KKKF3283- ENGINEERING ETHICS AND TECHNOLOGY DEVELOPMENT Lecture Week 9 7 & 8 Nov 2016 Ir Ishak Arshad 1 Lecture Week 9 1) The duties of corporate, corporate responsibility , moral & legal obligation 2) Engineers Moral Rights, 3) Confidentiality, 4) Conflict of interest, 5) Gifts & Corruption and 6) Issues in Sustainable Development 2 (1) The duties of corporate, corporate responsibilities and moral & legal obligation Corporation: • A corporation is a company or group of people authorized to act as a single entity, (legally a person) and recognized as such in law. • Limited/Public Limited Companies/ or Organizations (1) The duties of corporate, corporate responsibilities and moral & legal obligation Corporate Responsibilities: • earning a fair return for investors and share holders • other responsibilities to employees, customers & general public: a) Moral & ethical responsibilities b) Legal responsibilities c) Social responsibilities (1) The duties of corporate, corporate responsibility and moral & legal obligation a) Moral & Ethical Responsibilities - honest, fairness, public concerned - responsible to customers on product produced/ sold (good product) or services provided - using ethical procedures in operations (1) The duties of corporate, corporate responsibility and moral & legal obligation b) Legal Responsibilities - responsibilities according to the law of the country (Employment Acts, Work Safety Act etc) Construction machinery collapses onto car in Meru.docx - responsibilities for operation & products : Operation – will not harm, give danger, or ill health to employees & public : Products or services will not harm, give danger, or ill health to cusrtomers/users (1) The duties of corporate, corporate responsibility and moral & legal obligation c) Social responsibilities - Concerned with employee relations & their welfare - Good neighbors - giving support & donation to local schools, local communities – giving charitable contribution (1) The duties of corporate, corporate responsibility and moral & legal obligation c) Social responsibilities Environment: One primary focus of corporate social responsibility is the environment. Businesses, both large and small, have a large carbon footprint. Any steps they can take to reduce those footprints are considered both good for the company and society as a whole. Philanthropy: Businesses also practice social responsibility by donating to national and local charities. Whether it involves giving money or time, businesses have a lot of resources that can benefit charities and local community programs. Ethical labor practices: By treating employees fairly and ethically, companies can also demonstrate their corporate social responsibility. This is especially true of businesses that operate in international locations with labor laws that differs. (2) Engineers Moral Rights Moral rights as an engineer (professional people): • The rights as: 1. Humans 2. employees (wage earners) 3. professional • These rights should be respected and given due recognition Engineers Moral Rights 1. The Rights as humans • the rights to live • the rights for freedom to do things that are of our interests • the rights for freedom to live eg the right to work for a living • the rights not to be unfairly discriminated in employment on the basis of gender, race, age or status Engineers Moral Rights 2. The rights as employees (for wage earners) The rights as employees - there are certain rights according to the contract of employment • The rights to receive fair salary & reneumerations eg allowances, leaves and facilities (such as medical facilities, SOCSO, EPF etc.) • The rights to engage in the non-political activities Engineer Moral Rights 3. The Rights as Professional -to exercise judgement in pursuing professional responsibilities: • • • • The rights to make independent assessments based on code of professional practice etc such as design codes, standard specifications or based on experiences - without intimidation or coercion The rights to refuse in unethical behavior or breaking the laws eg forging documents, altering test results, lying, giving or taking bribes The rights to talk to the public about his (engineers) duties and responsibilities The rights to protect the safety of clients and the public from the harm done by others 12 Engineers Moral Rights 3. The Rights as Professional ... continue • The rights to give services or contributions on certain aspects, such as solving technological problems related to comfort, health and public safety • the rights to professional recognition for the work done • The rights to involve in professional societies 13 (3) Confidentiality • The duty to keep secret any information of his employer / past employers or clients – abt the company’s business, technical processes, information on brand products (proprietary) eg patents, special formula / recipes / trade secrets etc • This information can not be disclosed - for the company to compete effectively against business rivals 14 Ethics & Confidentiality 1) An engineer shall not disclose any business information of his employer or his previous employer (Refer Code No 12 of the Codes of Ethics of the Institute of Engineers Malaysia ) 2) The obligation to the client - honest, straight forward, competent, diligent, loyal and keeping secret - Professional Ethics 15 Confidentiality Keeping Secrets • Professional-client relationships - will involve the facts and information that is obtained from the client / employer - this information should be kept confidential. • The act of concealing this information is legally protected under the common law. As an employee a Professional can not be forced to reveal all the secrets of his client to the court. 