TMB named as a 2015 Worlds Most Ethical Company for the 2nd year

Teachers Mutual Bank named as one of the World’s Most Ethical Companies

Teachers Mutual Bank announced today that it has been recognised by the Ethisphere Institute as a 2015 World’s Most Ethical Company*.

The World’s Most Ethical Companies designation recognises those organisations that have had a material impact on the way business is conducted by fostering a culture of ethics and transparency at every level of the company. 

Being a second year honoree underscores Teachers Mutual Bank’s commitment to leading ethical business standards and practices ensuring long-term value to key stakeholders including members, employees, suppliers, regulators and investors.

Teachers Mutual Bank is one of three honorees in the National Banks category and one of only two Australian companies honoured overall.

"These companies use ethics as a means to further define their industry leadership and understand that creating an ethical culture and earning the World’s Most Ethical Companies recognition involves more than just an outward facing message or a handful of senior executives saying the right thing,” said Ethisphere’s Chief Executive Officer, Timothy Erblich.

Scores are generated in five key categories: ethics and compliance program (35%), corporate citizenship and responsibility (20%), culture of ethics (20%), governance (15%) and leadership, innovation and reputation (10%).

About the Ethisphere Institute

The Ethisphere® Institute is a global leader in defining and advancing the standards of ethical business practices that fuel corporate character, marketplace trust and business success. More information about Ethisphere.

The World's Most Ethical Company assessment is based upon the Ethisphere Institute’s Ethics Quotient™ (EQ) framework developed over years of research to provide a means to assess an organisation’s performance in an objective, consistent and standardised way. The EQ framework and methodology is determined, vetted and refined by the expert advice and insights gleaned from Ethisphere’s network of thought leaders and from the World’s Most Ethical Company Methodology Advisory Panel.

Each year, the application process becomes increasingly competitive. In 2015, the competition was especially keen, based on the vastly increased expectations of stakeholders, and the changes that were made to the Ethics Quotient questionnaire on the advice of the Methodology Panel. 

All honoured companies have shown demonstrable leadership in categories such as compliance and ethics program, corporate responsibility and sustainability and governance. And in 2015, every honoree met the standard in every measured category. 

Honorees truly stand out when it comes to creating an ethical culture and developing world class policies and programs in ethics and corporate responsibility. They represent the best in their respective categories, and continue to elevate the behaviour and standards of their industries.

Ethisphere’s scoring and methodology 

1.  Ethics and Compliance Program (35%) The criteria used for this category are fully aligned to corporate best practices, relevant case law and the “hallmarks” of an effective compliance and ethics program as outlined by the Federal Sentencing Guidelines, including:

   Program structure, responsibility and resources; Program oversight and the tone at the top; Written standards; Training and communication; Due care; Detection, monitoring and auditing; Enforcement and discipline.

2. Corporate Citizenship and Responsibility (20%) This category reviews a wide range of a company’s performance indicators associated with sustainability, citizenship and social responsibility, specifically including such areas as environmental stewardship, community involvement, corporate philanthropy, workplace impact and well-being and supply chain engagement and oversight. The quality and effectiveness of the initiatives are considered, in addition to stated and measurable goals, accountability and transparency.

3. Culture of Ethics (20%) This category examines the extent to which an applicant promotes an organisational culture that encourages and achieves ethical conduct and a commitment to compliance with the law. Specifically, the category measures an organisation’s efforts and success at establishing an ethical tone throughout every level of the organisation.

4. Governance (15%) This category looks at the availability and quality of systems designed to ensure strong corporate governance including oversight, governance principles and risk management. Governance criteria is modified as needed and as is appropriate when reviewing private companies, partnerships, educational institutions and non-profits.

5. Leadership, Innovation and Reputation (10%) This category measures a company’s legal compliance, litigation and ethical track record, along with the strength of the company’s ethical reputation in the market place including with key stakeholders such as employees and customers. While we take into account awards and accolades garnered, we also look at some concrete examples of corporate leadership in local, national, industry and/or global initiatives that promote business ethics, responsible and sustainable business practices, environmental stewardship, good governance, transparency and social responsibility. Standard-setting and thought leadership is important, but ultimately what matters most is the quality and innovation of company’s engagement with various stakeholders considered within the context of the company size, industry and performance in comparison to industry peers.

   Source:  The Ethisphere® Institute