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Lack of integrity at work

The high cost of Lack of Integrity in Business Practices

When there is a lack of integrity, the foundation of any relationship or organization begins to crumble

Do you ever feel like your workplace lacks integrity? Maybe you’ve witnessed your colleagues or superiors engaging in dishonest or unethical behavior, or you’ve been pressured to compromise your own values for the sake of profit or success. The reality is, the lack of integrity at work is a pervasive problem in many organizations, and it can have serious consequences for employees, customers, and the overall success of the business.

Integrity at work refers to the quality of being honest, ethical, and trustworthy in one’s professional conduct. It involves adhering to high moral principles and values, even when it may be difficult or inconvenient to do so. Unfortunately, the lack of integrity at work is a common problem in many organizations, which can have a negative impact on employees, customers, and the overall success of the business (source).

In this blog post, I will discuss how the lack of integrity has an impact on the morale, customer satisfaction, and production of the organization and what you should do if you are confronted with it. 

The Impact on the morale

Lack of integrity at work

Morale is a key factor in employee satisfaction and engagement, and lack of integrity can have a significant impact on morale in the workplace. When employees witness unethical behavior or feel that their colleagues or leaders are not acting with integrity, it can erode their trust, loyalty, and respect, and lead to a sense of demoralization, disengagement, or disillusionment.

Employee views of fairness and justice are one way that a lack of integrity can have an impact on morale. Employees who believe that certain people or groups are being given unfair benefits or preferential treatment as a result of unethical behavior may become resentful and feel that the system is unfair.

Furthermore, when staff members lack confidence in their superiors or fellow workers, it may result in a toxic work atmosphere marked by conflict, mistrust, and low morale. This can then result in lower productivity, lower motivation, and greater turnover rates.

Only 13% of workers globally, according to Gallup, are actively engaged at work (source). This indicates that organizations have a big chance to boost morale and engagement by giving integrity and ethical behavior a high priority. Organizations can foster a more uplifting and encouraging work environment where employees feel valued, respected, and enabled to perform at their best by creating a culture of trust and accountability.

The effect on customer satisfaction

Any company must prioritize customer satisfaction, but a lack of integrity can seriously damage client loyalty and trust. Customers may experience dishonesty, fraud, or deception when dealing with a company. This can harm the company’s image, quality, and service, as well as result in lost sales, fewer referrals, and lower profitability.

Customer satisfaction can suffer from a lack of integrity in a number of ways, including how it affects the company’s image. Customers’ perceptions of businesses is negatively impacted when they learn that there is dishonesty or unethical conduct occurring within the company. Customers’ trust and loyalty may decline as a result, and they may be less willing to do business with the firm.

Additionally, when customers experience poor quality or service as a result of a lack of integrity, this can result in unfavorable reviews and comments that can further damage the company’s image. In the era of social media and online reviews, the majority of customers say they are influenced by online reviews when making purchasing choices, underscoring the significance of upholding a positive image.

Lack of integrity at work

Negative impact on production

Productivity is a critical component of any successful business, but lack of integrity can seriously undermine employee performance and efficiency. When employees don’t trust each other or their leaders, it can create a toxic work environment that is rife with conflict and inefficiency. This, in turn, can lead to a range of negative consequences, including decreased motivation, lower quality work, and reduced profitability.

One way that lack of integrity can harm productivity is through the actions of employees who engage in dishonest or unethical behavior. For example, employees who lie, cheat, or steal may waste time covering their tracks, avoiding accountability, or dealing with consequences. This can detract from their ability to focus on their work, meet deadlines, and collaborate effectively with their colleagues.

Research has shown that there is a strong link between trust and productivity in the workplace. According to a study by EY, companies with high levels of trust have 2.5 times higher revenue growth than those with low levels (source). This suggests that organizations that prioritize integrity and ethical behavior are more likely to see positive results in terms of productivity, as well as overall financial performance.

What to do if you are confronted with a lack of integrity at work?


It’s essential to take action if you find yourself in a situation where there is a lack of integrity at work. Failing to address unethical behavior not only perpetuates the problem but can also lead to a toxic work environment that harms everyone involved. As an employee, it’s crucial to speak up if you witness dishonest or unethical behavior, either by reporting it to your supervisor or using a whistleblowing mechanism if your organization has one. As a leader, it’s even more important to set an example of integrity and create a culture where employees feel safe and encouraged to report any wrongdoing. By taking action, you not only protect yourself and your colleagues but also contribute to building a workplace that values ethics, trust, and accountability.

Lack of integrity at work

Steps for the employee

  1. Speak up: If you witness unethical behavior or suspect that something is amiss, it is essential to speak up and report your concerns to a supervisor or HR representative.
  2. Document your concerns: Keep a record of any incidents or concerns you have raised, including who you spoke to and when. This will help you to demonstrate that you acted in good faith if any issues arise later on.
  3. Seek support: If you are feeling overwhelmed or unsure of how to proceed, seek support from a trusted colleague, mentor, or external resource, such as an employee assistance program.
  4. Take care of yourself: Confronting a lack of integrity at work can be stressful and emotionally draining. Make sure you take care of yourself by seeking out resources and support to help you cope with the situation.

Steps for a leader

  1. Set the tone: From the outset, it is essential to create a culture of integrity and ethics within your organization. This means leading by example and demonstrating your own commitment to these values.
  2. Listen and investigate: When concerns are raised, take the time to listen carefully to all parties involved and investigate the matter thoroughly. This will help you gain a full understanding of the situation and determine the best course of action.
  3. Take corrective action: If unethical behavior is identified, take the necessary corrective action. This may include disciplinary action, retraining, or implementing new policies and procedures to prevent similar issues from arising in the future.

Communicate openly: Be transparent about the situation with all parties involved and communicate openly about the steps being taken to address it. This will help to rebuild trust and confidence in the organization.

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Final thoughts:

Lack of integrity at work can have far-reaching consequences for employees, customers, and the overall success of a business. From eroding morale and engagement to damaging customer satisfaction and productivity, it can seriously undermine the core values and principles of an organization. In a world where ethical behavior and transparency are increasingly valued, businesses must prioritize integrity to build a positive reputation, create a culture of trust, and ultimately achieve long-term success. By promoting a workplace environment where honesty, ethics, and accountability are valued, organizations can ensure that their employees and customers feel valued, respected, and supported.

Recommended book:

Ken Blanchard and Norman Vincent Peale’s book, “The Power of Ethical Management,” provides practical strategies to restore integrity in business and guides managers on achieving success while upholding their values. 

The book is centered around the “Five P’s of Ethical Power” – Purpose, Pride, Patience, Persistence, and Perspective – and presents a fictional story of a middle manager’s ethical dilemmas and how he learns to apply these principles in his work. By highlighting the importance of ethical behavior in business, the book encourages managers to prioritize integrity and offers a roadmap for how to achieve it.

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