What is “Code of Ethics” in a Consultancy Profession?
A code of ethics is often a formal statement of the consultant's values on certain ethical and social issues. Ethical responsibility comprises those values, beliefs, standards, norms and expectations which reflect interest in what customers, employees, shareholders and community consider as fair, correct, and they protect moral rights of the stakeholders (external environment).
Components of the ethical responsibility of the Consultant stress that it is important that the Consultant operates in consistent manner, observing the social moral and norms of ethics, that the new or increasing ethical/moral norms adopted by society are noticed and respected, that discrediting ethical norms is prevented in the effort to achieve the goals of the Consultancy firm.
Undoubtedly, ethical norms are somewhat stricter than the legal norms of conduct. Some set out general principles about an organization's beliefs on matters such as quality, employees or the environment. Others set out the procedures to be used in specific ethical situations - such as conflicts of interest or the acceptance of gifts, and delineate the procedures to determine whether a violation of the code of ethics occurred and, if so, what remedies should be imposed.
Reasons for Ethical Problems faced by Consultants
• Breach of Confidentiality: When a Consultant takes personal advantage of privileged information gathered during an assignment at a company, or enables others to do so.
• Creating Unrealistic Expectations: When a Consultant encourages unrealistic expectations or promising clients that benefits are certain from specific consulting services
• Conflicts of interest: A conflict of interest occurs when a consultant’s personal ...