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ACCA Applied Knowledge · Business and Technology · Corporate codes of ethics

Ravi, a junior buyer at Dalton Ltd, sees a colleague accepting expensive gifts from a supplier, which the code of ethics prohibits. Ravi fears retaliation if he reports it. Which feature of an embedded ethics programme would best address Ravi's concern?

A confidential whistleblowing channel with protection against retaliation best addresses Ravi's concern. His barrier to reporting is fear of reprisal, so safe, anonymous or protected reporting removes it, while more detailed rules or signed reports to a line manager would not.

  1. AA confidential whistleblowing channel with protection against retaliationCorrect
  2. BA longer version of the code with more detailed gift rules
  3. CA requirement that all reports be signed and given to the line manager
  4. DAnnual bonuses linked to sales targets

Explanation

Ravi's barrier is fear of retaliation, so a confidential reporting route with protection directly addresses it. More detailed rules do not remove the fear. Requiring signed reports to the line manager would increase the fear, and sales-linked bonuses may even add pressure to behave unethically.

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