Trade organizations and professional societies provide conventions and guidelines that seek to regulate the working environment and enhance ethical practices. They also provide a means through which professionals in that particular industry can network and brainstorm new ideas geared at improving existing standards. Various fields of professional practice are usually accompanied with such organizations backed by the membership manpower.
The US Chamber of Commerce is an example of a business organization that brings together close to 3 million business players from small and medium scale enterprises to large corporations. As well as serving as the voice for the businesses, the chamber of commerce also doubles as a regulatory body promoting a code of conduct agreed upon by members. It provides for the code of conduct for directors. When there is a conflict of interest between the director and the organization, the code of conduct defines the steps such a director ought to take. First, the director is obligated to report such conflict of interest to the board and refrain from further influencing transactional decisions of the business. The directive cushions businesses from misguided management as well as prevent directors from making uninformed decisions at the expense of their professional growth.
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The US Chamber of Commerce levels the playing ground by discouraging directors from pursuing corporate opportunities that arise while on duty for the organization. The directors should advance the interests of the organization in favor of personal ventures. Such actions are to be discussed by the board and a determination made whether they bring competition or material detriment to the organization; if so further disciplinary action is specified against the perpetrator.
Professional bodies create a fair platform for businesses to thrive and ensure interests of the members are protected. Majority of sectors have trade societies that enhance ethical guidelines including the US Chamber of Commerce, which provide ethical guidelines for the business players.
