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ETHICS FOR THE PROCUREMENT PROFESSIONAL Wiley C. Rowsey, CPPO, VCO Procurement Director Virginia Department of Education Phone: 804-225-3576

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Presentation on theme: "ETHICS FOR THE PROCUREMENT PROFESSIONAL Wiley C. Rowsey, CPPO, VCO Procurement Director Virginia Department of Education Phone: 804-225-3576"— Presentation transcript:

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2 ETHICS FOR THE PROCUREMENT PROFESSIONAL Wiley C. Rowsey, CPPO, VCO Procurement Director Virginia Department of Education Phone: CAPA – September 17, 2010

3 “Three may keep a secret if two of them are dead.” Benjamin Franklin

4 DEFINITIONS ETHICS: The rules or standards governing the conduct of the members of a profession ETHICS: The rules or standards governing the conduct of the members of a profession INTEGRITY: Rigid adherence to a code or standard of values INTEGRITY: Rigid adherence to a code or standard of values

5 EXAMPLES OF WRONGDOING  Accepting or soliciting gifts  Allowing a contractor to pay for your meal  Discussing or accepting a job offer to influence a contract award decision  Accepting a special discount for personal gain  Doctoring files to change the outcome  Knowingly accepting product not meeting specs  Not reporting wrongdoing

6 EXAMPLES OF WRONGDOING CONTINUED  Providing insider info to favorite bidder  Manipulating outcome so favorite vendor wins  Backdating and signing documents  Splitting orders to avoid competition  Allowing bidder to change price or sign bid after opening

7 COMMON RATIONALIZATIONS  “Everyone else does it”  “They’ll never miss it”  “Nobody will care”  “The boss does it”  “No one will know”  “I don’t have time to do it right”  “That’s close enough”  “Some rules were meant to be broken”  “It’s not my job”

8 CODE OF VIRGINIA LAWS THAT GOVERN OUR AND THE VENDOR COMMUNITY CONDUCT VPPA § et seq State and Local Gov’t Conflict of Interest Act § et seq Virginia Governmental Frauds Act § et seq Code of Virginia searchable database:

9 HOW SHOULD PUBLIC BODIES PROMOTE CONFIDENCE IN AND COMPLIANCE WITH ETHICAL STANDARDS Publicly post purchasing rules and procedures Publicly post purchasing rules and procedures Publicly post code of ethics/standards of conduct Publicly post code of ethics/standards of conduct Conduct ethics training for all staff Conduct ethics training for all staff Publicly post solicitations/Hold public bid openings Publicly post solicitations/Hold public bid openings Make records available for public inspection Make records available for public inspection Preclude personal interest/influence in a contract Preclude personal interest/influence in a contract Be cognizant of back-door selling Be cognizant of back-door selling Remain independent, free of obligation and above suspicion Remain independent, free of obligation and above suspicion

10 PATIENCE CONSISTENT DILIGENT PRINCIPLED KNOWLEDGEABLE COURAGEOUS HONORABLE INTEGRITY

11 ETHICS IN THE PROCUREMENT FROG POND A happy, dancing purchasing professional when all goes well DECISION MAKING QUESTIONS TO ASK WAS IT LEGAL OR ETHICAL? DOES IT COMPLY WITH LOCAL OR STATE POLICIES, LAW, YOUR VALUES? WILL IT APPEAR ON THE 6 O’CLOCK NEWS/ABOVE THE CREASE HEADLINES?

12 WHAT WOULD YOU DO IF FACED WITH A POTENTIAL ETHICS ISSUE? HOW TO SAY “NO” TACTFULLY Don’t accuse the other person of being unethical—instead use “I” statements to describe your feelings: “I have serious concerns about that, and I need your understanding…” “I honestly believe it is wrong because…” “I can’t do what I feel is wrong…”

13 PERSONAL CONDUCT  Higher standard for managers & purchasing professionals  Public expectation—make right decisions, be trustworthy  Vendor expectation—fairness & honesty  Be cognizant of laws & policies & where to look them up

14 WHAT WERE THEY THINKING? News Articles

15 TEN COMMANDMENTS OF ETHICAL GOVERNMENT 1. Be Independent 2. Act Only in the Public Interest 3. You Are a Trustee of the Public’s Money 4. Follow the Law 5. Strive for Efficiency

16 TEN COMMANDMENTS OF ETHICAL GOVERNMENT 6. Protect the Economy 7. Take Nothing, Ever 8. Do Not Socialize with Vendors 9. Maintain Confidentiality 10. Do Not Play Favorites

17 - SWEAT THE SMALL STUFF -REMEMBER CANDID CAMERA -DO THE RIGHT THING -SET THE EXAMPLE -DON’T IGNORE YOUR NOSE (does it pass the smell test?) Think first! What would it be like if friends and family see YOU on the 6 o’clock news? Remember, “Doing the right thing is the one ingredient that leads to long-term success”


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