ETHICS AND THE SACQSP’S

CODE OF CONDUCT
August 2022

Prof Hoffie Cruywagen

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Ethics

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Ethics

• Much have been said about ethical behaviour in

construction industry – most not very complimentary
• Transparency International (2005): “The construction
industry is the most fraudulent industry world-wide”
• Unethical behaviour occur in all aspects of industry and
among all stakeholders
• Situation exacerbated because of current economic
climate
• South Africa experiencing economic downward spiral
resulting in fierce competition (all stakeholders)

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Ethics
Definition of ethics:

“Values are the standards of

conduct for assessing
whether a decision/action is
good, right and fair. Ethics is
thinking about and living
according to those
Standards”

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Ethics: introduction
• Ethics and especially professional ethics are important for
any construction enterprise (Enshassi and Al-Sweity,
2013).

• Project managers have the daily responsibility of

adjudicating fairness and the significance of every demand
made on the project; and ethics is the foundation on which
such decisions are based (Strydom et al. 2015).

• Miller (2011) stated that “ethical behaviour in the

construction industry is a subject rarely discussed openly,
probably because for most people in the construction
industry, it’s the epitome of throwing stones in a glass
house”.

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Ethics: introduction
• There are increasing concerns within and outside the
construction industry that corruption and other unethical
behaviours are endemic in the construction industry
(Enshassi and Al-Sweity, 2013).
• Construction professionals are sometimes involved in
unethical practices for various reasons. This could be
because of factors, such as, inadequate legislative
enforcement, ferocious competition, economic recessions,
not enough ethical education from tertiary institutions,
cultural changes and the increasing complexity of
construction work.

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Ethics: introduction

• Ethical behaviour will influence whether the enterprise has

a good public image; and this affects the ability to attract
excellent employees (Scalza, 2008).
• Poon (2004) stated that sound ethical behaviour can
increase both the level of client’s trust and the financial
returns for an enterprise.
• Enshassi and Al-Sweity (2013) further stated that ethical
behaviour increases personal security and enriches
success in the long term for an enterprise.

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Ethics: general
• Coetsee (2002) stated that previous studies showed that
values and work ethics are influenced as early as one’s
childhood experiences. In homes where the parents
expected their children to do chores in and around the
house, the child expressed a higher level of work ethics.

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A Model of ethics behaviour
in the workplace

A model of ethical behaviour in the workplace (Kreitner and Kinicki, 2001;

Coetsee, 2002)
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Being Ethical Means

• Living values seriously

• Choosing and living core values that guide right, good and fair
human conduct
• Choosing right over wrong
• Respecting other’s moral/legal rights
• Discharging our own moral/legal obligations
• Choosing good over bad consequences
• Promoting good consequences
• Avoiding and minimizing bad consequences
• Choosing fair over unfair

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Being ethical means…

• Impartially considering and balancing all affected parties’

interest
• Cultivating good character
• Sometimes making difficult choices
• Thinking hard (reason) to get to the correct ethical answers
• That our choices affect the important interests (wellbeing,
welfare) of people (our own and others)

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Is it ethical?

Ethics Quick Test:

• Is it legal?
• What does our code of Ethics say?
• How would it look in tomorrow’s newspaper?
• How does it make me feel?
• Can I tell my family in clear conscience?
• Does it comply with the Golden Rule?

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Golden Rule

• Treat others as you would like them to treat you

• Hurt not others with that which pains yourself
• No man is a true believer unless he desires for his brother
that which he desires for himself

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Ethics and Governance
• The end goal is an ethical organisation
• To be a trusted organisation with a good reputation and
ethical culture
• Responsible business conduct
• Good corporate citizens

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 Being ethical or unethical in the Workplace
& environment

Workplace ethics are the set of values, moral principles and

standards that need to be followed by both employers and
employees in the workplace. It is a set of rules and regulations
that need to be followed by all staff:
RIGHT WRONG
• Obey company rules Lies
• Communicate effectively Taking credit for other’s work
• Develop professional relationships Verbal harassment/abuse
• Take responsibility Violence
• Be accountable Non-office related work
• Upholds trust Sexual harassment
• Respect colleagues Corrupt practices

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Ethics among built environment
professionals

• Problem facing Councils: when there are lapses in ethical

behaviour, it can influence credibility of profession negatively
• Is it possible for a professional body to apply ethical quality
control by self-regulation?
• Duty of professional bodies to hold members accountable for
unethical behaviour

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Ethics among built environment
professionals: code of conduct

The need for codes of professional conduct.

