Global Business Ethics-Interview with David Harris of BAE Systems

David Harris has been the Head of Business Conduct at BAE systems since 2009 and is a Chartered Member of the CIPD. Prior to BAE he worked at Lockheed Martin for 12 years in a variety of roles including, most recently, Director of Corporate Responsibility & Ethics, Ethics Officer and HR Operations Manager. David?s specialities include business ethics, ethics and business conduct, HR management, people management, coaching and mentoring and programme management.

How has the culture of ethical business changed in the last 25 years?

I?m not sure it?s been a culture change per say, more a need to clean up some ways of ?accepted? business and make them ?acceptable?. Stakeholder expectations have increased dramatically. The speed and detail that business-related information is now available would have been unthinkable a lot less than even 25 years ago. This increased information and knowledge has enabled us to challenge the way that people act and business is done. It?s no longer about what we do; it?s how we do it. Another change has been the clear demonstration of how irresponsible business can so negatively affect the lives of individuals, with no direct connection between the two.

What are the greatest challenges ethical businesses face?

For me it?s creating and sustaining the right culture and knowing that you have it. For all the effort and creativity we put into codes of conduct, policies, compliance training et al, everything hinges on our employees acting as we want and expect them to act, including how they deal with dilemmas. Another challenge is satisfying the need for and variance of relevant and engaging information that stakeholder groups seek. Providing the right types of evidence to support your statements and for that evidence to enable others to trust the same statements is wholly necessary, if a bit tricky!

If you could set one piece of global legislation to make businesses work more ethically what would it be?

I?m not sure that more legislation is what we need because we are talking about behaviours of people and organisations (collections of people). Legislation, like policies and processes, has its place, but what determines how a business works and how its people respond to situations is culture ? ethical culture built in an ethical environment on ethical values and principles. Rather than more legislation, how about effective enforcement of that which we already have? Perhaps then we would see any gaps.

In terms of ethics, what are your greatest fears for the UK business community?

I?m not sure I have too many fears other than perhaps a creeping complacency from watching the financial and media sectors taking a beating. Complacency based on a [mistaken] belief that it ?could never happen? to them. I think the UK Bribery Act forced the debate around, and understanding of business ethics and how it differs to compliance. In recent years I have seen a dramatic increase in the breadth of industry sectors and businesses I come into contact with at conferences and network-events, and the discussions are very different now. The openness amongst those working in this area is both refreshing and encouraging; it?s almost camaraderie and one I rarely felt outside of my own organisation when in HR or engineering. What also allays my fears is that, across the UK business community, this area of work is attracting very talented individuals with broad expertise, skills and knowledge, me not included of course! People who have the courage and conviction to drive the changes where they are needed in their organisations.

Geographically, what are the most predominant areas for risk at present? And what is the nature of those risks?

I don?t feel too qualified to comment in detail or to single out any region or country. But what I do think is that it doesn?t really matter where you are or intend going ? robust and effective risk management through your planning as well as execution phases is critical. Having a long-range risk radar that prevents you making assumptions against limited pieces of information or intelligence is a great help. Being able to collate often disparate pieces of data to build a picture that then informs and promotes the discussions amongst and challenges from senior leaders. If you can do this then it doesn?t matter if it?s a new joint venture in the EU or a new plant in Asia, the risks will be identified, qualified, quantified and managed.

The response to the Bribery Act from the business world has been well documented; but from your own point of view, what have been the most significant contentions and concerns with adhering to the legislation?

We welcomed the Act all along because we saw the need for something that helped create a level playing field for certain business activities and transactions around the world. I think what gave most people concern was the idea of needing ?adequate procedures? without being told what they should look like. For us we continue to devise better ways of measuring and monitoring various processes and procedures to increase our confidence of ?adequacy?. I?m not a lawyer, but personally I get a sense that the idea of self-disclosure is something that many are at best unsure of, at worst completely distrusting.

What are the aspects you most enjoy/like about working in business ethics?

I absolutely love the fact that everything we do has to be the result of data and information gathering; some process of analysis and synthesis to understand what is actually going on; the design, development and deployment of improvement interventions and then monitoring those to see if they had the impact you set out for.? Through networking and benchmarking I see lots of companies and talented individuals doing great things and many new ideas emerging all of the time. But no-one can tell us what we need to do for BAE Systems, or how to do it ? though some do try! It?s for us to decide and explain and although we find ways to test things out there is little if any room for failure.

And least enjoy?

Ironic ? but not having a book that now again I could turn to that says ?here?s the solution to your problem?! Not that I would want this often, but I do get a bit put off by the amount of academic research, opinion and direction out there that is almost impossible to translate into the workplace.

What has been the toughest challenge of your career? Moving from a career in engineering into HR management was a massive eye-opener for me. Until then I thought I knew people as well as a bit about the business. I wasn?t even close! So much change for me personally, at a time that the company I worked for was changing significantly too, meant that the first year remains the most sustained period of intense pressure I have faced. Having said that it is probably the most enjoyable because I learnt so much about myself, and it wasn?t all good either!

What do you consider to be your greatest achievement?

I don?t do questions like this very well as there is very little I have achieved without the help and support of others. From the workplace the thing I am most proud of is helping some of those I have been lucky to manage realise their own potential. To see people grow in capability and confidence to move on to and be successful in roles way beyond their early ambition gives me real satisfaction. Maybe one or two of my early managers feel that about me? Or maybe not!

As Europe and the world becomes more integrated, working practices change fast and often affect more than one country at a time how to you keep abreast of what affects you and your company?

Sometimes the amount of information and the volume of opinion can be overwhelming to the point where it would be easy to switch it all off. But it is essential to keep abreast and so I rely on one or two good sources of ?summarised? reporting (I can go to the detail if I wish) and networking. I find that regular contact with well-chosen groups and trusted, like-minded individuals help in sharing ideas and practice and keeping me sane (being in an ethics role can become lonely!). We may be dealing with things differently, but most of us are struggling with exactly the same source-problems and I find that sense check really valuable. One of the things I would recommend anyone does is develop some effective filters for things you pick up. If it sounds like waffle or narrow opinion, drop it and leave it dropped. If it sounds like a real nugget you may want to refer back to, put it somewhere you will easily find it. But don?t become a squirrel, like cupboards even IT systems have their capacity limits!

How do you encourage best ethical business practice internationally?

The ?must do? and ?must not do? items of policy are simple, but they cover just a small percentage of what our employees are likely to face. One of my favourite quotes is ?If it looks like a duck, swims like a duck, and quacks like a duck, then it probably is a duck?. Almost everyone has intuition for when something isn?t right ? that is the time to seek advice. If it does not fit with our values and expectations then it isn?t right, for us at least. And of course, having access to a confidential helpline that they can trust will encourage them to seek advice in difficult circumstances.

See David?s LinkedIn profile.

View BAE?s Corporate Social Responsibility Pages.

Read our interview with Philippa Foster Back Back, Director of the Institute of Business Ethics.

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Source: http://www.expolink.co.uk/2012/03/global-business-ethics-interview-with-david-harris-of-bae-systems/

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