Premium Essay

Professional Integrity

In: Business and Management

Submitted By ahmadhammoudeh
Words 864
Pages 4
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.
Given…...

Similar Documents

Free Essay

Enhancing Public Trust

...decision making, dishonesty and a move away from morals, values, and ethics. With the perception of accounting at an all-time low, there is a need to reinvent the profession. The following pages of this research paper will examine the Model of Organizational Trust, and its three elements of ability, benevolence, and integrity. The three elements will be defined and explained using support from peer-reviewed articles. The report will also discuss the ways in which the elements are incorporated in the AICPA’s Code of Professional Conduct. The elements will be examined to learn the ways in which they help to promote trust in the accounting profession and finally, suggestions will be proposed to help improve public trust in the accounting profession. Introduction An essential component every profession must possess in order to garner satisfaction and commitment from clients and customers is trust. Trust cannot be gained quickly; it is developed over time through interactions, observations, and an understanding of another’s beliefs and values (Mayer, Davis, Schoorman, 1995). However, a person’s stated beliefs do not often dictate their behavior. In pursuit of professional goals, individuals often set aside what they know to be right and act in a manner that benefits them either financially, with recognition, or in some other manner (Six & Sorge, 2008). Over the past decade, the accounting profession has seen an erosion of public trust. Numerous financial scandals have brought......

Words: 5916 - Pages: 24

Premium Essay

Professionalism Reflection

...Does Integrity Exist Any More? When we were talking about the characteristics of a profession in the class, the first thought prompted into my mind is ‘integrity’. Admittedly, few decades ago, a man's word was his bond. However, with the rapid development of economy and the progress of society, even though you have a written contract between you and your partners, you have little uncertainty and unsureness about the commitment. People in nowadays cannot be simply trusted anymore. This is the issue we should concern. What is ‘integrity’? Does integrity matter or even exist anymore? The article I read is called ‘Integrity in Professional Life: Issue of Conduct, Commitment and Capacity.’ The author Sarah Banks (2010), mainly discusses about the nature of professional integrity and the author identifies three versions of ‘professional integrity’: ‘morally right conduct’; ‘commitment to a set of deeply held values’; ‘and a capacity for reflexive sense-making and reliable accountability.’ The word ‘integrity’ is derived from the Latin “integritās”. Accounting to Webster’s Newworld College Dictionary, the term has three definitions: 1). the quality or state of being complete; 2) the quality or state of being unimpaired; 3) the quality or state of being of sound moral principle (P.702). Frequently, integrity refers to “moral uprightness” when it is used to describe a man and his action. I still remember that students laughed when the professor questioned ‘are politicians......

Words: 1067 - Pages: 5

Premium Essay

Profesional Values and Ethics

...Professional Values and Ethics Integrity is defined as personal ethics and values of the individual involved in the decision-making process. This can create different paths to success, depending on the choices made toward each individual goal. Gandhi explains that looking into a person's thought process presents who he or she is in the present and future. He is the perfect example on ethics and values because of the way he set his goals and how he implemented to obtain his goals. Using peaceful and non-violent resistance to battle the British policies influenced other to follow his ideas, and this drove the British out of India. Later people were able to use this idea to help persuade the United States government to change the civil rights policy. Martin Luther King Junior used the same type of ideas that worked for Gandhi to help gain support to change certain laws during the 1960's (Prabhu, 2001). Ethics and values are greatly influenced by what goals and how individuals develop over time into a success. Values are what individuals cherish and work for to meet their goals in life. Values are also defined as relative worth, merit, and of most importance to that person. Values could also be described as moral principle and beliefs of a person. Ethics is derived from the Greek word ethikos, which means customs or character of a person. Ethics involves defending, developing, and recommending, the differences between right or wrong. Ethics can be addressed by......

Words: 1231 - Pages: 5

Free Essay

Audit Paper

...Assignment 1: Ethical Behavior 1. Explain why the public expects all professionals to act ethically. The reason the public expects all professionals to act ethically is because they, the professionals, are able to carry out their duties because of public confidence. Public confidence is the trust the general public has in a person, group or profession. This public confidence is what adds value to the work the professional does. If the professional acts unethically, the professional has misused the confidence the public has given them and devalued the work they, the professional, has done. 2. Explain what is meant by independence in mind and independence in appearance. Independence of mind is the auditor’s state of mind that permits the audit to be performed with an unbiased attitude while Independence in appearance is the publics’ interpretations of this independence. To put in in simpler terms, being independent of mind means that the auditor has no biases toward the audit client and independence in appearance means that the general public and users of the audited financial statements believes that the auditor does not have any biases towards the audit client. 3. Explain why it is necessary for auditors to maintain the appearance of their independence. The reason the auditors have to appear independence is so that the public has confidence in the report produced. Since as an ethical professional, the public expects that the auditor would work in the best......

