DSST Business Ethics and Society-Study Guide 2

Random drug testing is permitted in some industries

Info iconThis preview shows pages 7–8. Sign up to view the full content.

View Full Document Right Arrow Icon
Random drug testing is permitted in some industries, including the transportation industry. Similarly, employees engaged in safety- sensitive or security-sensitive jobs (nuclear reactor workers, refinery workers, peace officers, and customs agents, for example) may be subjected to random testing. Conflict of interest ( COI ) Occurs when an individual or organization is involved in multiple interests, one of which could possibly corrupt the motivation for an act in the other. A conflict of interest can only exist if a person or testimony is entrusted with some impartiality; a modicum of trust is necessary to create it. The presence of a COI is independent from the execution of impropriety. The occupations where a COI is most likely to be encountered include: policeman, lawyer, insurance adjuster, politician, engineer, executive, director of a corporation, medical research scientist, physician, writer, or editor. In short—any entrusted individual or organization. More generally, conflicts of interest can be defined as any situation in which an individual or corporation (either private or governmental) is in a position to exploit a professional or official capacity in some way for their personal or corporate benefit. Depending upon the law or rules related to a particular organization, the existence of a COI may not, in and of itself, be evidence of wrongdoing. In fact, for many professionals, it is virtually impossible to avoid having conflicts of interest from time to time. A COI can, however, become a legal matter for example when an individual tries (and/or succeeds in) influencing the outcome of a decision, for personal benefit. OCI, or Organizational Conflict of Interest An organizational COI, or OCI, may exist in the same way as described above, in the realm of the private sector providing services to the Government, where a corporation provides two types of services to the Government that have conflicting interest or appear objectionable (ie: manufacturing parts and then participating on a selection committee comparing parts manufacturers). Corporations may develop simple or complex systems to mitigate the risk or perceived risk of a COI. These risks are typically evaluated by a Governmental Office to determine whether the risks pose a substantial advantage to the private organization over the competition or will decrease the overall competitiveness in the bidding process. The following are the most common forms of conflicts of interests: Self-dealing , in which an official who controls an organization causes it to enter into a transaction with the official, or with another organization that benefits the official. The official is on both sides of the "deal." Outside employment, in which the interests of one job contradict another, Family interests, in which a spouse, child, or other close relative is employed (or applies for employment) or where goods or services are purchased from such a relative or a firm controlled by a relative. Gifts from friends who also do business with the person receiving the gifts. (Such gifts may include non-tangible things
Background image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 8
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page7 / 9

Random drug testing is permitted in some industries...

This preview shows document pages 7 - 8. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online