What is a Profession and professional?

Profession: A profession is a field of work that has been successfully professionalized. A

profession is a type of occupation or career that typically requires advanced education or
training in a specific field. Professions are characterized by specialized knowledge, professional
associations, service orientations, skills, and ethical standards. Examples: medicine, law,
engineering, accounting, teaching, and nursing.
Professional: A professional is an individual who is engaged in a specific profession and meets
certain criteria, including:
1. Possessing specialized knowledge, skills, and expertise in a particular field.
2. Adhering to ethical standards and codes of conduct associated with their profession.
3. Continuing education and professional development to stay current in their field.
4. Holding certifications, licenses related to their profession.
Professional Codes of Ethics
A code of ethics prescribes how professionals are to pursue their common ideal so that each
may do the best. The code is to protect each professional from certain pressures by making it
reasonable. A code is a solution to a coordination problem.
Types of Professional Ethics
1. Scientific Ethics: Scientific ethics define boundaries that dictate research. Sometimes,
scientific ethics conflict with society religious or moral views. Many organizations
require training in research ethics Typically, scientists and scientific researchers maintain
highly ethical standards.
2. Judicial Ethics: Judicial or legal ethics comprise the larger legal community's standards
that help judges and attorneys maintain fairness and independence. Professional ethics
standards is also control by a judicial commission in each district.
3. Educational Ethics: Educational ethics include believing in each student's worth and
dignity and the pursuit of teaching truth. Professional ethics provide environment in
which all students may get benefit and pursue a quality education.
4. Corporate Ethics: Corporate ethics provides a code of conduct that directly affects a
business management and operations. These guidelines shape how the company conducts
business, treats its stakeholders, and influences the actions of its staff members.
Importance of Professional Ethics
1. First, most professionals have an informational advantage than those they serve. Professional
ethics provides the useful function of identifying the moral hazards and providing the
appropriate avoidance or work-around strategies.
2. Second, most professions are young and inexperienced professionals. Thus, professional
ethics represents a collective, time-tested wisdom that is passed on to new professionals.
Professional standards will keep the profession up-to-date of new ethical responsibilities.
3. Third, professional ethics act as an effective countervailing power to organizational influence
of authority. Thus, accountants have standard for reporting earrings and should not be
influenced by a boss.
4. Fourth, as professional ethics often get circulated by professional organizations, they may
play a role in enforcement and disciplinary action with respect to those who violate such
standards.
Codes of Professional Ethics
Information Systems Audit and Control Association (ISACA) sets this Code of Professional
Ethics to guide the professional
1. Supporting Appropriate Standards: Members should support the implementation and
encourage appropriate standards and procedures for the effective governance and
management practice. Such as audit, control, security and risk management.
2. Following Professional Standards: Members should perform their duties with
objectivity, due diligence and professional care in accordance with professional
standards.
3. Maintaining Stakeholders' Interest: They should serve in the interest of stakeholders in
a lawful manner, while maintaining high standards of conduct and not discrediting their
profession.
4. Maintaining Privacy and Confidentiality: All should maintain the privacy and
confidentiality of information obtained in the course of their activities unless disclosure is
required by legal authority. Such information shall not be used for personal benefit.
5. Acquiring Competency: Members should maintain competency in their respective fields
and agree to undertake only those activities in which they are expect and skilled.
6. Disclosing Material Facts: All should disclosure of all significant facts known to them
7. Providing professional education: Members should support the professional education
of the stakeholders to enhance their understanding of the governance.
8. Taking Disciplinary Actions: Failing to follow this Code of Professional Ethics can lead
to an investigation into a member's behavior.
Professional Standards: There are five standards
All members must prove that they:
1. Act with integrity (trustworthiness)
2. Always provide a high standard of service
3. Act in a way that promotes trust in the profession
4. Treat others with respect
 5. Take responsibility

Differences between Personal and Professional Ethics

Personal Ethics Professional Ethics
Includes your personal values and Rules imposed on an employee in a
moral qualities company, or as member of a profession
eg. doctor or lawyer
Incorporated by family, friends and Learnt when you are a part of a
surroundings since your childhood professional setting or when you are
being trained or educated for working
there
Examples honesty, care, and sincerity Examples: no gossiping, time
management, punctuality,
confidentiality. transparency
Not conforming to these may harm Not adhering to these may harm your
your professional reputation.