Words: 614 - Pages: 3

Premium Essay

Aicpa Code of Professional Conduct

...AICPA Code of Professional Conduct The AICPA is an organization that the majority of CPAs voluntarily join. Many in the business world are aware of the AICPA Code of Professional Conduct. This code of conduct focuses primarily on the ethical and professional obligations of CPAs. Members commit to abiding by the principles of the organization which holds them accountable to stringent principles and rules which go above and beyond ordinary laws and regulations. Members are expected to be self-disciplined and conduct themselves ethically and morally at all times. The three most important purposes of the AICPA Code of Professional Conduct are to guide their members in carrying out their responsibilities, to protect the public interest, and to enforce integrity. The AICPA Code of Professional Conduct reminds members that they should always exercise sound moral judgments and to remember they have a responsibility to their clients and the public to make professional decisions that are both ethical and moral. If CPAs were not responsible, society would lose all respect for the profession. There would not be a safe and fair way to judge the financial stability of companies or markets. When CPAs take responsibility and act professionally, ethically, and morally, their clients and the general public can feel confident they are reviewing accurate and credible financial statements of companies or organizations. It is crucial for CPAs to protect the public interest. The public......

Words: 527 - Pages: 3

Premium Essay

Professional Ethics

...Professional Values and Ethics Learning Team A University of Phoenix The purpose of this paper is to explain the impact of professional values and ethics can have on one’s career. It will explain how adhering to such values can lead to a successful career and how straying from those values can destroy both a career as well as an individual. This will be done by identifying three sources of professional values and describing their impact on a career. Values and Ethics Anytime a person speaks of ethics or values a myriad of definitions may flood the mind. This is because the terms have different meanings to different people. Webster defines ethics as “the discipline dealing with what is good and bad or right and wrong or with moral duty and obligation.”(Webster, 2009) As different people have varying ideas of what is right or wrong, one can easily see why it is difficult to come up with clear understandings of how to act in all situations. Usually, people think ethics and values come into play when making praiseworthy decisions. However, “all decisions-whether judged highly ethical, grossly unethical or anywhere in between are values-based.”(Urbany 2008, p 75) Looking closer at how ethics and values play a role in a professional environment one can define three sources of values: Professional integrity, academic integrity and personal values. Integrity involves a formal relationship one has with oneself. (Stanford 2008) For the purposes of this......

Words: 1235 - Pages: 5

Premium Essay

Military Values Influencing Professional Success

...Military Values Influencing Professional Success Anyone who has had the privilege of serving in a branch of the U.S. Military is familiar with military values. These values vary between branches, but are similar just the same. Some of the values include; honor, duty, loyalty, respect, commitment, courage or personal courage, integrity and selfless service. Values have been defined as the beliefs people have about what is right and wrong and what is most important in life, which control their behavior. Lewis Vaughn (2007) considers ethics to be a moral philosophy. Furthermore applied ethics is the application of moral norms to specific moral issues and cases. Abiding by these values could greatly impact professional career success. This paper will describe how Integrity, Respect, Honor, and Courage will impact career success through professional values and ethics. Integrity One of the 7 Army core values is Integrity. Cambridge Advanced Learner’s Dictionary defines integrity as being honest and having strong moral principles that you refuse to change. In other words, it means being truthful in all that you say and do. Living and speaking integrity can be quite difficult, because after all human beings are not born morally perfect. (Collins, 1956). Professional Integrity is of great importance because “Organizations of high integrity achieve superior performance because they attract and retain high-quality employees, customers, supplies, and investors.”......

