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Professional Integrity

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Professional Integrity
Professor: Steven Ah
By: Ahmed Hammouedeh
Date: 03- 02- 2015

Day to day interactions with all the relevant parties in business transactions calls for the individual parties to give due diligence to upholding of ethical behaviour. Ethics, generally defined as the norms of conduct that extricate between unacceptable and acceptable conduct, plays a crucial role in decision-making and to facilitate business transactions efficiently (Brecher, 2013). By being ethical, one is able to obtain a personal advantage, approval and inner benefit given the fact that, virtue serves as its own reward. This is usually the case when faced with two conflicting issues or alternative causes of action that have far reaching consequences both to the individual and the firm that he or she represents.
During the two years that I served as an auditor for KPMG, there are several ethical decisions that I encountered. The firm provides wide services that range from audit, tax and advisory services to its clients. Given the fact that the company deals with these three distinct services, occasionally potential areas of conflict occurred when dealing with small corporate clients. The threats that often arose were that of self-review and management threat. The fact that KPMG dealt with non-audit services threatened the independence of the firm in some instances. Another ethical decision that often arose was that bordered on the issue of financial interest in a client. I clearly recall an instance whereby a client had offered to give me a portion of the shares in a company that he was establishing. At the same time, KPMG had entered into a contractual agreement that enabled the firm to serve as the auditor for his business entity. To complicate matters, the client’s company offered great holiday deals where they presented cheaper travel packages to their customers.
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