Analyse the following: -Statement from Tenet CEO regarding their compliance prog
ID: 368047 • Letter: A
Question
Analyse the following:
-Statement from Tenet CEO regarding their compliance program
-Articles I-III
Comment on the following areas:
1. The issue/s at hand and the violations
2. Effectiveness of the compliance program in place
3. Suggestions for improvement (what would you have done differently, if any).
Statement from CEO of Tenet
“Doing What’s Right. The First Time. Every Time.”, Howard Hacker,
Chief Compliance Officer
We Are Committed to Standing Up for Our Values and Promoting a Culture of Integrity.
Compliance matters. It’s as simple as that. Tenet’s compliance program represents a shared undertaking on the part of all employees, who are expected to take ownership of compliance and to perform all tasks with integrity.
Tenet Healthcare’s ethics and compliance program helps ensure that everyone in the company understands and complies with all related laws and policies as outlined in our Standards of Conduct. Without exception, these standards apply to every colleague, active staff physician, hospital governing board member and our corporate board of directors.
Our compliance program is managed by our Ethics and Compliance Department, including our more than 100 compliance professionals, in accordance with Tenet's Quality, Compliance and Ethics Program Charter.
When our employees need guidance or want to report concerns, they may contact our Ethics Action Line, 24 hours a day, 7 days a week, at 1-800-8-ETHICS (1-800-838-4427). They may also send an email message to Ethics@tenethealth.com. Callers may remain anonymous, and those who choose to give their names will have their identities protected to the fullest extent of the law.
View additional details about our Ethics and Compliance Program and read our Frequently Asked Questions regarding Tenet, our contractors and the Deficit Reduction Act of 2005.
Articles 1-3:
http://www.healthcarefinancenews.com/news/tenet-healthcare-pay-513-million-over-referral-kickback-scheme-doj-says
https://www.huffingtonpost.com/2012/04/11/tenet-healthcare-settlement_n_1417742.html
https://www.usatoday.com/story/money/business/2013/07/31/whistleblower-suit-hospitals-defrauded-medicaid/2607219/
Explanation / Answer
Introduction - The issue/s at hand and the violations:
An ethics program is an important tool used to communicate the company's business philosophies to all its stakeholders such as the employees, investors, vendors, customers and the general public. A good ethics program can help strengthen a company's relationships with employees and customers and improve the company’s reputation. Employees might be familiar with their company’s stand on ethics but instituting a program eliminates any confusion and provides everyone with the same information regarding ethical business behavior.
The code of ethics guides all managerial decisions and helps in creating a common framework upon which critical decisions are founded. This can help in creating a thorough understanding of the boundaries of the company and the standards set for interacting with external stakeholders. A formal, well-communicated code of ethics can also help to protect a company's reputation and legal standing in the event of a breach of ethics by an individual employee.
The ethics program should have clear guidelines on what constitutes acceptable ethical behavior and what not. Some examples of documented ethical standards include whether employees should accept gifts from vendors, what can be accepted, what is the maximum value of acceptable gifts, etc. When an employee is faced with such a situation and is in a dilemma regarding his / her course of action, referring to the ethics program can provide useful answers. As a step further, if an ethics compliance officer is appointed, employees can use the officer to clear any queries they have regarding ethical dilemmas they face at work.
A public commitment to ethics is important to all stakeholders -- owners, employees, suppliers, customers and the community at large -- because it communicates the mission, vision, and direction of the company. They self-imposed a set of standards by which the organization and it's people are measured. Suppliers will know that favors or gifts will not sway purchasing staff. Customers will know that the company's products and/or services are backed by integrity, and no inappropriate inducements will be offered. Employees will know that they will be treated fairly and with respect and that they have the company's ethical standards to uphold. The community will know that the business is a good neighbor in every sense of the phrase.
Thus having a defined ethical program, helps in creating a working environment that fosters ethical behavior and serves as the doctrine that can be used to ensure ethical behavior from employees. A strong ethical culture also results in increasing the reputation of the company as a good place to work for and hence helps in attracting the desirable talent.
Ethics-related Policy is vital to an organization because,
The effectiveness of the compliance program in place:
Code of Business Conduct and Ethics Policies & Guidelines:
Using Assets and Information Properly:
Promoting Respect, Safety, and Security in the Workplace:
Working with Customers and Other Third Parties:
Recognizing and Avoiding Conflicts:
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