3 - King IV, Ethics: P1-3 Flashcards
1
Q
principle 1?
A
- the GB should lead ethically and effectively
- should possess iCRAFT
2
Q
iCRAFT?
A
integrity competence resp accountability fairness transparency
3
Q
integrity?
A
- act in good faith/best ints of org
- avoid conflicts of int, disclose to GB earliest opp
- act ethically beyond just legal compliance
- set tone for ethical culture
4
Q
competence?
A
- sufficient working knowledge
- due care, skill, diligence
- continuously develop their competence
5
Q
responsibility?
A
- assume resp for steering and setting direction of org
- approve policy
- exercise courage in a resp manner
- take resp for anticipating/prev negative outcomes of org activities
6
Q
accountability?
A
should be willing to answer for the execution of responsibilities, even if they were delegated
7
Q
fairness?
A
- stakeholder inclusive approach
- does not drastically impact natural environment/society
8
Q
transparency?
A
transparent in the way they exercise their role in gov
9
Q
principle 2?
A
the GB should govern org ethics in a way that supports the establishment of an ethical culture
10
Q
when looking at ethics, think about?
A
- GB leading ethically
- GB creating an ethical culture
- org being a resp corp citizen
11
Q
how to establish a ethical culture?
A
- codes of conduct policies created and enforced
- deals w all SH and society, key ethical risks
- be published in appropriate media
- referred to in contracts
- incl in employee induction and training
12
Q
what does the effective mgmt of ethics require?
A
- ethical standards applied w employees
- having remedies for breaches
- protected disclosure/whistle blowing
- monitoring adherence to standards
13
Q
principle 3?
A
GB resp for ensuring resp corp citizen
14
Q
how to be good corp citizen?
A
over and above applying the law, monitor consequences of activities and outputs and ito:
- workplace
- economy
- society
- environment
15
Q
purpose of ethics?
A
- protect public int
- protect clients
- protect members of the profession
