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Mr. Gregory White
Mr. Gregory White, Master's Degree
Category: Business and Finance Homework
Satisfied Customers: 5240
Experience:  M.A., M.S. Education / Educational Administration
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The Ethical Dilemma External auditors are typically red by

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The Ethical Dilemma
External auditors are typically hired by the person in the company to be audited who has been taking the leadership role to develop and implement the health and safety system. The hired external certified auditors are required to objectively evaluate the client’s occupational health and safety management system.
Regardless of how the auditor scores the company on the audit their work is subject to the Certifying Partner’s quality assurance review. If the auditor scores the company “easily” the company will obtain an increasingly high audit score and hold COR. The company will appreciate the “good work” of the auditor. The company will earn the generous rebate every year and willingly hire the auditor back every three years. If the auditor scores the company too “tough” the company could end up with a lower audit score or lose their COR altogether if they score below the COR audit pass score. A lower score or a failed audit could create difficulties for the person in the company that hired the auditor. If the auditor evaluates the company health and safety system and scores the audit below the audit pass score them the company will lose the significant WCB rebate. In this scenario it is unlikely the external certified auditor will be ever hired back to conduct any future audits.
Given this scenario it has been stated by many that the external certified auditor is in a perpetual real conflict of interest. Further if it can be argued that there is no real conflict of interest there is at least a perceived conflict of interest.
Consider the Rules of Professional Conduct for Canadian Registered Safety Professionals that is attached ( BCRSP Rules of Professional Conduct.pdf). How can you reconcile the requirements of the BCRSP Rules of Professional Conduct with the situation that all external certified auditors find themselves? If the company representative is also a CRSP and is bound by this BCRSP Rules of Professional Conduct how do they reconcile this apparent contradiction? Are these two people (the external certified auditor and the company representative) in conflict of interest?
With particular reference to Section of the BCRSP Rules of Professional Conduct under Section 2, “Integrity” both professionals (the external certified auditor and the company representative) are to do the following:
2. c) Avoid circumstances where compromise of professional conduct or conflict of interest may arise.
How can they possibly work under this restriction in the Rule of Professional Conduct? Do you think the conflict of interest is real or is it just a “perceived” conflict of interest. What are your thoughts.
How would you reconcile this real or perceived conflict of interest? How do we explain this situation to our colleagues and the general public?
If you have any questions, please email the instructor through the Email icon of the navigation bar above. Thank you.
Submitted: 1 year ago.
Category: Business and Finance Homework
Expert:  Mr. Gregory White replied 1 year ago.

Hello, my name is Greg.

I see this might be time sensitive.

Do you still need this answered?

Customer: replied 1 year ago.
please
Expert:  Mr. Gregory White replied 1 year ago.

After going through my resources, I do not have what is necessary to complete at this time.

I am opting out and opening up to the other professionals and messaging a couple who might be able to help.

Someone should be with you shortly.

Customer: replied 1 year ago.
I need the question answered please
Customer: replied 1 year ago.
I need this question answered please
Customer: replied 1 year ago.
I need this question answered please