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Ethical Model
Kasey Wehrum
05/03/2004

For nonprofit and philanthropic organizations, maintaining public trust is crucial to survival. Given the recent climate of corporate malfeasance, nonprofits and foundations need to be especially mindful of the ways in which they conduct their operations. Because of this, Independent Sector, a Washington, D.C.-based nonprofit coalition of more than 700 philanthropic foundations and programs, recently published a Statement of Values and Code of Ethics for Nonprofit and Philanthropic Organizations as a model for organizations and foundations nationwide.

“Adopting a code of ethics helps to infuse into the
culture of the organization a recognition of how important it is to address issues of values and ethics
on an ongoing basis.”
“Donors, members of the public and lawmakers are all taking a closer look at how the sector does its work,” says Diana Aviv, president and chief executive officer of Independent Sector. “Adopting a code of ethics helps to infuse into the culture of the organization a recognition of how important it is to address issues of values and ethics on an ongoing basis.” 

For groups without an existing code of ethics, Independent Sector’s could be adopted in its entirety or adapted to fit each organization’s mission and structure. Those with a code of ethics already in place are encouraged to use the model as a map for the board and staff members to review their code and ensure adherence.  

Built on a value system that emphasizes commitment to the public good and accountability to the public, the code outlines ethical principles in personal and professional integrity, mission, governance, legal compliance, responsible stewardship, openness and disclosure, program evaluation, inclusiveness and diversity, and fund-raising. Independent Sector does not intend the model code to be simply a symbolic document that is signed by board members and then locked away in a storage room. As the code attests, “Independent Sector firmly believes that the process by which a code is adopted is as important as the code itself, and that the board and staff should be involved in developing, drafting, adopting and implementing a statement that fits the organization’s unique characteristics.” 
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