragement. The conference was replete with evidence of network organizations and social enterprises working in the field.

All this was so positive. The conference speakers and participants seem confident in their abilities to work professionally and effectively. There was little sense of inferiority or ‘being a woman’ in their organizations. How representative or scalable are these stories?

Too little attention on the political level

Which leads to my final observation that there was little attention to the systemic, or political, level of the gender institution to advance the careers of participants at WonderTech, even though the conference did give cases of ‘solving problems for people, businesses, and the planet’ (e.g. how ICT could be deployed to address systemic obstacles to equality for women in developing countries?).

Solving Problems for People, Businesses, and the Planet.

Can the inspiring individual stories and the network values and achievements carry the day or will more political action along the lines of the suffragettes or #MeToo be required? This might be to increase female participation in Tech science education, to increase women leaders in the Tech industry, and to enable women not to need ‘to feel like women’ – at least when doing so is a sign of adverse effects of the gender institution?[2]

[1] The subject of a forthcoming paper with Lauren McCarthy (more when it is published)

[2] Former Soviet countries lead the EU rankings of women in the tech workforce, presumably a legacy both of their policies of enrolling the brightest students in specialist maths high schools, and of current practices of selecting equal numbers of boys and girls in these schools, and encouraging girls to study computer science at university https://www.ft.com/content/e2fdfe6e-0513-11e8-9e12-af73e8db3c71

Jeremy Moon with some help from Marjahan Begum, Plamena Cherneva, Lavinia-Cristina Iosif-Lazar and Lauren McCarthy.

Jeremy Moon is professor at the Department of Management, Society and Communication, member of the Governing Responsible Business Environment and holds the VELUX Chair of Corporate Sustainability, all at Copenhagen Business School.

Pic by Jennifer C, Flickr.

After #Metoo: Are We as Equal as We Would Like to Think?

By Sara Louise Muhr & Florence Villesèche.

The me too movement was founded in 2006 by Tarana Burke to help survivors of sexual violence, but it was not until after the public revelations of sexual misconduct allegations against Harvey Weinstein in October 2017 that it went viral as a hashtag and ended up demonstrating the world-wide prevalence of sexual assault and harassment, especially in the workplace.

It has been a shock to many how widespread sexual assault and harassment is – not least in a Scandinavian context, where the assumption of equality and respect long has been a foundational societal value. The massive amount of me too stories from Scandinavia – from all social classes, all occupations, all ages and ethnicities – have forced us to take another hard look at our beloved equality and ask the question ‘are men and women after all as equal as we would like to think?’.

Let’s look at some numbers…
And if we look at the numbers, we’re not… Just to take a few examples: Denmark has 6 % female CEOs in private companies, Denmark has a 16 % overall gender pay gap: 30 % among CEOs, 6,6 % among newly educated candidates, 2,6 % among our students. Around 50 % experience sexual harassment at work. Moreover, all studies point to the fact that women (and other minorities) are consistently evaluated lower than (white) men and women (and other minorities) systematically receive shorter, less-praise worthy letters of recommendation compared to (white) men.

What’s in a fight?
This means that we are not as equal as we would like to think. Some bodies fit the business world; some have to fight their way up and deal with a lot of resistance on the way. The difference here lies in the fight. Those women who make it to the top, are those who don’t give up. They are those who can take it, who have the power (or patience) to deal with or fight off the sexism and sexual harassment they are faced with on the way, every day.

Other bodies who fit the context of the business world, don’t have to fight. They just fit in. We might therefore on paper have equal opportunities, but some bodies meet resistance, some fit and do not meet resistance. As Sarah Ahmed argues in an essay about ‘Phenomenology of Whiteness’, if whiteness is our starting point – the default – then the black body is out of place. A black body is a black body; a white body is just a body. Similarly, the female body is out of place, not at home, not natural in a top management context. A female leader is a therefore always already a female leader; a male leader is just a leader. A female leader cannot escape her body.

The privilege of invisibility
This links to the privilege of invisibility, the privilege of ‘fitting’ the context, fitting the room. Karen Ashcraft refers to this as the glass slipper. Certain bodies fit certain occupations, whereas other bodies need to adapt and adjust and never really fit, always stand out. This is both the female top-manager and the male kindergarten teacher; the female fire-fighter or the male stay at home dad. The problem here, is not necessarily ‘not fitting the room’. Rather, the problem is the harassment, which is normalized against the ones not fitting the room. This is what the wide impact of the me too campaign has shown: The normalization and naturalisation of sexism against women at the workplace – from demeaning comments to actual sexual assault – which holds women back, keeps men in a positions of power; makes it necessary for women to fight for their right to a career, stick it out, deal with all the crap. It is a normalization of harassment and bullying of various kinds targeted the bodies that don’t fit in. And as Jaqueline Rose points out in a recent article in London Review of books, although sexism and harassment is often excused by being just for fun or a singular slip, it is ‘’never innocent, or a mere trifle, playful, or a ‘joke’‘.

The aggregation of micro aggressions
We therefore need to call out the sexism that sieves through every layer of our society and is weaved into our workplace cultures. Sexism is naturalized to a degree that many even feel entitled to it. Like the other day when one of us was presenting a diversity and inclusion plan to increase the number of female professors at our university, where a male participant in full honestly claimed that the low number of female professors was ‘natural’ as ‘it is scientifically proven that men are more intelligent than women’. Nobody said anything, nobody called out the injustice of such a remark, it was seen as his right to say this. The problem here is that nobody realises that micro aggressions like this – or remarks and behaviour which are even worse – are repeated every single day. And where they in and of themselves possibly can be seen as innocent and as jokes or as a remark from one radical person, together they construct the foundation of our work culture and in this way aggregated create systematic discrimination. The below quote from the everyday sexism project powerfully shows how everyday micro aggressions function in bulks:

Board member in my office: “how’s my little staff girl doing?” Same board member at an event: “it’s okay about your tits — I’m an ass man.” Another board member: “how’d a pretty girl like you get so smart?” Another board member, “I actually like that you’re so outspoken.” Another board member: “just type this up for me.” Sign on my way to work: “real men vote for Trump.” Bumper sticker on the car in front of me: “don’t be sexist — broads hate that!” At the supermarket, “gimme a smile, baby.” In the parking lot, “move it, you fat bitch.” New stories every day, every day, every day. (Website post, April 2017, Tags: Everywhere, Public space, Workplace. Themes Bodies; Experience; Resignation)

It is about time we wake up and realize that gender imbalance at management and board level, is not just because women rather want to stay at home or are less ambitious or don’t have what it takes. We have a problem with systematic discrimination in the form of every day micro aggressions – covering everything from demeaning comments to sexual harassment. And it is not a sustainable development. We do not use all the talent we have at hand when we systematically discourage parts of the population. Times up!

Sara Louise Muhr is Associate Professor at Copenhagen Business School. Her research focuses on critical perspectives on managerial identity, diversity, and HRM, and has appeared in journals such as Organization Studies, Organization; Gender, Work and Organization, Journal of Business Ethics, Culture & Organization and Scandinavian Journal of Management.

Florence Villesèche is Assistant Professor at Copenhagen Business School. She is a Marie Curie Fellow and received an Emerald/EFMD Highly Commended Award for outstanding doctoral research. Her published work about diversity, identity and networks includes contributions to Human Relations, European Management Review, Personnel Review, and Equality, Diversity & Inclusion.

Pic by Kristopher Roller, Unsplash. Edited by BOS.