Instead of relying on passive whistleblower hotlines, companies can proactively identify high-risk areas. A simple survey asking employees if they've seen misconduct, if they reported it, and why not, acts as a powerful diagnostic tool to pinpoint where integrity gaps are emerging before they become major crises.
To perform a simple but effective 360-degree review, ask your boss, peers, and direct reports two questions: "What are my strengths?" and "What could I improve upon?" The vague nature of the second question helps bubble up the most critical areas for growth without leading the witness.
Private equity firms can use the 5x CEO leadership assessment not just for annual reviews, but as a proactive tool to identify potential performance issues in portfolio companies early on, acting as a "pulse check" or an early detection system.
Public perception sees corporate fraud as a rare, company-defining event. The reality inside Fortune 100 companies is that substantial violations occur frequently—as often as every few days. Management's job isn't to eliminate misconduct entirely, but to manage its frequency and severity to keep it small and internal.
Traditional culture surveys are expensive, have low completion rates, and rely on biased self-reported data. AI tools can passively analyze anonymized and aggregated communication patterns to provide real-time, empirical insights into organizational health, offering a more accurate 'culture dashboard'.
One of Brad Jacobs' favorite tools is a simple employee survey he deploys immediately after an acquisition. It asks just three questions: 1) What's working well? 2) What needs fixing? and 3) What's your single best idea? This quickly surfaces crucial insights and signals to new employees that their input is valued.
Instead of just preaching integrity, leaders must actively design systems that don't reward employees for achieving goals unethically. Character is what someone does when no one is looking, so a leader's role is to structure the environment to prevent integrity breaches before they happen, rather than just reacting to them.
The 'TRUTH' framework (Trust, Risk, Understanding, Titles, How-to) provides a diagnostic tool for understanding the five key factors that prevent employees from speaking up. It helps leaders move beyond simple encouragement and address the specific, underlying reasons for silence within their teams.
Most firms give generic online training to masses and reserve expensive in-person sessions for senior executives. A more effective approach is to use data, like from an ethics survey, to identify high-risk business units or regions and invest in targeted, in-person training for them, regardless of seniority.
Teams often don't believe they have problems. A 'perception mapping' session, using anonymized surveys to compare a team's self-perception with how others perceive them, can provide objective data to surface blind spots and create a neutral starting point for coaching.
It is commonly assumed that fear of retaliation is the primary reason employees stay silent about misconduct. However, research reveals a significant factor is the desire not to see their colleagues get fired. This social dynamic, not just individual fear, creates integrity gaps that leaders must address to encourage reporting.