Hot Topics 2025 Flashcards
Please explain your understanding of the Harris Debate?
The Harris Debate is organised annually by the RICS and provides a platform to address ethical concerns in the field of surveying and valuation.
In 2024 the debate focussed on the theme of Ethics in the Age of Artificial Intelligence and its impact on Valuation Practices. The debate explored the ethical implications of incorporating artificial intelligence into valuation and surveying as AI is becoming more integrated in these fields.
What is your view on the use of AI for the purposes of property valuation?
In order for a valuation to be compliant with RICS Red Book Standards, transparency of how the valuation has been derived is key.
There is a perception that current AI models are ‘black boxes’ where creators can’t fully explain how decisions are made, therefore to run a valuation with sole AI input is not compliant with current regulations and industry standards.
Other drawbacks of AI are that site specific abnormal details such as property condition and special values cannot always be considered.
There is also a susceptibility to a reliance on bad data which can reduce the accuracy of the AI generated inputs in a case of bad data in, bad data out.
AI can offer advantages with providing access to a wide array of data and greater efficiencies when used as a supporting data collection and processing tool.
I feel in its current stage of development and into the future, it will always be critical to have significant input from a human appraiser standpoint in order to undergo rigorous checks and due diligence.
What are the ethical concerns with the adoption of AI for the purposes of property valuation?
It is important to consider that AI algorithms rely on data and if this data is inaccurate, incomplete or intentionally weighted following bias data input, this can dramatically skew results in the favour or to the detriment of the parties involved. There are also great issues around transparency of the data input and analysis with operators of AI not always fully cognisant of how results have been generated. For a valuation to be compliant with RICS Red Book Standards, transparency of how the value has been determined is key.
Please explain your understanding of the term AVM or Automated Valuation Model?
An automated valuation model or AVM is a term for a service that combines mathematical or statistical modelling with databases of existing properties and transactions to calculate real estate values. The majority of AVMs compare the values of similar properties at the same point in time. AVMs are more efficient than a human appraiser but are only as good as the data that support their calculations. They are driven by proprietary algorithms and usually contain a statistical analysis of comparable properties using sales history and are then weighted to consider a range of factors to determine an assessment on value.
What wider impact do you feel AI will have on the property industry?
Artificial Intelligence has the potential to play a significant role in the industry with key advantages including:
Enhanced Property Management – Automation of maintenance scheduling, analysis of tenant behaviours, improved energy efficiency through smart building technologies with AI monitoring systems such as lighting, heating and security in real time.
Data-Driven Decision Making – AI has the potential to analyse vast amounts of market data to predict trends, assess property values, and identify investment opportunities.
Streamlining Transactions – AI can simplify the buying, selling and leasing processes by automating paperwork, ensuring compliance and detecting fraud.
Urban Planning and Development – AI can assist city planners and developers by analysing environmental, social, and economic data. It can simulate the impact of new developments, optimising infrastructure planning and sustainability efforts.
Risk Management – AI can play a pivotal role in identifying and mitigating risks, such as market volatility, structural issues in properties, or potential legal complications. Predictive algorithms can help stakeholders anticipate and mitigate these risks.
As AI adoption grows, the property industry is likely to see a mix of efficiency gains and cultural shifts, emphasising collaboration between technology and human expertise.
What impact will AI have on the construction industry?
A large overhead for the majority of Main Contractors is the estimating process which can be very onerous and require weeks of input from skilled estimators.
AI can assist the estimating process by supporting estimators with data collection and processing when reviewing large tender packs made up of contract documents, drawings, specifications and legal documents.
Site safety AI powered cameras can scan the site to detect potential safety hazards for example if a worker forgets to wear their helmet an alert can be generated to advise the site management to intervene.
AI technology can use energy modelling software to adjust lighting, HVAC and security systems to reduce operating costs and improve energy efficiency.
Automation of construction tasks is also being carried out for repetitive and labour intensive tasks such as bricklaying, excavation, and welding.
Please explain your understanding of the RICS Business Plan?
The RICS business plan for 2024 focuses on four major areas:
- Sustainability Leadership - RICS aims to lead on global issues such as decarbonisation, climate resilience, biodiversity, and the circular economy. This involves strengthening carbon measurement standards, influencing policymakers, and equipping members with training and tools to address sustainability challenges.
- Attracting Diverse Talent - Efforts are underway to attract a wider range of individuals into the profession. This includes modernising the assessment process, increasing support for early-career professionals, and creating grants and bursaries for underrepresented groups.
- Enhancing Member Engagement - RICS is working on improving the value and experience for its members. This includes better understanding their needs through data insights, creating stronger connections among members, and promoting their work and professionalism publicly.
- Strengthening Trust - The institution plans to enhance public trust by refining its regulatory processes, ensuring transparency, and maintaining high standards for ethical and technical practices.
Are you aware of any guidance that applies to RICS Members when using Social Media?
The RICS introduced the Guidance Note ‘Use of Social Media: Guidance for Members Version 1.
This took affect from 30th June 2021.
The Guidance note sets out the same standards as stipulated in the RICS Rules of Conduct and reminds members that these do not change whether communicating via social media, face to face or traditional forms of media.
How do you ensure you operate inline with RICS guidance on the use of Social Media?
I am always sure to use social media in a responsible and professional manner in the same way that I communicate via face to face or other written forms of communication.
I am sure to use professional and respectful language when communicating and understand the responsibility in representing the RICS.
I would never make a post that is dishonest or would cause offence in any way.
I realise that this could potentially undermine public confidence and trust in the profession.
When would the RICS investigate a Social Media post made by one of its members?