Words: 907 - Pages: 4

Premium Essay

Ethics

...Professional Moral Compass Ethics, a branch of philosophy refers to the values for human conduct, considering the rightness and wrongness of actions and motives. As nursing profession is an integral part of the health care environment, the nursing ethics provides the insight to the values and ethical principles governing nursing practice, conduct, and relationships. The Code of Ethics for Nurses, adopted by the American Nurses' Association (ANA) is intended to provide definite standards of practice and conduct that are essential to the ethical discharge of the nurse's responsibility (American Nurses Association, 2012). A nurse cultivates personal ethics through personal, cultural and spiritual values which becomes a moral compass for their professional ethics. Personal ethics in combination with the code of ethics often assist the nurses in personal and social decision making during ethical dilemma. This ability prompts them to better respond to needs of the suffering patient and their own well-being. This paper will discuss the personal, cultural, and spiritual values contributing to nurses’ individual worldview and philosophy of nursing and the moral and ethical dilemma being faced in this profession. Values Contributing to Individual’s Worldview and Philosophy of Nursing Born in a Christian middle class South Indian family, the strict traditional values helped to embed the concept of service, trust, respect, integrity and responsibility through family, friends,......

Words: 1982 - Pages: 8

Free Essay

A Comparison of Ethical Values

...specific, the United States Air Force, has a set of core values that govern every aspect of being a professional airman. The medical community, to include psychology, has ethical standards and general principles of conduct that governing interaction with each other, sub-specialties within the field, and with the patients they serve. Institutions of higher learning have basic values intended to be impressed upon students through every aspect of their educational experience. The purpose of this paper is to compare the Core Values of Saint Leo University to those of the American Psychological Association. By doing so, I will demonstrate the similarities between the professional ethics of the practicing Psychologist and those of the student enrolled at Saint Leo University. The 2002 Ethical Principles of Psychologists and Code of Conduct of American Psychological Association (APA) establishes behaviors and standards for the profession of psychology. The five General Principles outlined in this document serve as a value system intended to inspire psychologists toward the highest ideals of the profession (APA Ethics Code, 2002). Listed below are the five General Principles and how I interpret each of these principles. Principle A: Beneficence and Nonmaleficence Psychologists strive to benefit those with whom they work and take care to do no harm. In their professional actions, psychologists seek to safeguard the welfare and rights of those with whom they interact......

Words: 2631 - Pages: 11

Free Essay

Eth 376 Week 1 Aicpa Code of Professional Conduct

...was originally founded in 1887. The AICPA founded accounting as profession, which is distinguished by high professional standards, strict educational requirements, a detailed code of professional standards, and a commitment to serving the public interest. In the early years of the organization rules and regulations were drafted. During the 1970s the responsibility of setting generally accepted accounting principles (GAAP) was transferred to the Financial Accounting Standards Board (FASB). The AICPA provides training, professional skills, programs, services, and publications to its 394,000 members. The AICPA Code of Professional Conduct consists of rules and principles. The principles provide the framework for the rules and rely on the professional conduct and knowledge of its members. The code is considered the foundation of ethical reasoning in accounting because it addresses all aspects of the accounting process in detail. The code of professional conduct expresses the profession’s responsibility to the public, colleagues, and clients. The code defines the expectations of individuals as a voluntary act within guidance of the principles. I believe the three most important purposes of the AICPA Code of Professional Conduct to be in Section 53 – Article II – The Public Interest, Section 55 – Article IV – Objectivity and Independence, and Section 54 – Article III – Integrity. Article II, The Public Interest, states all those who accept membership are obligating themselves......

Words: 404 - Pages: 2

Free Essay

Orloo

...Code of ethiCs And stAndArds of ProfessionAl ConduCt Preamble The CFA Institute Code of Ethics and Standards of Professional Conduct are fundamental to the values of CFA Institute and essential to achieving its mission to lead the investment profession globally by setting high standards of education, integrity, and professional excellence. High ethical standards are critical to maintaining the public’s trust in financial markets and in the investment profession. Since their creation in the 1960s, the Code and Standards have promoted the integrity of CFA Institute members and served as a model for measuring the ethics of investment professionals globally, regardless of job function, cultural differences, or local laws and regulations. All CFA Institute members (including holders of the Chartered Financial Analyst® [CFA®] designation) and CFA candidates must abide by the Code and Standards and are encouraged to notify their employer of this responsibility. Violations may result in disciplinary sanctions by CFA Institute. Sanctions can include revocation of membership, revocation of candidacy in the CFA Program, and revocation of the right to use the CFA designation. The Code of eThiCs Members of CFA Institute (including CFA charterholders) and candidates for the CFA designation (“Members and Candidates”) must: • Act with integrity, competence, diligence, respect, and in an • Practice and encourage others to practice in a professional and ethical manner with the......

