Code of Conduct Analysis: National Australia Bank - MBA402 Report

This report provides a comprehensive analysis of the National Australia Bank's (NAB) Code of Conduct, fulfilling the requirements of an MBA402 assignment. It critically examines key aspects of the code, including policies related to discrimination, exploitation, corruption, dishonest and fraudulent behavior, whistleblower protections, and enforcement mechanisms. The report delves into specific examples and case studies to illustrate the practical application of these policies within the NAB. It explores the importance of ethical conduct, accountability, and the protection of stakeholders, including employees and customers. Furthermore, the report discusses the significance of whistleblower programs in promoting ethical behavior and preventing misconduct. It also highlights the consequences of non-compliance and the measures taken by NAB to ensure adherence to its code of conduct. The analysis is supported by research and references to academic journals and other relevant sources, demonstrating a thorough understanding of corporate governance, ethics, and sustainability in a financial institution context. The report concludes with a summary of key findings and recommendations for maintaining and enhancing the effectiveness of the NAB Code of Conduct.

Running head: GOVERNACE ETHICS AND SUSTAINIBILITY
GOVERNACE ETHICS AND SUSTAINIBILITY
Name of the Student
Name of the University
Author Note

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Code of Conduct Discrimination
At National Australian Bank (NAB), people are committed to achieve sustainable
performance and bringing worth to the customers as well as the stakeholders, without
negotiating the values and trusted status and brand image of the organization (Howell 2015).
NAB's Code of Conduct draws on the principles of accountability and ethical behavior that
are probable of every employee of NAB as well as service providers, directors and
consultants. It is believed that all the clients and employees must be treated with admiration,
respect and dignity, and it is also vital that all employees must behave morally and
responsibly in agreement with the Code of conduct and to grow appropriate business
performance across the association. All the employees are motivated to speak up and account
any supposed violation of the Code. Any apprehension about probable breaches of the Code
of conduct or added NAB policies, or solemn instances of unwanted business behavior, can
be lifted through an employee’s People Leader portal, via NAB's People Division, or via
KPMG’s Fair Call, a check service obtainable to all workers as a part of NAB’s
Whistleblower Program. All whistleblower revelation are evaluated by the Whistleblower
Committee Group and raised, as suitable, to the Board Audit Committee. Where behavior
necessities are not fulfilled, there will be negative consequences or penalty. Consequences
may comprise corrective action for example counseling, caution, and impact to presentation
outcome and eligibility criteria for any incentive imbursement during the termination of
employment or execution of any constricting agreement. NAB is committed to the safety and
protection of those creating real disclosures, and will not stand any kind of victimization and
unfavorable consequences such as relegation, discrimination, the sack or other unpleasant
action in retaliation for those authentic disclosures (Underhill et al. 2018). NAB tends to
perform in a professional manner that builds trust, self-confidence and friendliness in

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customers, employees, suppliers and the society and esteem human rights in custody with the
Group Human Rights Policy.
Code of Conduct Exploitation
NAB commits to prevent misconduct or harassment against any employee or female
employee. They should be treated with respect, fairness and dignity. An instance given is one
of the employees David was at office party and had consumed a lot of alcohol and went out
of his senses. He tried to grab Priya his colleague by her waist and tried to kiss her and passed
erotic comments on her later that night (Crescenzio, Golin and Ott 2015). She raised a
complaint about him in Employee relations via the People Advisory Centre and complained
in the Discrimination and Harassment policy. Therefore, further investigation was conducted
on him and he was terminated from his employment even though it was outside office but it
was a work related function. It was a serious lesson to him and also others which threatened
his career for the rest of his life and ruined his life. People leader of David was subjected with
a caution for failing to make sure alcohol was served sensibly and for not right away dealing
with intolerable behavior of David. Employees are required to obey with the strength and
necessities of all strategies and events, rules and regulations applying to their role. They need
to hold and stay accountable for their actions and remain honest and fair. They need to
comply and commit with the terms and conditions applicable to any product and should not
indulge in any non compliance activity (Dixon 2016). NAB tends to entrust to the legal and
rigid obligations, deliberate pledges and interior standards. They deal with complaints and
reports on beaches and violation of policies in the office and work related issues and proper
investigation and examination are conducted so that fair and honest judgment is made on the
employee done wrong. Justice should be done and fair decision should be made keeping in
mind the level of violation done. NAB tends to behave professionally and ensure to do not
conduct breach of trust for employees, clients or customers.

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Code of Conduct Corruption
Corruption is not completely a query of ethics and principles; even though there are some
significant moral deliberations that are also vital questions of lawful compliance, of reserve
expenditure, of ruin of relations and market, and of reputational harm. However, business
codes are mainly suitable to pact with corruption. Corruption frequently happens in the
darkness, and current employees with contradictory rewards and punishment. In the
nonexistence of way, workers may too distinguish contradictory mails from higher
management. NAB has always authorized effort to fight corruption and reinforce code
compliance confirmation process. NBA tends to believe that its hold and support for the
global measures also shows its support and guidance at a very sensible height for the standard
of the UN Global Compact, in 2004, that contracts with anti-corruption. This rich diversity is
an invaluable source for our leadership (Brown and Loosemore 2015). No single document
can capture every legal obligation that may be required in each of these countries. Indeed,
there may be conflicting legal requirements. However, NAB continues to uphold its pledge to
pursue and respect all appropriate confined laws in every of its region and markets. If an
understanding of something restricted in the document is interpreted as opposing to local
laws, such explanation should not be pursued in that country. Corruption has turn out to be a
substance of public conversation. The general community also has an additional complicated
considerate of the harm that dishonesty has imposed on cultures and peoples in the region of
the world. Involving in dishonest acts, therefore, potentially harms a company’s status and
reputation. In addition, although corruption occurs in the shadows, a company’s readiness to
connect in dishonest activities usually becomes recognized among bureaucrats, and a
corporation may find itself wedged in a series of corruption. Conservation of reputation, so, is
a feasible objective for a code of conduct. Therefore, NAB commits to each policies of code

