Procurement Ethics Definition
There is no single definition of ‘procurement ethics,’ but the term generally refers to the set of ethical principles that guide individuals and organizations who are involved in the procurement process. These principles may address issues such as conflict of interest, bribery, corruption, and other forms of unethical behavior.
Organizations that have established procurement ethics programs typically have a code of conduct that outlines acceptable and unacceptable behavior. Individuals who are involved in procurement may be required to complete training on ethical principles and sign a commitment to adhere to the organization’s code of conduct.
Procurement ethics is an important issue because the decisions made during the procurement process can have a significant impact on an organization’s finances, reputation, and relationships with suppliers and other stakeholders. Organizations that adopt a proactive approach to managing procurement ethics risks are more likely to be successful in their efforts to prevent and detect unethical behavior.
