INTRODUCTION Members of the IMC give advice to all levels of management and with this comes the obligation to maintain the highest standards of integrity and competence. The IMC, as the professional body for management consultants in the United Kingdom, embodies within its Code of Professional Conduct duties and obligations which are required of all members. In recognition of their obligations to clients, to the public at large and to the profession, all members annually agree in writing to comply with the IMC's Code of Professional Conduct, and to undertake relevant continuing professional development activities. CODE OF PROFESSIONAL CONDUCT IMC's Code of Professional Conduct is structured on three principles: Meeting the client's requirements; Integrity, independence, objectivity; Responsibility to the profession and to the IMC. These principles are underpinned by detailed rules, which are specific injunctions, and practical notes. The Council of the IMC may, from time to time, issue further principles, rules or notes which will be published in the IMC's publications before being incorporated into a revised edition of the Code. Members are expected to abide by all such new provisions from the date of their publication. The principles, rules and notes of the Code apply not only to the members personally but also to acts carried out through a partner, co-director, employee or other agent acting on behalf of, or under the control of, the member. Definitions used on The Code of Professional Conduct Member: A Fellow, Full Member, Associate Member or Affiliate of the IMC. Client The person, firm or organization with whom the 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 to express your own opinion freely without any control or influence from others outside the consulting organisation, and without the need to consider the impact of such opinion to your own interests. Institute: The Institute of Management Consultancy. DISCIPLINARY ACTION Members are liable to disciplinary action if their conduct is found, by the Disciplinary Committee of the IMC, to be in contravention of the Code, or to bring discredit to the profession or to the IMC. In accordance with the By-laws, members may be required to make a declaration in answer to enquiries from the IMC 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. PRINCIPLE I Meeting the Client's Requirements. A member shall regard the client's requirements and interests as paramount at all times. RULES Competence 1.1 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 1.2 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 1.3 A member shall subcontract work only with the prior agreement of the client, and, except where otherwise agreed, will remain responsible for the performance of the work. Confidentiality 1.4 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 1.5 A member will not invite or encourage any employee, client for whom the member is working to consider alternative employment, unless it is the purpose of the assignment. Due Care 1.6 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 1.7 A member will ensure that the client is kept fully informed about the progress of the assignment. 1.8 A member will encourage and take note of any feedback provided by the client on the performance of the member's services. Respect 1.9 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. RULES Disclosure 2.1 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. 2.1.1 Rule 2.1 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 2.2 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 as to the performance or continuance of the engagement. 2.2.1 It should be noted that the Institute may, depending on the circumstances, be 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 2.3 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. 2.3.1 Payment for legitimate marketing activity may be made, and national laws should be respected. Privacy of information 2.4 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. 2.5 When required or appropriate a member will establish specific methods of working which preserve the privacy of the client's information. Objectivity 2.6 A member will advise the client of any significant reservations the member may have about the clients expectation of benefits from an engagement. 2.7 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 IMC A member's conduct shall at all times endeavour to enhance the standing and public recognition of the profession and the Institute. RULES Annual affirmation 3.1 A member will provide the Institute with annual affirmation of adherence to the Code of Professional Conduct. Continuing professional development 3.2 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 3.4 A member shall have respect for the professional obligations and qualifications of all others with whom the member works. 3.5 A member referring a client to another management consultant will not misrepresent the qualifications of the other management consultant, nor make any commitments for the other management consultant. 3.6 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. 3.7 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 3.8 A member will negotiate agreements and charges for professional services only in a manner approved as ethical and professional by the IMC. 3.8.1 Members are referred to the Institute’s ‘Guidelines on Charging for Management Consulting Services as set out in the Institute’s Byelaws. Publicity 3.9 A member, in publicising 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. 3.9.1 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 directories; Advertisement (in printed publication, or on radio or television); Public speaking engagements; Members are referred to the IMC's 'Guidelines on the Promotion of Management Consulting Services'. Personal conduct 3.10 A member shall be a fit and proper person to carry on the profession of management consultancies. 3.10.1 A member shall at all times be of good reputation and character. Particular matters for concern might include: conviction of a criminal offence or committal under bankruptcy proceedings censure of disciplining by a court or regulatory authority unethical or improper behaviour towards employees or the general public. 3.1.1 A member shall not wilfully give the IMC false, inaccurate, misleading or incomplete information.   (c) Copyright Insitute of Management Consultancy