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Incentives, bad behaviour and shaking corporate governance

A new report, written by Q&B member Paul Moxey, has been published by Transparency International called Incentivising Ethics: Managing Incentives to Encourage Good and Deter Bad Behaviour . You can read it on TI's website here and download it here.

The report describes the different types of incentive which influence behaviour and how formal incentive schemes can go wrong and lead to unethical and sometimes illegal behaviour. Some of these incentives come from outside the organisation and some are created within it. A five step framework sets out how companies can address the challenges and help create a corporate culture, with supporting incentives, where high ethical standards are embedded so that corruption and other improper behaviour do not occur.