Ethics, Rules of Conduct & Professionalism Flashcards
(18 cards)
What is a conflict of interest?
A situation where your duty to someone is potentially compromised by the fact you have a material interest at stake in the matter
RICS defines three conflicts of interest - what are they?
- Party conflict
- Own interest conflict
- Confidential information conflict
What is ‘Party Conflict’?
E.g. you work for two different clients on a matter where they have conflicting interests you will be conflicted - even if your material interests aren’t affected either way
What is ‘Own Interest Conflict’?
Ordinary conception of conflicts of interest - where your own interests are at stake
What is ‘Confidential Information Conflict’?
You are conflicted if you are obliged to keep certain information confidential for one party, but obliged to reveal the same information to another party.
How would you manage a conflict of interest internally if two project teams were working on conflicting projects?
Ensure that both clients are aware of the conflict and ensure I receive written approval to continue before I do so
Ensure exclusivity of staff for each project
Ensure separate lines of communication
Sign team members up to non-disclosure agreements
Monitor the potential CoI and keep the client updated
What are the main offences under the Bribery Act?
- Making a bribe
- Receiving a bribe
- Bribery of a foreign public official
- It applies to all UK Entities and includes associated persons
You are offered a gift of significant value by a contractor - how would you respond?
If it is of significant value I would be uncomfortable accepting the gift as it could be interpreted as a bribe. If I am currently working on a project with the contractor this could be interpreted as having an affect on my business conduct during the project.
I would respectfully decline the prize.
You are bidding for a project and the Client advises that if you reduce your fee bid by £3k you will win the tender - how would you advise the Client?
This offer, if accepted, would result in unfair competition and would not be acting with integrity or with respect of competing firms.
Taking a long view, it is not sustainable to conduct business in this manner and would also devalue the services of the profession if repeated.
I could advise that I would need to reduce my scope of services so that this is reflective of the fee reduction, but in the first instance this could also be interpreted as a bribe.
Assuming you are successful getting chartered, how would you deal with a situation such as a friend asking you for QS advice?
I could not offer advise on my own without PI insurance being in place. If I did have my own PI cover I would ensure that the information and advice provided was offered at the same level and subject to thorough checking processes as is the case under a regular client appointment regardless of their being for a friend.
If I was not comfortable working for them, I would advise them to use the RICS ‘find a surveyor scheme’
What are the New Rules of Conduct?
- Members and firms must be honest, act with integrity and comply with their professional obligations, including obligations to RICS
- Members and firms must maintain their professional competence and ensure that services are provided by competent individuals who have the necessary expertise
- Members and firms must provide good-quality and diligent service
- Members and firms must treat others with respect and encourage diversity and inclusion
- Members and firms must act in the public interest, take responsibility for their actions and act to prevent harm and maintain public confidence in the profession
What are the professional obligations of firms?
- Must publish a complaints handling procedure which includes an alternative dispute resolution provider approved by RICS, and maintain a complaints log
- Must ensure that all previous and current professional work is covered by adequate and appropriate professional indemnity cover that meets the standards approved by RICS
- Firms with a sole principal must make appropriate arrangements for their professional work to continue in the event of their incapacity, death, absense from or inability to work
- Firms must cooperate with RICS
- Must promptly provide all information reasonably requested by the Standards and Regulation Board, or those exercising delegated authority on their behalf
- Must display on their business literature, in accordance with RICS’ published policy on designations, a designation to denote that they are regulated by RICS
- Firms must report to RICS any matter that they are required to report under the Rules for the Registration of Firms
What are the professional obligations of members?
- Must comply with the CPD requirements set by RICS (20 hours per year, 10 of which must be formal)
- Members must cooperate with RICS
- Members must promptly provide all information reasonably requested by the Standards and Regulation board, or those exercising delegated authority on their behalf
How would you handle a situation where a client pressures you to manipulate cost estimates to secure project funding, which conflicts with RICS ethical standards?
I would adhere to the RICS code of conduct, particularly integrity and honesty. I would politely but firmly explain to the client that manipulating cost estimates is unethical and could lead to financial risks and reputational damage.
I would propose alternative solutions such as value engineering or phasing the project to meet budget constraints while ensuring transparency.
If the matter persists I would escalate the matter up the appropriate channels.
What steps would you take if you identified a conflict of interest while working on a project as a quantity surveyor?
I would follow RICS guidelines - first I would declare the conflict to all relevant parties, such as the employer, client or project team in writing.
I would then propose steps to mitigate the conflict, such as recusing myself from specific decisions or the project.
Can you describe a scenario where you demonstrated professional competency in maintaining client confidentiality during a quantity surveying project?
e.g. Chanel
Market testing - did not share any sensitive information, or asked subcontractors to sign an NDA
I made sure files were stored securely on our company’s server
How do you ensure you stay up to date with RICS ethical standards and professional requirements?
I engage in continuous professional development as required by RICS - these can be in house teaching sessions, attending webinars, reading industry articles
I seek feedback from people I have worked with to ensure my work is of the standard required and be sure to action any feedback received.
What would you do if you realise you had made an error in a cost report that was sent to the Client?
I would immediately inform my supervisor and the client in line with RICS principles of integrity and accountability.
I would correct the mistake and issue a revised copy to the Client with a clear explanation of the error and its implications ensuring transparency.
Going forward I would sure peer reviews and/or thorough checking of work is carried out before issuing to prevent any reoccurrence