16 Confidentiality Keeping Secrets This information may be disclosed with the consent of the client OR If the client does not give consent, it can still be disclosed, if this is for the good of their clients. For example in the negotiations on behalf of a client, there may be benefits if the client informed of confidential information to other parties such as the client get the project etc. 17 CONFIDENTIALITY Keeping Secrets Disclosure of confidential information to the professional interests are allowed in two situations: a) to received the agreed service fee b) to defend himself from accusations of wrong doing by the client ( in cases where the client does not want the information to be disclosed because it would show the client illegal activities) 18 CONFIDENTIALITY Keeping Secrets Disclosure of confidential information ... Example: an engineer is accused of stealing information about the production process of the previous client. To prove the truth, he must disclose the information to show that the process used is different. 19 Whistleblowing • Whistleblowing occurs when an employee or a former employee conveys information abt misconduct or unethical acts or moral problems in an organization to outside organisation eg journalists, politicians, consumer associations, NGOs etc. There are two opinions on this issue, 1. To allow it and it is necessary - to expose unethical acts in the organization that could bring harm to community 2. Not to allow it – this attitude is unfaithful to the organizations, it could affect the organization's image 20 Whistleblowing There are five situations that allows a professional to whistleblowing: 1. If the unethical acts/harm would cause potential harm to local community 2. The harm can be proven –adequately documented. 3. If the concern has been reported to immediate superiors 4. If efforts have been made to improve the unethical acts using regular channel in the organization but not satisfactory 5. The unethical is related to the organization’s policy and the whistleblowing can prevent the harm 21 Whistleblowing In many cases a whistle-blower have suffered unhappy fates • he acts alone, unrewarded and fraught with peril (dalam keadaan bahaya) • will not get support • success (if applicable) only with retirement from the post and will not get proper compensation and sometime being blacklisted within the profession 22 Whistleblowing Procedures for whistle-blowers: 1. 2. 3. 4. 5. 6. In a normal situation, try working first through normal channels in the organizations Submit the complain or opinion to the right channel in the organization Do it carefully – be considerate of the feelings of those involved Focus on the related issues avoiding any personal criticisms Keep supervisors informed of your actions Be accurate in your observations & claims and keep formal records of the relevant evidences 23 Whistleblowing Guidance for whistle-blowers: 7. Consult trusted colleagues, avoid isolation 8. Consult with the Ethics Committee of your professional society such as from the Inst of Engineers etc, before disclosing information outside the organization 9. Consult a lawyer concerning potential legal liabilities To manage Whistles Blowing: • Sometimes it is a practical moral necessity • Sometimes it is misunderstood and may lead to many problems 24 Whistleblowing The whistleblowing can be avoided if: • organization to allow greater freedom and openness of communication within the organization • the establishment of an ombudsperson (pegawai khas) or the Ethics Review Committee in the organization to investigate complaints and make independent recommendation to top management • The Organizations to resolve any conflicts that arise without exposing it to outsiders 25 5) Gifts, bribes and kickbacks Bribe – a substantial amount of money or goods offered beyond a stated business contracts, aimed at getting something like a contract, exemption, privilege, relief etc. Refer to website – Commission of Anti Corruption Malaysia Malaysia SPRM_act 2009_BI.pdf (Offences-Sec 16 -23, Penalties – Sec 24) 26 Can gifts or souvenirs be classified as a bribe? GIFTS (souvenirs): (refer pg 32 SPRM) • one form of bribe/corruption. • giving/ accepting with the intention as a bribe is a criminal offense. • A Government officer shall not accept any gift from any party if the gift has to do with his official duties • The form, amount and value of the gift is not commensurate with the purpose of the given gifts • This offense is specified in Rule 8, Rules of the Public Officers (Conduct and Discipline) Regulations, 1993. A public officer may receive a souvenir/gift if: • gifts or souvenirs given not as a corruption. • need to report and get permission from his Head of Department (Circular No.3 1998 -Reception Gifts and Entertainment Public Officers) 27 Codes of Institute of Engineers Malaysia related to corruption Code No 13: An engineer shall not receive any remuneration in relation with his professional services to the employer other than the employer or the employer's permission. He also should not accept directly or indirectly any royalties, gift or reward of any article or process used in or for the purposes of the work he did for the employer unless or until royalties, gift or reward has been approved in writing by the employer Corruption News.docx Act 694 – Malaysian Anti- Corruption Commission Act 2009 1. 