The Ethisphere Institute earlier this week named  ninety nine companies it says are the 'world's most ethical' in its third annual listing 'designed to encourage ethical practices within the global business community'.

(The institute which describes itself as a 'leading international think-tank dedicated to the creation, advancement and sharing of best practices in business ethics, corporate social responsibility, anti-corruption and sustainability')

The New York based institute sees its primary mission as one to " improve corporate behavior". Interestingly the institute does not consider "diversity, layoffs, executive compensation and outsourcing as part of the criteria" for selection.

That the insitute is New York based is perhaps a nice fillip for the Big Apple given the beating the city appears to have taken on account of Wall Street excesses but what is more heartening is to see among the names making the cut in, what ought to be a coveted list for all companies in all industries, two hotel majors Accor and Marriott.

The hotel majors clearly were better than their competitors per the criteria used as "companies are chosen against their peers within their industry, as each industry operates under different circumstances".

Among the factors that go into the selection process: "Corporate Citizenship and Responsibility; Corporate Governance; Innovation that Contributes to the Public Well Being; Industry leadership; Executive Leadership and Tone from the Top; Legal, Regulatory and Reputation Track Record; and Internal Systems and Ethics/Compliance Program".

The breath and depth of categories may limit some of the smaller hotel companies from submitting to the process but perhaps over time, the institute can develop metrics more suited to small business (and hotels) which constitute a major part of  the US economy whose business practices arguably are in as much need of such validation.

Vijay is Chief Operating Officer and part-founder of Apple Core Hotels- a chain of 5 midtown Manhattan hotels offering value and comfort in the heart of the city.Member of the board of Directors - Hotel Association of New York.

www.vijaydandapani.com