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of conduct and commits that every member follows it without violation or breach of code of
conduct.
Code of Conduct Dishonest and Fraudulent Behavior
Fraudulent or dishonest activity involves corrupt actions or failing to act or that in real cause
financial loss or unjust advantage. This includes theft of data or money, deliberately
destroying documents or information and also acts of bribery. In NAB, failure to report fraud
or corruption is also considered as act of fraudulent behavior (Dixon 2016). If an employee
suspects an act of fraudulent or corruption happening in the office, he or she should report it
to the people leader or via the group whistleblower program. All employees should remain
alert to strange customer movement and should follow correct procedure to make sure acts of
fraud; corruption and bribery are reduced and not repeated in the future. For instance, one of
the employees Olivia meets with a customer to finalize the documentation work required for
a loan. However, the customer does not have the pay slips to show for the loan to get
approved. Olivia knows the customer for a long time and has a good relationship with her and
the bank and she wanted to make sure that the loan gets approved without any hindrance.
Therefore, Olivia makes arrangements for pay slips and believes that there should not be any
problem for making the repayments. However, the loan gets approved and after three months
the customers come in a difficult situation by not being able to make the repayments. After
further investigation, it was found that the pay slips were fake and the customers comes in
apposition of financial difficulty or not being able to repay the loan. Olivia gets terminated
from the organization for violation of code of conduct and for dishonest and fraudulent
behavior. Similarly, Emma was also terminated for conducting an act of dishonestly by
copying the signature of a customer who had applied for loan and she was not able to reach
him and therefore, she copied the signature so that the loan gets passed.

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Code of Conduct Whistleblower Programs
The Whistleblower Protection Policy in NAB includes highest standards of moral conduct by
encouraging the account of any fraud or wrong doing in the organization, supporting and
protecting the self-esteem, security, goodwill of revealing persons who actually suspected
wrong doing to the whistleblower program and contributing to a civilization of nonstop
improvement (Oates and Dias 2016). The policy is appropriate to all the employees and units
within the organization. Any kind of dishonest activity that causes actual financial loss to any
person in the organization including third parties or customers where process and systems are
involved is considered an act of fraud. Unethical behavior includes breaches of the policies
and code of conduct that cause financial loss. Bribery includes offering or providing or
causing any benefit to other person with the purpose of personal or business advantage
regardless whether the benefit is legitimate or not. Illegal behavior includes theft, violence,
and sale of drug or violence against property or any applicable regulations or legislations.
Persons reporting fraud or suspected acts can inform the whistleblower program via Faircall.
NAB is committed to give honest, support and fairness in reports of fraud or dishonesty ad
does not tolerate any wrong doing and supports and protects wellbeing of a person. Any fraud
or report can be submitted anonymously and it will not reveal any wrong doing act or the
name of the person disclosing it without his or he consent and the person conducting the
fraud. The disclosing person provides the details of the contact to Faircall and these details
will also not be revealed out without the permission of the person. Overall supremacy of the
Whistleblower Program is taken on by NAB’s Board Audit Committee (BAC) via the Group
Whistleblower Committee (GWC), which offers governance failure to notice. The
Whistleblower Program is accountable for coverage on the presentation of and employment
taken on by the Whistleblower Program to the GWC, the BAC or any local or supplementary

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board or group, where appropriate, on a usual foundation. Secrecy and privacy requirements
counting lawmaking non-disclosure supplies will be pragmatic in the treatment process.
Code of Conduct Enforcement
Enforcement of Code of Conduct is a serious and lively part of a company’s pledge to its
Code and to converse the significance of the Code to the employees. NAB promotes its
watchfulness in endorsing its Code which does not denote that they make public the violators,
or name any names. Privacy rules and universal sensitivities forbid such revelation and no
one would profit from it anyhow. Code of conduct enforcement in NAB is encouraged in
more than a few specific ways such as the CEO and senior executives including the other
employees have to repeat the significance of the Code, the utilization of the Code as a
directing power for all workers, and their own pledge to enforcement which does not indicate
they have to accept a nil acceptance enforcement policy, or entrust to cruel penalty for
violation of the Code; somewhat, the CEO and senior supervisors or managers have to
eloquent their obligation, and the united hold of inferior rank managers, to follow possible
breach of the Code, to examine them moderately and punctually, and to inflict suitable
regulation for any breach of the Code. The employees have to entrust to encouraging
information of possible violation by promising employees that no reprisal will happen, slight
or overt, to make sure that workers feel protected to account Code violations. It is a good deal
easier for an employee in NAB to account possible legal violations since the obvious risk to
the Company from such actions. It is an additional subject all jointly for NAB employees to
feel secure and safe to account all types of Code violations where there may be a short
probability of a lawful violation. Employee commitment to complaining or reporting possible
Code of conduct breach is a vital indication of employee acknowledgment of a culture and
environment of compliance in NAB.

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