2. Definition of ‘Gratification’ (pg 12- 13) Offences and Penalties of accepting gratification Sect 16 (a)- (pg 22) SPRM_act 2009_BI.pdf 29 Corruption/Bribery 1) Penalties for offenses under the Act - Sect 16,17,20,21,22 & 23: a) imprisonment not exceeding 20 years b) fine 5 x value of the bribe or RM10,000, whichever is higher 2) other penalties a) The dismissal - can not pensions and gratuities (for government servant) b) Shame - affected family name c) Commit a sin (to God) 30 Corruption / Bribery 3) Ethics violation on Coruption a) Ethical Theory – dishonest b) Violate the Codes of Ethics Institute of Engineers Malaysia - Code13 & Code of Ethics of the Board of Engineers Malaysia. The penalty “ to be deregistered as a Professional Engineer“ c) Professional Ethics – misused the power, rank and position for personal gain d) moral ethics e) religious ethics f) ethical duty 31 Corruption Some of the causes why people is involved in Corruption: 1. Expenses that exceed income – like to borrow money & use of credit card freely 2. Pressure in life due to the debt-ridden 3. Having power or authority for certain Occupation/position 4. Influenced by colleague 5. Lack of religious knowledge 32 Corruption Symptoms of Corruption: 1. Luxury living more than income 2. Have an intimate relationship with the supplier / contractor / agent 3. Like to deal outside offices 4. Often receive a suspicious phone 5. Resigned abruptly 33 6) Isues in Sustainable Development Definition of Sustainable development: Development which minimize damage to the environment and ecosystem Issues in sustainable development The roles and measures that need to be played by engineers in implementing sustainable construction projects . 34 Sustainable Development Definition of Sustainablity (sustain + ability) = Able to be maintained at a certain rate or level (Oxford Dictionary) Sustainability could be defined as an ability or capacity of something to be maintained or to sustain itself. If an activity is said to be sustainable, it should be able to continue forever. Sustainable Development: "Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs – balancing the needs of living populations against those of living future generation. It contains within it two key concepts: • the concept of needs, in particular the essential needs of the world's poor, to which overriding priority should be given; and • the idea of limitations imposed by the state of technology and social organization on the environment's ability to meet present and future needs." A development that will minimize damage to the environment and ecosystems 35 Engineers & Sustainable Development Engineers as product inventors & directly involve in physical development: • Code of Ethics - An engineer must take all reasonable steps to avoid wastage of natural resources, environmental damage, and damage or destruction of the waste of human skills and industry • • • • Concern with environment Think green Eco-efficiency approach Work for sustainable product & processes – environmental protection • To ensure corporation obey applicable law 36 Sustainability Sustainability in design: • Use low impact material – non toxic – sustainably produced or recycled material • Design product - Energy efficiency: use manufacturing processes and produce products which require less energy eg … • Emotionally durable design: reducing consumption and waste of resources by increasing the durability of products & design • Design for reuse and recycling: "Products, processes, and systems should be designed for performance in a commercial 'afterlife‘ • Sustainable design standards and project design guides eg for civil eng project -less site clearing, minimise 37 earthwork , Sustainability Sustainability in design…continue allow water infiltration, less disturbant to environment • Service substitution: shifting the mode of consumption from personal ownership of products to provision of services which provide similar functions, e.g., from a private automobile to a carsharing service. • Renewability: materials should come from nearby (local) sustainably managed renewable sources that can be composted when their usefulness has been exhausted • Robust eco-design: robust design principles are applied to the design of a pollution sources 38 Engineers- Sustainability Sustainabilty in your production process and products: • • • • • • • Reducing material requirements (total mass consumed) Reducing energy consumption Reducing /eliminate toxic dispersion Enhancing material recyclability (reuse of materials or energy) Maximizing sustainable use of renewable resources Extending product durability Increasing service intensity (creating value added, while reducing environmental impacts) 39 Sustainable Buildings Involving Architects, engineers, and the client - from site selection, scheme formation, material selection and procurement, to project implementation - reduce the collective environmental impacts during the production of building components, during the construction process &during the lifecycle of the building (heating, electricity use, carpet cleaning etc.) - This design practice emphasizes efficiency of heating and cooling systems; alternative energy sources such as solar hot water, appropriate building siting, reused or recycled building materials; onsite power generation - solar technology, ground source heat pumps, wind power; rainwater harvesting for gardening, washing and aquifer recharge; - on-site waste management such as green roofs that filter and control stormwater runoff. This requires close cooperation of the design team, the architects, the engineers, and the client at all project stages, from site selection, scheme formation, material selection40and procurement, to project implementation. Corporations – Environmental Leadership Good business if environmentally responsible - example commitments : • Use ‘Life-cycle strategy for it product – design for environment • Develop unified standards throughout its operations • Choose suppliers with a record of environmental concern 41 References 1. 2. 3. 4. 5. Martin, M. W. and Schinzinger, R. 2005. Ethics in Engineering, 4th Ed., New York: McGraw-Hill Martin, M. W. and Schinzinger, R. 2010. Introduction to Engineering Ethics, New York: McGraw-Hill Mohd Janib Johari 2009. Etika Profesional. Penerbit UTM SPRM Website– Acts 694 – SPRM Acts 2009 Corruption/Bribes Adisa Azapagic et al. Sustainable Development in Practice – Case Studies for Engineers & Scientist. John Wiley 42