Each and every one of us has an obligation to timely disclose any actual, potential and/or apparent conflict of interest, to allow their appropriate management.
Handling conflict of interest properly builds trust and confidence among each of us, but also with our customers and business partners, fostering strong and positive relationships.
Conflicts of interest may arise in certain situations, it happens. The key is to address them with transparency and accountability.
What does it mean?
A conflict of interest occurs when your personal, financial, or other interests interfere or could interfere with your professional role. It means that it collides with your ability to act in the best interests of ST. The most frequent forms of conflict of interest include :
- Personal relationships - situations where personal relationships, such as family or romantic relationships, could influence business decisions.
- Financial interests - holding financial interests in competitors, suppliers, or customers that could affect business decisions.
- Outside employment - engaging in outside business activities that could conflict with your responsibilities and loyalty to ST.
How we do the right thing?
Our Do’s
- Disclose any conflict of interest (actual, potential or apparent) as soon as they arise.
- ST conducts regular training and awareness sessions to help you identify and appropriately address conflict of interest.
- Seek guidance from the Ethics, Compliance & Privacy department when in doubt about a situation or how it should be handled.
Avoiding conflict of interest
in practice
Because real life is rarely as clear-cut as theory, here are the answers to a few questions you might have.
A friend is offering me the opportunity to take on some consulting work as a second job with a new start-up that isn't a direct competitor of ST. I am considering accepting the offer without informing ST. Is it the correct course of action?
Your business loyalty must lie with the company that employs you. Engaging in outside business activities, such as consulting work, can create a situation where your loyalties may be divided.
Of course, all outside engagements don’t create a conflict of interest, but it could arise. For that reason, you must disclose any outside engagements for ST to assess before accepting the offer.
A buyer is in the process of negotiation with a third party company recognized for its expertise in the field. The buyer’s sister is a sales manager in the same company. What should the buyer do?
Even if there are no favors, this situation represents a conflict of interest and a risk for ST’s reputation. Such situations may be perceived as an unfair procurement process undermining our integrity. The buyer should report and disclose the situation to ST and recuse themselves from the discussion with this potential supplier.
It is essential to ensure that all procurement decisions are made based on merit and in the best interest of ST, free from personal bias or gain.