Skip to content

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

Which of the following is most likely to make a code of ethics more effective when it is being developed?

Consulting employees at all levels during development makes a code more effective because it builds ownership and commitment. A code written only by outsiders, kept confidential or copied from a competitor feels imposed and may not reflect the organisation's own values and risks.

  1. ADrafting it solely by external lawyers without staff input
  2. BConsulting employees at all levels so they feel ownership of itCorrect
  3. CKeeping its contents confidential from customers and suppliers
  4. DMaking it identical to a competitor's code

Explanation

Involving staff in development builds understanding and commitment, so the code is more likely to be followed. Excluding staff produces a document that feels imposed. Keeping it confidential or copying a competitor's ignores the company's own risks and values.

Did you get it right without looking?

One question tells you little. A timed set on Corporate codes of ethics shows your real accuracy, how long you take and where you lose marks.

Practise Corporate codes of ethicsFree diagnostic mock

More Corporate codes of ethics questions