• It provides a link between the code and the organization’s
purpose, e.g. a regulatory mechanism to guide registered
persons in their professional conduct
• The code has 3 functions: 1) provide credibility to an
organization, 2) afford values to an organization, 3) to
preserve the standards at a set level
• Shows the public that the organization is a professional
and dignified body

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Ethics among built environment professionals

SACQSP and other codes of conduct

The code of conduct compiled by SACQSP in terms
of the Act (clause 27) and has been revised over time.
Headings:
• Objects
• Definitions
• Jurisdiction and application
• Establishment of a QS practice and carrying on of
business
• Principles governing the code of conduct
• Disciplinary procedures
• Repeal of previous rules

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Code of professional conduct (Clause 27 of Act)

1. Objects:
• Ensure that registered persons and QS practices uphold and
promote the dignity, standing and reputation of the QS profession
by maintaining high standards of professionalism, honesty and
integrity
• Set minimum guidelines for registered persons and QS practices
on what constitute improper conduct and professional
competence
• Set minimum guidelines for the assessment and continued
recognition of voluntary associations contemplated by section 25
of the Act
Clause 25: “Recognition of voluntary associations”

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Code of professional conduct

2. Definitions
• Improper conduct/professional incompetence: means any
conduct which falls short of the standard expected of a registered
person or QS practice in terms of the Act, this code and the rules
• Multidisciplinary profession/practice: means a practice consisting
of individuals drawn from a range of professions and who are in
good standing with their professional bodies, including members
of closely allied professions as defined herein
• Principal officer/s: means registered sole practitioner/s, member/s
of, partner/s, shareholder/s and/or other juristic person/s having
control of the QS practice

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Code of professional conduct

Quantity surveying practice: means the business of a registered

PrQS conducted within the QS profession either as a sole
proprietorship, partnership, trust, company, close corporation or any
other juristic person or the QS division of a multidisciplinary
professional practice, and which shall be controlled by registered
PrQS in terms of number, shareholding and / voting power. Where
the word “practice” is used on its own in it shall bear the same
meaning

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Code of professional conduct

3. Jurisdiction and application

This code:
• Applies and is binding to all registered persons and QS practices
• Shall be used as a source of reference in the assessment and
recognition of voluntary associations in terms of section 25 of the
Act
In the case of conflict between:
• The Act and this code, the Act shall apply
• This code and the case of conduct and/or rules of a voluntary
association, this code shall apply

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Code of professional conduct

4. Establishing of a QS practice and carrying on of business (Act??)

• Establish practice – obtain written approval of council. Inform within
30 days; all details (address, names of partners, etc.)
• Changes (style, address), 30 days
• Council may elect not to recognize person/body of persons for
registering unless:
- demonstrate competence
- passed additional examinations (e.g. PSMs)
- issued with certificate in terms section 19 (2) of Act (Registration)
- Agreement/reciprocity (e.g. RICS)

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Code of professional conduct

• Use of impersonal names (approval )

• Notify – subject to any disqualification (19.3: improper conduct,
conviction, etc.)
• Permission to relationship with unregistered QS; not granted if:
- disqualified from registration
- not registered in other category
• QS practice controlled by by PrQS: number, shareholding,
directorship, voting power
• Multidisciplinary practice: controlled by PrQS
• QS department of multidisciplinary practice: supervised by PrQS

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Code of professional conduct

• QS practice to be under continuous, direct & personal

supervision of PrQS. Permission may be granted for intermittent
supervision (1 day/week)
• Time may be granted for replacement PrQS; employment of staff
for office establishment
• Council may order deregistration breaching Act
• Letterheads to display names (principals, partners, directors, etc.)
• QS practice must provide clients with information re juristic nature
• QS practice must ensure all QS work undertaken under control of
PrQS (full disclosure to client of supervision provided)

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Code of professional conduct

5. Principles governing the code of conduct

General
• PrQS & practices subject to disciplinary supervision of Council
• Act, code & rules set out minimum standards of professional
conduct. Failure to comply shall be taken into account in
examining conduct/competence
• Code forms basis of disciplinary proceedings (Act: cl. 30)
• If QS practice acts in breach (Act, code), committed by PrQS or
person acting on behalf of PrQS – Council proceed against the
principal officers of practice
• PrQS carrying out work are expected:
- discharge duties with care, skill, competency and diligence & in
compliance with laws, rules & regulations that applies to profession
and act with fidelity, honesty, integrity and not in any act of
dishonesty, corruption or bribery

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Code of professional conduct

- Respect interest of the public ; honour standing of the profession

- not to receive gratuity, commission or other financial benefit arising
from work in respect of which they are employed (unless authorized
by employer or client

Registered QS and QS practices

• In carrying out work, PrQS is expected to:
- ensure work approved by them has been reviewed & inspected for
correctness
- not practice outside categories registered in (Act cl. 18)
- cooperate with any investigation; maintain records after completion
of FA
- respect intellectual property rights of others

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Code of professional conduct

- Provide work of quality, scope and level commensurate with

standards and practices of profession, and must avoid any
conflicts of interest
- Ensure work carried out by employee acting under PrQS, such
person shall ensure person is competent to perform tasks
- Disclose to employers or clients:
- interest which they may have in company, firm,
organization related to work they have been employed
- particulars of royalty or benefit of such work
- status of prof indemnity insurance
- Obtain client’s written authorisation before proceeding with work
- Comply with stipulations of the contract for particular work;
maintain fairness, transparency, independence, impartiality

