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The American Society of Agricultural Consultants

The American Society of Agricultural Consultants. Ethics and Standards of Professional Practice • •. ARA’s Broad Impact. * Authority * Responsibility * Accountability. AUTHORITY. 45% Of ASAC Members…Ag Development

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The American Society of Agricultural Consultants

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  1. The American Society of Agricultural Consultants Ethics and Standards of Professional Practice • •

  2. ARA’s Broad Impact * Authority * Responsibility * Accountability

  3. AUTHORITY • 45% Of ASAC Members…Ag Development • 38% “ “ “ …Finance/Economics • 24% “ “ “ …Feasibility Studies

  4. RESPONSIBILITY PURCHASE 926 ACRES @ $8,265 A. = $7,653,390 MAXIMUM DEBT THAT IS PRACTICAL EXPAND HOG OPERATION…856 SOWS DEVELOP BUDGET SYSTEM…95-98% ACCURACY LABOR COSTS ARE TOO HIGH SALES TO INVENTORY @ FMV = 31¢ DISCONTINUE 42 COW/CALF OPERATION

  5. ACCOUNTABILITY • PURCHASING LAND @ $8,265/A. • MAXIMUM DEBT THAT IS PRACTICAL • EXPANDING HOG OPERATION • DEVELOP & TRAIN BUDGET SYSTEM • LABOR COSTS…& MANAGEMENT • SALES TO INVENTORY @ FMV = 31¢ • ELIMINATING COW/CALF…HEARTACHE!

  6. ASAC Membership - Benefits - Education Certification Publications Personal Enrichment Networking Ethical Standards

  7. Definitions • Ethics is defined as . . . Principles of conduct governing an individual or group • Moral is defined as. . . Principles of right and wrong behavior conforming to a standard of right behavior • Standard is defined as. . . A model which stands for or is accepted as a basis for comparison

  8. Two Reasons Why People Act Unethically • The person’s ethical standards are different from society’s as a whole. 2. The person chooses to act selfishly.

  9. Ethical Business Management[Bruce Weinstein…”The Ethics Guy”] 1. Do No Harm 2. Make Things Better 3. Respect Others 4. Be Fair 5. Be Compassionate

  10. How Does U.S. Society View Cheating? • Recent Harvard University Episode a. Organized Cheating…125 Students [caught] b. Honor System…Outdated?...Unrealistic? • Resumes Inflated…Common Practice a. Education b. Experience c. Previous Responsibilities d. Previous Achievements 3. Soliciting Consulting Contracts

  11. University of Massachusetts Study 1. 70% of U.S. Adults Lie a. Some Individuals Apparently Prefer Lying b. 500% More Prevalent Via Email…Anonymous • 33%...Not Doing Anything Wrong • 22%...Need Access To Unauthorized Information • 19%...Employer Doesn’t Enforce Policies • 16%...Inconvenient To Follow Policies • 61%...Company’s Responsibility To Protect • Lying Occurs Individually…10-200 Times Daily

  12. Conducting Business Qualifications Professional Honesty Confidentiality Competing Clients Referring Clients & Compensation for Using Product 7.Rights of Fellow Consultants 8. Unethical/Illegal Conduct by Other Consultants 9. Promoting Services 10.Self-Discipline American Society of Agricultural ConsultantsSummary of Code of Ethics

  13. Code of Ethics (1) Business Conduct A member is distinguished by the independence, objectivity, and moral concern by which business affairs are conducted.

  14. Code of Ethics (2) Qualifications Members will accept only those engagements they are qualified to undertake, and which, in the light of their knowledge and experience, are in the best interests of their clients.

  15. Code of Ethics (3) Professional Honesty A member can be depended upon to serve clients with true professionalhonesty and will refuseto serve under terms or conditions that may impair the member’s independence, objectivity, or integrity.

  16. Code of Ethics (4) Confidentiality A member respects and guards as confidential any information obtained from clients which is of a sensitive and confidential nature.

  17. Code of Ethics (5) Competing Clients A member will serve two or more competing clients at the same time on problems of a conflicting nature only with their full knowledge.

  18. Code of Ethics (6) Referring Clients Members shall not accept or pay fees for referring clients, nor will they accept compensation, financial or otherwise, from persons or companies whose products, equipment, or services they may recommend to clients during the course of an engagement, without full disclosure to the client.

  19. Code of Ethics (7) Rights of Fellow Consultants A member shall always respect the rights of fellow consultants in negotiating for professional work or advancement; and may use all honorable means in competition for an assignment.

  20. Code of Ethics (8) Unethical or Illegal Conduct by Other Consultants A member will condemn unethical or illegal conduct by other consultants and shall report any information on violations of these principles to the Society’s Committee of Ethics for proper investigation and action.

  21. Code of Ethics (9) Promoting Services Members shall promote their services in a professional and dignified manner, being careful to avoid inaccuracies or misleading statements.

  22. Code of Ethics (10) Self-Discipline Members recognize that the Society’s Code of Ethics signifies a voluntaryassumption of the obligation of self-discipline above and beyond the requirements of the law. By it one strives to uphold the honor and maintain the dignity of the profession.

  23. American Society of Agricultural Consultants Summary of Standards Related to Agricultural Consulting Competency Provision Departure Provision Jurisdictional Exception Performance Provision

  24. ASAC Standards (A) Competency Provision Must have the knowledge and experience necessary to complete the assignment OR Immediately disclose the lack of knowledge or experience to the client and take all steps necessary or appropriate tocomplete the assignment competently

  25. ASAC Standards (B) Departure Provision • Under what conditions will the Departure Provision apply? • How does a consultant handle and report situations that are limited or different?

  26. ASAC Standards (C) Jurisdictional Exception If any part of these standards is contrary to the law or public policy of any jurisdiction, only that part shall be void and have no force or effect in that jurisdiction.

  27. ASAC Standards (D) Performance Provision Minimum Performance Standards • Identify specific client • Nature and scope of work • Any limitations or assumptions • Compensation • Timeperiod

  28. ASAC Standards (D cont.) 1. All Consulting Communications • Letter Consulting Reports • Comprehensive Consulting Reports 4. Continuing Relationships

  29. ASAC Standards (D cont.) Remember !!! • Disclosure • Adverse Conditions • Responsibility • Misrepresentation • Assumed Conditions • Methodology

  30. Thank you! Questions?

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