Top 10 Ethical Inquires

According to the AICPA's Ethics Hotline, the following topics are most often asked about
1. What information do I have to give to my client?
2. Do I have a conflict of interest?
3. I've come across a situation that I think might impair my independence but I can't find
anything on point in the code. What do I do?
4. My client would like me to provide services in addition to the attest services I already
provide. Will this present an independence problem?
5. What are the independence issues if I provide bookkeeping, payroll or disbursement
services to an attest client?
6. Do I need to be independent of any entities that have relationships with my attest client?
7. My family member has a relationship with an attest client, is my independence reduced?
8. Can I use an employee from my attest client to help prepare tax returns during the tax
season?
9. How do I file a complaint?
10.I'm taking the ethics exam and have a question, can I ask you?
Fundamental Principles of a Professional Accountant
International Federation of Accountants (IFAC) suggested that a professional accountant is
required to comply with the following fundamental principles:
 1. Integrity: A professional accountant should be straightforward and honest in all
professional and business relationships.
2. Objectivity: A professional accountant should not allow bias, conflict of interest or undue
influence of others to override professional or business judgments.
3. Professional Competence and Due Care: A professional accountant has a duty to
maintain professional knowledge and skill at the sufficient level in order to ensure that a
client receives competent professional service. A professional accountant should act in
accordance with professional standards when providing professional services.
4. Confidentiality: A professional accountant should respect the confidentiality of
information. All should maintain the privacy and confidentiality of information obtained
in the course of their activities unless disclosure is required by legal authority. Such
information shall not be used for personal benefit.
5. Professional Behavior: A professional accountant should comply with relevant laws and
regulations and should avoid any action that discredits the profession.
Principles of professional conduct
Principles of the Code of Professional Conduct of the American Institute of Certified Public
Accountants (AICPA) guide the members to performance their professional responsibilities.
1. Principle I-Responsibilities: In carrying out their responsibilities as professionals,
members should exercise sensitive professional and moral judgments in all their
activities.
2. Principle II-The Public Interest: Members should accept the obligation in a way that
they will serve the public interest and demonstrate commitment to professionalism.
3. Principle III-Integrity: In order to maintain and broaden public confidence, members
should perform all professional responsibilities with the highest sense of integrity.
4. Principle IV-Objectivity and Independence: A member should maintain objectivity and
be free of conflicts of interest in discharging professional responsibilities. A member
should be independent when providing auditing and other assurance services.
5. Principle V-Due Care: A member should observe the profession's technical and ethical
standards to continuously improve competence and the quality of services and discharge
professional responsibility to the best ability.
6. Principle VI-Scope and Nature of Services: A member in public practice should observe
the Principles of the Code of Professional Conduct in determining the scope and nature of
services.
An Islamic Approach to Business Ethics
Moral principles and codes of ethics are repeatedly stressed throughout the Holy Qur'an. The
Holy Qur'an: "You are the best nation that has been raised up for mankind; You enjoin right
conduct, forbid evil and believe in Allah". (3:110) The Prophet ‫ ﷺ‬also says: "I have been
sent for the purpose of perfecting good morals. Principles of business ethics in Islam are as
follows:
 1. Freedom of Enterprise: Individual in an Islamic society enjoys complete freedom in the
earning of his livelihood. He can start, manage and organize any kind of business
enterprise within the limits set by the Islamic Shari'ah. However, freedom does not and
must not operate without a sense of responsibility. An Islamic market take care of the
interests of both the buyer and the seller. There are a number of rules of ethical discipline
in Islamic commercial transactions without which business would not be regarded as
ethical. Some of these canons are as follows:
2. Keenness to Earn Legitimate (Halal) Earnings: Islam places great emphasis on the code
of lawful and unlawful in business transactions. Many Qur'anic verses disapprove the
wrongful taking of the property. Says the Holy Qur'an: "Do not devour another's property
wrongfully unless it be by trade based on mutual consent". (4:29)
3. Trade through Mutual Consent: Mutual consent between the parties is a necessary
condition for the validity of a business transaction. It, therefore, follows that a sale under
pressure is not acceptable in Islam. A sale transaction is to be regarded as legal only if it
is made through the mutual consent of the parties concerned.
4. Truthfulness in Business Transactions: Islam encourages truthfulness in business
transactions and raises the status of a truthful merchant so much so that he will be at par