Words: 1406 - Pages: 6

Free Essay

Forensic Accounting

...compromise his/her integrity? 4. Why is it important for forensic accountants to exercise professional competence when performing services? 5. Do you think APES 215 is important in the regulation of forensic accounting? Why or why not? ANSWERS 1. What is the purpose of APES215 and court practice direction discussed? The delivery of forensic accounting services must be impartial and must not advocate a particular cause, ie.e. be independent. Court will dismiss forensic accounting evidence that fail to meet these basic tests. Hence, in order to maintain impartiality and independence, forensic accountants must follow various guidelines and regulations. Therefore, the purpose of APES215 and court practice directions is to guide forensic accounting services to be impartial and not to advocate the cause. This ensures ethical and high quality service. 2. What is the relationship between APES 215 and APES 110? Members in Australia shall follow the mandatory requirements of APES 215 when they provide Forensic Accounting Services. The requirements require the members providing a Forensic Accounting Service to comply with the fundamental principles outlined in APES 110. The principles include integrity, objectivity, professional competence and due care, confidentiality and professional behaviour. 3. How can a forensic accountant compromise his/her......

Words: 608 - Pages: 3

Premium Essay

Aicpa Code of Professional Conduct

...AICPA Code of Professional Conduct Lucinda M. Joslin ETH/376 27 April 2015 Susan Paris AICPA Code of Professional Conduct Just as a doctor is expected to act within certain ethical standards when entrusted with a person’s life, so is a CPA expected to be ethical when handling someone else’s money. With several hundred thousand CPA’s as members, the American Institute of Certified Public Accountants’ (AICPA) code of professional conduct principles are viewed as the ethical guidelines for CPA’s. Of the AICPA’s principles, the three that I feel are the most important are integrity, objectivity and independence, and due care. Body The first principle that I feel is most important is integrity. For me integrity is a character trait. I view a person to have integrity if they are someone who will do what is right no matter who is watching, or what the situation is. Since a CPA has to be viewed an honest and there to serve the public trust, they must have integrity. The next principle that I feel is important is for a CPA to have objectivity and independence. A CPA must not have any conflicts of interest and be unbiased to be able to meet their professional responsibilities in an objective manner. The independence of a CPA is something that they must strive to maintain. Since perception is often reality for people, a CPA needs to avoid situation that can be perceived as having a relationship with a client that could cause the CPA’s independence......

Words: 410 - Pages: 2

Premium Essay

Ethics

...Ethics and Professional Code of Conduct Prof. Genden Strayer University April 27, 2013 Ethics and Professional Code of Conduct Being a police chief or a county sheriff in today’s society is not an easy job. Society is already over-critical of law enforcement as a whole and being the person at the top of the chain of command unfortunately places the burden of responsibility of any and all actions on him/her. Society demands a higher level of professional conduct, ethical and integrity standards than any other profession. These individuals are the ones responsible for making on the spot decisions as to what is right and wrong and acting upon these perceptions. Integrity defines as a firm adherence to a code of especially moral or artistic values, or incorruptibility. Integrity is one of the essential qualities for law enforcement officers and even more so for a police chief or county sheriff. The reason that the police chief and county sheriff must maintain such a high level of integrity is because we expect and demand that they will be able to effectively uphold the law and do what is right in a case where one of their officers does something morally or ethically wrong. We look to them to be incorruptible, to always do what is right no matter what the circumstance. If integrity didn’t exist, our whole justice system would fall apart and become null and void. Ethics and Integrity is very important. From a police of chief perspective when you mention the word ethics...

Words: 656 - Pages: 3

Premium Essay

Ethical Standards of Human Service Profession.

...Paper on Personal Values and Ethical Standards In this paper, I will present the development of my personal values, ground rules and ethics. • I will focus on the developmental aspect by defining what my values are, the sources that helped shaped my values and the criteria and decision-making factors I currently use today. Next, I will the follow three aspects; Discuss the implications of your values for your work as a human services profession • Discuss a specific ethical dilemma in relation to the ethical standards of human service profession. • Discuss the ethical standards of the following general principles; the use of psychological tests in the court room, the lie detector, boundaries of competence, Integrity, sexual harassment, human differences and the legal definition of insanity. My values were shaped based on the teachings of Christian values. My parents demonstrated those teachings in their parenting style as well as in their relationships towards one another as husband and wife. For example; my father was the financial provider for our family and my mother was the home make. While, growing up my father always worked second or third shift which did not allow him to spend as much time with my two siblings and I. Nevertheless my mother reverenced my father and kept his presents active in the home. For example, my father would write my siblings and I encouraging notes and place them on our refrigerator every day. My father would write;......

Words: 1722 - Pages: 7