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Code of professional conduct

- Not rely on critical information supplied by client without

confirmation for reliable sources
- Accept responsibility for work done under their supervision
(candidate QS); where work is done in partnership / joint venture/
collaboration with other PrQS; accept joint responsibility
- Regularly engage in CPD activities
- Provide opportuinties, advancement of candidate QS under
supervision
- Adhere to principle of sound corporate governance and “zero
tolerance” for fraud, corruption
- Respect interest and professional reputation of other PrQS/practice
- Not undertake work for which they do not have education, training
and experience; shall not misrepresent their qualifications or
experience

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Code of professional conduct

- To notify the Council immediately:

- if they become medically unfit to remain a PrQS
- physically unable to carry out their duties, or have been
declared mentally ill, or declared insolvent
- if another person provides a client / employer with a
misleading opinion about work
- any other information which comes to their knowledge

Candidate quantity surveyors

- In addition to the above, candidate QSs:
- shall not practice for their own account
- shall not practice in partnership, as a director of company,
member of CC, shareholder, director of QS practice,
perform QS work without Council approval

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Code of professional conduct

- shall not perform any qs work other than under

supervision of a PrQS, except where Council may approve

Disciplinary procedures.
Disciplinary procedures set out in the Act:
- Sections 28 to 33

Repeal of previous rules:

- Repeal previous CoC (4 February 1983; March 2013?)

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Ethics among built environment professionals

• When comparing the code of conduct of the SA Council

with that of other councils (ECSA, SACAP), there is not
much difference
• Peculiarity of code is the discussion of establishment of a
practice – no mention of practice in Act
• Other documents that also can be looked at is that of the
RICS. Number of SA quantity surveyors are members of
RICS and must therefore also adhere to their code

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Ethics among built environment
professionals
Difference between codes of profess. conduct vs, profess. ethics:
• Terms often used interchangeably, but there is a difference
• Professional conduct: regulates the conduct and actions of
registered persons and members of associations
• Ethical conduct: addresses the decision-making behind the
actions. The process of ethical decision-making is not included
in the codes of conduct
• Professional bodies’ COC are mandated by their Acts.
• SACQSP objects “ensure that registered persons and qs
practices uphold and promote the dignity, standing and
reputation of the QS profession by maintaining high standards
of professionalism, honesty and integrity; set minimum
guidelines of what constitutes improper conduct”

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Ethics among built environment
professionals
Difference between a code of conduct and a code of ethics
Code of conduct Code of ethics
Provide guidance on acceptable and Set aspirational standards that all are expected
unacceptable conduct and practices to live up to
Guidelines for rules of behavior Values and principles for a basis of behavior

Reactive – ensure compliance with prescribed Proactive – provide values-based reasons for
standards of conduct good behavior
Prevents unethical behavior. Provides Promotes ethical behavior. Setting ethical
behavioral guidelines standards that contribute to ethical cultural
formation

For compliance purposes, code is owned by a Symbolically owned by all registered persons
specific function in organization
Formally signed by registered person when Signed voluntarily / symbolically be as many
registering registered persons as possible
Has punitive powers, may be tabled at Should never have a punitive intent
disciplinary hearings

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Conflict of interest

What is conflict of interest?

• A conflict of interest occurs when a person’s or entity’s
vested interest raise a question of whether their actions,
judgement and/or their decision-making can be unbiased
• In a business a conflict of interest arises when a person
chooses personal gain over duties to their employer, or to
an organization to which they are a stakeholder, or exploits
their position for personal gain in some way
• Conflict of interest often have legal ramifications

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Conflict of interest

The RICS describes the following duties of members towards

conflict of interest:
• Conflict of interest: a member must not advise/represent a
client where doing so would involve a conflict of interest or
a risk towards it
• Confidential information: members must maintain
confidentiality of confidential information unless disclosure
is required by law
• Firm system and controls: every firm must have an
effective system and controls in place to make sure its
members are able to manage compliance towards COI

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Ethics among built environment
professionals: summary

RICS indicates 5 standards that individuals must adhere to:

• Act with integrity. (honest, trustworthy, not taking
advantage of clients, respect confidential information,
report conflict of interest)
• Always provide a high standard of service. (ensure client
receive best advice, be clear about the service your client
wants, be transparent about fees, do more than what you
actually can)
• Act in a way that promotes trust in the profession.
(Promote what you and the profession stands for, being a
professional is more than just how you behave at work,
understand how your actions may effect others, do what
you say you will)

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Ethics among built environment
professionals: summary

• Treat others with respect: (always be courteous, polite and

considerate, never discriminate, treat every person as an
individual)
• Take responsibility. (being accountable for your actions,
act with skill, care and diligence, if something is not right,
question it)

Remember: if you do something wrong for a

long period of time, it always becomes the norm

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 Thank you

hoffie.cruywagen@up.ac.za

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