with the holy warriors and martyrs. The Prophet ‫ ﷺ‬is reported to have said: " On the
Day of Resurrection the truthful merchant is rewarded by being ranked with prophets,
martyrs and pious people". (Tirmidhi, No: 1130)
5. Trustworthiness in Business Transactions: Trustworthiness is one of the most important
principles of ethical discipline in commercial transactions. Says the Holy Qur'an: "O you
believers! Do not betray Allah and the Messenger, nor knowingly, betray your trusts".
6. Kindness and Tolerance in Business Transactions: One should be generous in
bargaining. Demanding debt back from the debtor should be in a decent manner. The
Prophet ‫ ﷺ‬said: "May Allah's mercy be on him who is compassionate in his buying,
selling, and in demanding back his money". (Bukhari, No: 1934)
7. Honoring and fulfilling Business Obligations: Islamic teachings require a Muslim
trader to keep up his trusts, promises and contracts. The basic principles of truth, honesty,
integrity and trust are involved in all business dealings. The Holy Qur'an emphasizes that
"O you who believe! Fulfil [your] obligations". (5:1) A tradition of the Prophet ‫ﷺ‬
states thus: "The Muslims are bound by their stipulations". (Abu Da'ud, No: 3120)
8. Fair Treatment of Workers: Islam encourages and promotes the spirit of love and
brotherhood between employer and employees. It is the religious and moral responsibility
of the employer to take care of the overall welfare and betterment of his employees. Fair
wages, good working conditions, suitable work and excellent brotherly treatment should
be provided to the workers. The Prophet ‫ ﷺ‬is reported to have said: "The wages of
the laborers must be paid to him before the sweat dries upon his body". (ibn Majah, No:
2434)
Prohibited Matters in Business Transactions
Some of these prohibited and Undesirable business practices are as follows:
1. Dealing in Prohibited (Haram) Items: Dealing in unlawful items such as dead meat, pigs
and idols is strongly prohibited in Islam. A verse of the Holy Qur'an says: "Forbidden to
you [for food] are: dead meat, the blood, the flesh of swine and that on which name of
other than Allah has been mentioned". The Prophet ‫ ﷺ‬is also reported to have said;
"Allah and His Messenger made illegal the trade of alcoholic liquors, dead animals, pigs
and idols".
2. Sale of Al-Gharar (Uncertainty, Risks, Speculation): This term Al-Gharar denotes the
sale of goods or commodities that are uncertain, not present at the time of the transaction,
or quality is unknown. Transactions involving Gharar (excessive uncertainty) are
considered prohibited in Islam due to the potential disagreements between parties, as well
as the lack of clarity and fairness. The underlying principle is to ensure transparency and
fairness in transactions while minimizing risks and uncertainties.
3. Arbitrarily Fixing the Prices: Islam does not encourage the practice of price-fixing to
earn the profits. As a matter of principle public authorities are not allowed to fix the
prices of commodities by force.
4. Hoarding of Foodstuff: It means storing foodstuffs or withholding them in expectation
of rise in their prices. Sometimes, a handful of traders buy the entire quantity of an item
and store it up with the object of selling it later at the time of scarcity to draw maximum
profit.
5. Exploitation of one's Ignorance of Market Conditions: One of the most common
unethical practices in modern business is taking advantage of someone's lack of
knowledge about market conditions. For instance, imagine a scenario where a newcomer
arrives in town with essential goods to sell. A local trader persuades the newcomer to
hand over all their goods to be sold. The local trader then buys these goods at a low price,
knowing the market value is higher, and later sells them at a much higher price. There's a
tradition recorded in Bukhari which states: "A town dweller should not sell the goods of a
desert dweller" (Bukhari, No: 2006).
6. Al-Najsh (Trickery): The term Al-Najsh means an action in which a person offers a high
price for something, without intending to buy it, but just to cheat or defraud another
person who really means to buy it. The person practicing it may collaborate with the
seller to offer high prices in front of the buyers as a means to cheat them.
7. Cheating and Fraud in Business Transactions: The traders and businessmen generally
have a tendency to motivate the customers by adopting fraudulent business practices.
Islam strongly condemns all such practices in business transactions (Al- Ghashsh). The
Prophet ‫ ﷺ‬is reported to have said: " if both the parties have spoken the truth and
described the defects as well as the merits of the goods, they would be blessed in their
deal. If they have told lies or concealed something, then blessings of their transaction
would be lost".
8. Swearing (oath): The traders often take swear to emphasize that their items are of good
quality. They try to persuade the buyers to purchase their commodity by invoking Allah's
names. False swearing is an act of sin punishable by hellfire.
9. Giving Short Measures: Another form of dishonesty is to manipulate weights and
measures. It refers to the act of taking full measures from others and giving them short
measures in your turn.
10.Dealing in Stolen Goods: It is not permissible for a Muslim to knowingly purchase or
sell stolen items. The stolen items are neither to be bought nor sold by those who know
the reality. The Prophet ‫ ﷺ‬made the person knowingly buying a stolen commodity a
partner to the crime.