IoD Code of Conduct for Directors
Building trust in business leadership
The Institute of Directors has launched its Code of Conduct for Directors, a practical tool to help directors make better decisions.
It also provides organisational leaders with a behavioural framework that can help them build and maintain the trust of the wider public in their business activities.
The Code will help directors navigate the complex trade-offs that they deal with every day. And it will support them in becoming respected leaders who do the right thing for their organisations.
The Code represents a voluntary commitment and is not intended to hold back directors or create a new burden of compliance.
Leading by Example
Demonstrating exemplary standards of behaviour in personal conduct and decision-making.
Integrity
Acting with honesty, adhering to strong ethical values, and doing the right thing.
Transparency
Communicating, acting and making decisions openly, honestly and clearly.
Accountability
Taking personal responsibility for actions and their consequences.
Fairness
Treating people equitably, without discrimination or bias.
Responsible Business
Integrating ethical and sustainable practices into business decisions, taking into account societal and environmental impacts.
Our vision
The IoD’s vision is for board members from all types of corporate entity to sign up to the Code of Conduct on a voluntary basis. By committing themselves to the code, directors will signal their willingness to apply high ethical and behavioural standards in their governance and leadership activities.
Why a Code is needed
In this video, our Director General, Jon Geldart, and BDO’s Director of Ethics and Compliance, Darriane Garrett, explain the Code of Conduct for Directors in more detail.
Launch of the Code of Conduct
Footage and views from attendees and participants at the launch event for the IoD Code of Conduct for Directors.
Demonstrate your commitment to good governance
Add this kitemark to your website, CV, or social media profiles, to signal to stakeholders that you’ve adopted the highest standards of conduct and are dedicated to upholding the principles of good governance.
FAQs
Here you’ll find many common questions about the IoD Code of Conduct for Directors.
Who developed the Code of Conduct for Directors?
The Code was developed by a Commission, which consists of 16 leading figures from the worlds of business and public affairs, and was chaired by Lord McNicol of West Kilbride, under the auspices of the Institute of Directors (IoD). It was supported by BDO and underwent an extensive public consultation process in 2024.
Who is the Code relevant to?
The Code is relevant to all directors and equivalents, regardless of their industry, company size, or level of experience. It provides practical guidance for making ethical and responsible decisions.
Who should sign up to the Code?
While the Code is voluntary, directors and boards who believe in ethical leadership and responsible business practices are encouraged to publicly commit to it.
Possible mechanisms may include disclosure in annual reports and on websites; communication to employees and other stakeholders; and through social media.
How is the Code enforced?
The Code is a voluntary source of guidance for directors. There is no formal enforcement mechanism associated with the Code. However, organisations and their stakeholders may choose to use the Code to guide their own assessment of director actions and behaviour.
Is it compulsory for IoD members to follow the Code?
No, the Code is not compulsory for IoD members. However, it may become a requirement in the future.
Does the Code create a new burden of compliance?
No, the Code is not intended to create a new burden of compliance. It is a voluntary tool that provides guidance for directors.
How to add the kitemark to LinkedIn?
Access our step-by-step guide for LinkedIn here.
If you have any other questions, please don’t hesitate to contact our team on [email protected].
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