The Cyprus Institute of Certified Management Consultants Code of Professional Conduct
Background
The CICMC’s Code of Professional Conduct is structured on three basic principles dealing with:
- Meeting the client’s requirements
- Integrity, independence, objectivity
- Responsibility to the profession and to the Institute
These principles are underpinned by detailed rules, which are specific injunctions, and practical notes, which either lay down conditions under which certain activities are permitted or indicate good practice and how best to observe the relevant Principle or Rule.
The Council of the Institute may, from time to time, issue further Principles, Rules or Notes, which will be promulgated in the Institute’s publications before being incorporated into a revised edition of the Code. Practicing members are expected to abide by all such new provisions from the date of their publication.
Definitions used in the Code of Professional Conduct
member: A Full Member (CMC), Associate Member or Corporate Member
client: The person, firm or organisation with whom the practicing member makes an agreement or contract for the provision of services.
declaration: A written statement referring to and disclosing the facts relevant to the situations covered by particular Rules of the Code.
independent: In a position always to express freely one’s own opinion without any control or influence from others outside the (consulting) organisation, and without the need to consider the impact of such opinion on one’s own interests.
institute: The Cyprus Institute of Certified Management Consultants (CICMC)
The Principles, Rules and Notes
Principle 1: Meeting the client’s requirements – A member shall regard the client’s requirements and interests as paramount at all times.
Competence: A member will only accept work that the member is qualified to perform and in which the client can be served effectively; a member will not make any misleading claims and will provide references from other clients if requested.
Agreement on deliverables and fees: A member shall agree formally with the client the scope, nature and deliverables of the services to be provided and the basis of remuneration, in advance of commencing work; any subsequent revisions will be subject to prior discussion and agreement with the client.
Sub-contracting: A member shall sub-contract works only with the prior agreement of the client, and except where otherwise agreed, will remain responsible for the performance of the work.
Confidentiality: A member will hold all information concerning the affairs of clients in the strictest confidence and will not disclose proprietary information obtained during the course of assignments.
Non-poaching: A member will not invite or encourage any employee of a client for whom the member is working to consider alternative employment, unless it is the purpose of the assignment.
Due care: A member will make certain that advice, solutions and recommendations are based on thorough, impartial consideration and analysis of all available pertinent facts and relevant experience and are realistic, practicable and clearly understood by the client.
Communication: A member will ensure that the client is kept fully informed about the progress of the assignment.
A member will encourage and take note of any feedback provided by the client on the performance of the member’s services.
Respect: A member will act with courtesy and consideration toward the individuals contacted in the course of undertaking assignments.
Principle 2: Integrity, independence, objectivity – A member shall avoid any action or situation inconsistent with the member’s professional obligations or which in any way might be seen to impair the member’s integrity. In formulating advice and recommendations the member will be guided solely by the member’s objective view of the client’s best interests.
Disclosure: A member will disclose at the earliest opportunity any special relationships, circumstances or business interests which might influence or impair, or could be seen by the client or others to influence or impair, the member’s judgment or objectivity on a particular assignment.
This rule requires the prior disclosure of all relevant personal, financial or other business interests, which could not be inferred from the description of the services, offered. In particular this relates to:
- any directorship or controlling interest in any business in competition with the client
- any financial interest in goods or services recommended or supplied to the client
- any personal relationship with any individual in the client’s employ
- any personal investment in the client organisation or in its parent or any subsidiary companies
- any recent or current engagements in sensitive areas of work with directly competitive clients
- any work for a third party on the opposite side of a transaction e.g. bid defence, acquisitions, work for the regulator and the regulated, assessing the products of an existing client.
Conflicts of Interest: A member shall not serve a client under circumstances which are inconsistent with the member’s professional obligations or which in any way might be seen to impair the member’s integrity; wherever a conflict or potential conflict of interest arises, the member shall, as the circumstances require, either withdraw from the assignment, remove the source of conflict or disclose and obtain the agreement of the parties concerned to the performance or continuance of the engagement.
It should be noted that the Institute might, depending on the circumstances, are one of the ‘parties concerned’. For example, if a member is under pressure to act in a way, which would bring the member into non-compliance with the Code of Professional Conduct, in addition to any other declaration, which it might be appropriate to make, the facts should be declared to the Institute.
Inducements: A member shall not accept discounts, hospitality, commissions or gifts as an inducement to show favour to any person or body, nor attempt to obtain advantage by giving financial inducement to clients or client staff.
Payment for legitimate marketing activity may be made, and national laws should be respected.
Privacy of information: A member shall not use any confidential information about a client’s affairs, elicited during the course of an assignment for personal benefit or for the benefit of others outside the client organisation; there shall be no insider dealing or trading as legally defined or understood.
When required or appropriate a member will establish specific methods of working which preserve the privacy of the client’s information.
Objectivity: A member will advise the client of any significant reservations the member may have about the client’s expectation of benefits from an engagement.
A member will not indicate any short-term benefits at the expense of the long-term welfare of the client without advising the client of the implications.
Principle 3: Responsibility to the Profession and to the Institute: A member’s conduct shall at all times endeavour to enhance the standing and public recognition of the profession and the Institute.
Annual Affirmation: A member will provide the Institute with annual affirmation of adherence to the Code of Professional Conduct.
Continuing Professional Development: A member will comply with the Institute’s requirements on Continuing Professional Development in order to ensure that the knowledge and skills the member offers to clients are kept up to date.
A member will encourage management consultants for whom the member is responsible to maintain and advance their competence by participating in Continuing Professional Development and to obtain membership of the Institute Professional obligations to others
A member shall have respect for the professional obligations and qualifications of all others with whom the member works.
A member referring a client to another management consultant will not misrepresent the qualifications of the other management consultants, nor make any commitments for the other management consultant.
A member accepting an assignment for a client knowing that another management consultant is serving the client will ensure that any potential conflict between assignments is brought to the attention of the client.
When asked by a client to review the work of another professional, a member will exercise the objectivity, integrity and sensitivity required in all technical and advisory conclusions communicated to the client.
Fees: A member will negotiate agreements and charges for professional services only in a manner approved as ethical and professional by the Institute.
Publicity: A member, in publicizing work or making representations to a client, shall ensure that the information given:
- is factual and relevant
- is neither misleading nor unfair to others
- is not otherwise discreditable to the profession
Accepted methods of making experience and/or availability known include:
- publication of work (with the consent of the client)
- direct approaches to potential clients
- entries in any relevant directory
- advertisement (in printed publication, or on radio or television)
- public speaking engagements
Personal Conduct: A member shall be a fit and proper person to carry on the profession of management consultancy.
A member shall at all times be of good reputation and character. Particular matters for concern might include:
- conviction of a criminal offence
- censure of disciplining by a court or regulatory authority
- unethical or improper behaviour towards employees or the general public
A member shall not wilfully give the Institute false, inaccurate, misleading or incomplete information.
Disciplinary action: All members are liable to disciplinary action if their conduct is found, by the Disciplinary
Committee of the Institute to be in contravention of the Code of Conduct, or to bring discredit to the profession or to the Institute.
In accordance with the Bylaws, members may be required to make a declaration in answer to enquiries from the Institute concerning their professional conduct. A member failing to make such a declaration may be found in breach of the Principle to which the Rule or Note relates.
The CICMC Code of Professional Conduct is also available at http://www.sesek.com.cy/