In a fast changing world and with increasing demands on organizations and institutions for ethical actions and behavior there is a great need for satisfactory handling of moral issues. It is therefore very important for employees as well as for organizations to show a high level of ethical competence in handling moral problems. Ethical competence is defined as a problem-handling skill for the person, and as special processes for the organization. Based on this theoretical position a questionnaire was constructed and tested in two different organizationswith the aim to assess ethical competence on personal and organizational levels. The instrument had satisfactory reliability and validity, and the results showed that it assessed differences between organizations and between employees in accordance with our hypotheses.It is, however, necessary to further develop the questionnaire and test it in a bigger and more variable sample of organizations.