ABSTRACT
Nature. An integrity approach comprises a valuebased approach to managing ethics. Where the compliance mode is characterised by external enforcement of ethical standards upon a business organisation, the integrity approach is marked by the internalisation of ethical values and standards. Instead of imposing ethical standards upon the organisation, it seeks to obtain the commitment of individual members of the organisation to a set of shared corporate values (Moon and Hoony, 2001, p. 26). In this way the locus of control becomes internal. By ensuring that the locus of control resides within members of the organisa-
• Reliance on the capacity of organisational members to act with integrity may also result in the organisation ridding itself of rules and procedures that were originally designed to protect the company against moral failures. The absence of such rules and procedures may over time induce moral laxness that increases the risk of moral failure.
