1. Identify the need for an investigation. Several situations should prompt an employer to consider conducting an internal investigation, including:

• a formal employee complaint;
• harassing, threatening, intimidating or violent behavior;
• an administrative agency inquiry; or
• the receipt of a lawsuit.

2. Determine the goals of the investigation. To conduct an appropriate investigation, employers should identify the goals they want to achieve. Determining goals before an investigation begins will help employers take proper investigative measures. If misconduct is being investigated, employers should start by reviewing the actual workplace rule that has allegedly been violated.

3. Assess the potential disadvantages of an investigation. Even if an investigation is required by law, potential risks should be recognized. Possible disadvantages to conducting an investigation may include: cost, adverse publicity, civil litigation by people who learn of corporate wrongdoing or creating evidence that the government or civil litigant may use against the company.

4. Select the appropriate investigator. This is the most important part of the strategic plan. The investigator should have a reputation for honesty and credibility. Employers should anticipate that the investigator will have to appear before a jury if litigation results. Therefore, the investigator should be able to present himself or herself as an authoritative and credible witness. The investigator must also be a competent "historian," because any documents or records generated during the investigation may become evidence in a lawsuit or government inquiry.

5. Identify potential witnesses. Prior to the investigation, a list of potential witnesses should be developed. Co-workers who may have worked where the alleged misconduct occurred should be considered. During interviews, witnesses should be asked to identify any other people who may provide important information. Individuals not interviewed should be asked to prepare and sign a written statement of any facts they can contribute.

6. Identify documents to be reviewed for a defensible resolution:

• rules, policies and procedures;
• memoranda or notes regarding the incident;
• time cards, logs or diaries;
• expense reports and receipts;
• communications to employees;
• prior complaints;
• personnel and security files;
• managers' notes and files;
• samples of the employee's work and others' for comparison.

7. Prepare a strategy for the investigation. Establish a timeline that includes each step that will be taken and a completion date. Be sure to consider how each phase of the investigation supports the next step. The chronology of interviews can either contaminate or enhance the success of the investigation. A contingency plan should be in place in case a premature disclosure jeopardizes the investigation strategy.

8. Prepare an outline for questions. To ensure a thorough and consistent line of questioning, prepare an outline of questions prior to interviewing witnesses. If standard questions are used for all witnesses, the answers can be compared and contrasted.

9. Establish secure files and records. Evidence and the investigator's records should be maintained in secure files. Other than working drafts, documents should not be destroyed once the investigation has started, as this can have serious legal consequences. Records should be maintained after the investigation concludes because they could be used to establish patterns of behavior in the future.

10. Review the investigation plan periodically. The investigation plan should be modified based on received feedback. This may include: filling in oversights; the timing of the investigation; determining if new leads need to be investigated; and identifying evidence of misconduct that may require a separate investigation.

Reprinted with permission from CCH Workers' Compensation Business Management Guide. For subscription information, please call (800) 228-8353. For editorial comment, please contact Martha Gillis, senior editor, at (415) 472-3111, ext. 3457.