We looked up at the code of conduct and how to identify breach of code in our previous blog posts. Today, let’s turn around and see the other side of the coin.

What sort of ethics should Suppliers follow on their side?

• Set your own rules & code of conduct and follow the ethics. Have strict policies against corruption/bribery/laundering/extortion.
• Avoid any activity which may cause conflict of interest with the Procurement Team at your customer’s side. Keep personal interactions limited to the initial small talk.
• Avoid any personal business with any customer representative or a similar person and nepotism.
• Avoid any payment of fee/favor in order to win the contract. Many suppliers pitch a few favors at time of negotiation. Know that the customer is likely to look at you as an unethical supplier and might not deal with you in the future.
• Similarly refrain from accepting any request for donations/goods/services of any kind with the customer representative.
• Get to know the code of ethics followed at your customer’s side and learn/train your resources appropriately.
• Give your customer representative a better understanding of your operations and keep them in loop for changes if any.
• Avoid giving out any business gifts or meals to the customer representative.

The ultimate goal of following ethics is to deal with impartiality, transparency and pure professionalism in business. Ethical behavior must be extended to every stakeholder in the complete procurement cycle.

Click here to read The Complete Ethical Procurement – Series

Have you faced similar situations? Share your comments below.

Learn More: Vendor Management Guide

Related Read:

1. Blog – Ethics in Procurement – Identifying breach of code
2. Ethics in Procurement – Setting a up a code for conduct
3. Blog – 6 Procurement Fraud & Symptoms to Alert you to Action
4. AI-Powered Procurement Software
5. Webinar – Procurement Leadership in the Digital Age: Redefining Technology, Agility and Adaptability
6. White Paper – A blue-print for better SOX compliance using best-in-class procurement software