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FINANCE AND ACCOUNTING Affiliation Implementing and maintaining an effective of professional conduct According toCascarino (2007), for a proper functionality of an auditing institution, there needs to be code of ethics due to the intricate purpose that auditor plays to any company or institution. Auditing is the one profession that can reveal a major fraud in a company. Therefore, they need to observe, maintain, and implement to the later in their mandate, code of ethics. Code of ethics serves one major role in the institution. It promotes an ethical culture in internal auditing. Internal auditing is founded on the trust placed in their objective assurances that include risk management, control, and governance.
An organization like American Society of CPAs relies so much on internal auditors. Such auditors need to apply and uphold the ethical principles such as integrity to give a basis on reliance on their judgment. Secondly, they need to observe objectivity that makes them not to be led by their interest but the truth. Confidentiality and competency are another lot that need to be observed. The most important aspect of ethical principles is their consistency maintenance, implementation, and determination of their effectiveness to an institution such as American Society of CPAs (Braxton, 2012).
The maintenance of ethical code of professional conduct is the most important in making sense of the codes to the institution. The maintenance is due to ever changing conducts of the professionals working to an institution. It ensures that the most current code of ethics is consistent with demand of the institution. To fulfill the maintenance of code of ethics, surveillance need to be done continuously on the auditors behavior to note on any aspect that may compromise the professionalism of auditing. An institution like American Society of CPAs need to update the code of ethics now and then as the demand arises (Cascarino, 2007).
According to Braxton (2012), the presence of sound code of ethics in any institution without implementation is as good as not having one. In that light, the implementation now brings the essence of the code of ethics. The implementation comes with changes that the code of ethics is made to fulfill. For an organization such as American society of CPAs to implement the code of ethics, it has to come up with institutional policies that will safe guide the interest of the code of ethics. If any auditor goes against the policy of observing the code of ethic then disciplinary action should be taken. It is only through institutionalization of policies that will ensure the code of ethics is implemented.
Evaluation is imperative at the end of it all. According to Arcodia (2008), it is only through evaluation that an institution can recognize where they were, where they the institution is currently and where they intend to move. On that note, it is important to determine the effectiveness of the code of ethics through coming up with some measurable means of determining. Determining the effectiveness of the code of ethics is through developing a conceptual framework that guides the whole evaluation process. The conceptual frame is a stepwise deductive process of evaluation with the following steps. Firstly, begins with identifying threat, the significance of threats are then evaluated if on acceptable levels. Code of ethics is affected. The evaluation is done. This checks if the threats are eliminated. The process is done in a continuous manner until the threats are eliminated each time using novel code of ethics.
Reference
Braxton, J. M., &amp. Bray, N. J. (2012). Introduction: The importance of codes of conduct for academia. New Directions for Organizations, 2012(160), 1-4. doi:10.1002/he.20031
Arcodia, C., &amp. Reid, S. (2008). Professional Standards: The Current State of Event Management Associations. Journal of Convention &amp. Event Tourism, 9(1), 60-80. doi:10.1080/15470140802104573
Cascarino, R., &amp. Van, E. S. (2007). Internal auditing: An integrated approach. Lansdowne, South Africa: Juta.