An investigation may take place if a social media post is:
1. Discriminatory.
2. Dishonest.
3. Abusive or threatening.
4. Likely to cause significant harm, distress or offence to a person.
5. Shows a pattern of frequent or large number of concerning communications.
6. Ignores previous advice or warnings about concerns.
Please explain your understanding of the RICS Inclusive Employer Quality Mark?
The RICS is launching a scheme known as the Inclusive Employer Quality Mark.
This is designed to improve diversity and inclusion within the property and construction sector.
The scheme requires employers to pledge their commitment to adopting and continually improving against the following six principles:
1. Leadership and Vision.
2. Recruitment.
3. Staff development.
4. Staff retention.
5. Staff engagement.
6. Continuous improvement.
Participating firms will be required to assess their performance against the criteria on a bi-annual basis.
RICS will use the assessment information to document the outcomes and trends for the profession as a whole.
Participating firms are able to use the branding of, ‘Signatory to the RICS Inclusive Employer Quality Mark’.
Explain your understanding of Rule Number 1?
Having reviewed the example behaviors in adhering to Rule 1 RICS Members and firms should not allow themselves to be influenced improperly through the acceptance of work referrals, gifts or hospitality.
Members and Firms must also be sure to identify conflicts of interest and not provide services or advice where these conflicts of interest occur.
This could be a scenario where you have reduced impartiality due to an existing relationship, for example being friends with a Main Contractor who has subsequently been selected to submit a tender would form a conflict of interest.
Explain your understanding of Rule Number 2?
To ensure compliance with Rule 2, Members and firms must only act for clients where they have the necessary knowledge, skills and resources to carry out the work competently.
Firms must supervise any employees or subcontractors undertaking work on their behalf, for example requesting that a Junior Surveyor undertakes a complex valuation due to resourcing issues would create problems in achieving compliance with this Rule. Instead an experienced and suitably qualified surveyor should be asked to undertake the valuation.
Explain your understanding of Rule Number 3?
As an RICS member or regulated Firm we must also be sure to understand a clients’ project specific requirements before acting on their behalf. The clients’ scope of services should be agreed along with any exclusions and timescales for achieving each of the deliverables before signing up to formal terms of engagement.
Explain your understanding of Rule Number 4?
The RICS also expects its members to respect the rights of others and treat others with courtesy.
We need to ensure that everyone is treated fairly and look to eliminate any instances of discrimination on the basis of age, disability, gender, pregnancy, race, religion or sexual orientation.
RICS members and firms also need to adopt a no tolerance policy of bullying or harassment.
Explain your understanding of Rule Number 5?
Members and firms are required to question practices and decisions that they suspect are not right and raise concerns with colleagues, senior management, clients or the RICS.
When making public statements we need to ensure these do not undermine public confidence in the profession.
When receiving and processing complaints, we need to ensure these are dealt with promptly, openly and professionally.
In complying with Rule 5, a useful sense check to ensure compliance is to ask ourselves if we would be comfortable in standing behind our actions if these were brought into the media or a public forum.
What are the main benefits of Diversity & Inclusion?
Diverse and inclusive environments help to:
1. Attract skilled professionals from diverse backgrounds.
2. Establishes a sense of belonging among employees.
3. Encourage employees to feel more connected.
4. Increases productivity.
5. Reduces staff turnover.
6. Allows employees to feel valued and accepted.
What is the RICS doing to improve Diversity & Inclusion?
The RICS has setup ‘Diversity & Inclusion leadership’ which is a knowledge hub allowing the RICS to share ideas on how and why diversity & inclusion is so important to the RICS.
This has included initiatives such as:
1. International Women’s Days celebrating the achievement of Women in our profession.
2. Pride 2023: LGBTQ+ equality pledge focusing on the importance of LGBTQ+ representation in the profession.
3. The McGregor-Smith Review – aiming to develop black and ethnic minority talent within the profession.
Please explain your understanding of how the RICS define Professional Standards vs. Practice Information?
Following the Bichard Review and its recommendations the RICS have introduced two new definitions for Professional guidance which are now split into Professional Standards and Practice Information.
These supersede the former definitions including Professional Statements, Guidance Notes and Codes of Practice etc.
Professional Standards - set out requirements or expectations for RICS members and regulated firms with a focus on baseline expectations for competence and ethical behavior. They contain mandatory requirements that surveyors must follow, where the word ‘must’ is used with best practice that surveyors should follow, where the word ‘should’ is used.
Practice Information – set out supporting guidance to advise surveyors in delivering specific services or working in specific areas of practice. The guidance is not mandatory and does not provide explicit recommendations. Practice Information can refer to processes, toolkits, checklists, insights, research and technical information or advice.
Please explain your understanding of what happened at COP29?
What is meant by the term Global Carbon Market?
Some progress was made on working towards a global carbon market where the buying and selling of carbon emissions is facilitated to help reduce global emissions. This market would incentivise lower global emissions for companies, countries and other entities.
By putting a price on carbon, it incentivises industries to innovate and invest in cleaner technologies, helping to reduce the global carbon footprint.
Progress was made on the NCQG or New Climate Finance Goal to replace the previous $100bn Goal. This is intended to ensure that sufficient financial resources are mobilised to support developing countries to address the impacts of loss and damage from climate-related disasters. A consensus on the amount and scope of the funds required was discussed at COP29.
What is meant by the term Global Carbon Market?
This refers to an international system that allows the buying and selling of carbon emissions, allowances or credits.
It is designed to help reduce global greenhouse gas emissions by putting a price on carbon to incentivise countries, companies, and other entities to innovate and invest in cleaner technologies and help to reduce the global carbon footprint.
