Ethics, rules of conduct, professionalism

Question 1

What are the RICS rules of conduct?

Answer 1

Members and firms must:
1. be honest, act with integrity and comply with their professional obligations, including RICS
2. maintain their professional competence and ensure that servces are provided by competent individuals who have the necessary expertise
3. provide good-quality and diligent service
4. treat others with respect and encourage diversity and inclusion
5. act in the public interest, take responsibility for their actions and act to prevent harm and maintain public confidence in the profession.

Question 2

Whats the difference between a Rule and Principles

Answer 2

Rules are imperative directions to do or not do something, Principles set aspirational standards on conduct

Question 3

Why have a professional code of ethics

Answer 3

Codes improve ethical decision-making
Aren’t the same as rule books
Remove the risks involved with ethical decision making
Ensure consistency in decision making
Sets levels of professional expectation
Promote trust from the public
Promotes ethical culture/ethos within profession

Question 4

What is a conflict of interest?

Answer 4

A situation where your duty to someone is potentially compromised by you having a material interest in the matter at stake

Question 5

What three types of conflict of interest do RICS define?

Answer 5

Party conflict
Own interest conflict
Confidential information conflict

Question 6

What is a party conflict?

Answer 6

A situation in which the duty of an RICS member (working independently or within a non-regulated firm or within a regulated firm) or a regulated firm to act in the interests of a client or other party in a professional assignment conflicts with a duty owed to another client or party in relation to the same or a related professional assignment.

Question 7

What is an Own interest conflict?

Answer 7

A situation in which the duty of an RICS member (working independently or within a non-regulated firm or within a regulated firm) or a regulated firm to act in the interests of a client in a professional assignment conflicts with the interests of that same RICS member/firm (or in the case of a regulated firm, the interests of any of the individuals within that regulated firm who are involved directly or indirectly in that or any related professional assignment).

Question 8

What is a Confidential Information conflict?

Answer 8

A conflict between the duty of an RICS member (working independently or within a non-regulated firm or within a regulated firm) under paragraph 2.2 to provide material information to one client, and the duty of that RICS member (working independently or within a non-regulated firm) or of a regulated firm under paragraph 2.1 to another client to keep that same information confidential.

Question 9

Under what circumstances do you considering geting Informed Consent for a Conflict on Interest?

Answer 9

only if all the relevan parties interests will be served by your firm doing it as opposed to another firm

e.g. do you have a special expertise?

Question 10

What do you need to consider when giving information about Informed Consent

Answer 10

Degree of sophistication and nature of the party concerned must be reflected in the info provided

e.g. large corp. understand risks betterthan an independent or someone who rarely works with RICS professionals

Question 11

What should you do if it is impossible to convey the required info?
e.g. client with dementia or not enough time to digest info

Answer 11

Decline the instruction

(unless that person has independent advice from a suitable qualified professional about the situtation)

Question 12

How do you become a trustworthy professional?

Answer 12

Ensure I am competent to do the work by developing and maintaining my specialise knowledge

Affiliaite with a professional body and accept a code of practice that determines how they practise

Commit to putting the client and public interest ahead of my own should the two clash in an assignment

Question 13

Who is the current RICS CEO?

Answer 13

Justin Young - appointed Jul 2023

Question 14

What are the RICS CPD requirements?

Answer 14

20 CPD hours per calendar year, of which 10 must be formal

Question 15

What’s the difference between informal and formal CPD?

Answer 15

Formal - structured learning that has clear learning objectives and outcomes
e.g. professional course, structured online training, technical authorship, learning that includes an assessment measure

Informal - self-managed learning that is relevant/related to professional role.
e.g. private study, on-the-job training, attendance at informal seminars or events where focus is on knowledge sharing

Can use the RICS CPD decision tree to help differentiate

Question 16

How is RICS regulated?

Answer 16

RICS is a Royal Charter body with responsibility for regulating its members. To meet its Royal Charter obligations, RICS is committed to regulating its Members and RICS Regulated Firms for public benefit.

Regulatory functions of RICS are delegated from RICS’ Governing Council to the independently led Standards and Regulation Board (SRB)

Question 17

What is the role of of the Standards and Regulation Board?

Answer 17

Build and maintain trust and confidence in the profession for public benefit.
It oversees
-setting of professional standards,e
-entry to the profession
-the dispute resolution service
and provide assurances to the profession, stakeholders and public that RICS-qualified professionals and regulated firms operate to the required standards of conduct and competence

Question 18

How is the RICS governed?

Answer 18

RICS is governed through its constitutional documents which consist of
- the Royal Charter
- Bye-Laws
- Regulations
- Standing Orders.

Changes to the Royal Charter and Bye-Laws can only be amended following a membership vote and approval of Privy Council which is part of the UK government. Governing Council can approve changes to the Regulations and Standing Orders

Question 19

What is the role of RICS Governing Council?

Answer 19

Governing Council is RICS’ governing body.
It delegates responsibilities to the RICS Board,
Sets RICS’s strategy and vision
Approves changes to RICS’s constitutional documents.
Oversees the effectiveness of the RICS Board and the Standards and Regulation Board.

Question 20

Which Board committees support the RICS board?

Answer 20

Audit, Risk Assurance and Finance Committee (ARAF Committee)
Nominations and Remuneration Committee
World Regional Boards - 5 world regions. Each Board is responsible for developing a strategy and business plan for their region.

Question 21

Give an example of when you have demonstrated Rule 1?

Answer 21

Informing client of a design error and charging the re-design work to zero cost code
Or not booking 100% of time to contract when only woprking 50%

Question 22

What would you do if given a gift?

Answer 22

Act in accordance with out gift and hospitality policy
All gifts must be declared - whether accepted or not
All gifts, other than items such as diaries, calendars or other small items of modest value bearing a company’s name or insignia, must be reported, in writing,
-
- hospitality such as travel and accomodation for speaking at a conference
- attending a drinks reception to network

Gift actions - raffle or donate gift to charity

Question 23

How do you handle a complaint?

Answer 23

Only needed to deal with dissatisfaction
Not had serious esnough to use complaints procedure but what I would do is …..

Follow the guidance set out in the RICS Complaints handling guidance note
Receipt, management and resolution to be done in accordance with any specific terms of the PII policy
Inform PII insurer as soon as possible
Start by understanding root cause of issue
Record detail of complaint accurately
Maintain professionalism
Respond within the timescales detailed in the CHP
Proportionality when handling complaints - minor expression of dissatisfaction can be resolved with a phone call, serious complaint about misconduct/negligence will require a more formal approach.

Question 24

What are the RICS requirements for complaintd handling for RICS regulated firms?

Answer 24

Firms must
Operate a complaints handling procedure
Maintain a complaints log
Complaint handling must include an approved ADR mechanism

Question 25

How can you minimise chance of complaint?

Answer 25

Issue Terms of Engagement - helps define the circumstances/context in which complaints can be made/managed
Have direct dialogue with the client

Question 26

What makes an effective complaints handling Procedure?

Answer 26

Fit for purpose - reflect size and structure of business
Made available to all staff
Understood by all staff - keep records of training
Readily shared
Regularly reviewed
Agreed with PI brokers
Details of access to independent redress if firm cannot resolve