The document outlines the Institute of Management Accountant's (IMA) Code of Ethics for management accountants. It provides guidelines for ethical behavior, maintaining professional competence, ensuring confidentiality, integrity, objectivity, and resolving ethical conflicts. It states management accountants should follow all applicable laws and standards, communicate information fairly, and refuse gifts that could influence their behavior. It also provides steps for resolving unresolved ethical issues, which may include discussing with superiors, consulting an attorney, or refusing further association with an ethical conflict.

1. IMA Code of Ethics for Management
Accountants
The Institute of Management Accountant’s (IMA)
Statement of Ethical Professional Practice
consists of two parts that offer guidelines for:
 Ethical behavior.
 Resolution for an ethical conflict.
The Institute of Management Accountant’s (IMA)
Statement of Ethical Professional Practice
consists of two parts that offer guidelines for:
 Ethical behavior.
 Resolution for an ethical conflict.

2. CompetenceCompetence
IMA Code of Ethics for Management
Accountants
Follow applicable laws,
regulations and
standards.
Follow applicable laws,
regulations and
standards.
Maintain
professional
competence.
Maintain
professional
competence.
Prepare complete and clear
reports after appropriate
analysis.
Prepare complete and clear
reports after appropriate
analysis.
Accept only
assignments for which
necessary
qualifications are
possessed.
Accept only
assignments for which
necessary
qualifications are
possessed.

3. ConfidentialityConfidentiality
IMA Code of Ethics for Management
Accountants
Do not disclose confidential
information unless legally
obligated to do so.
Do not disclose confidential
information unless legally
obligated to do so.
Ensure that subordinates do
not disclose confidential
information.
Ensure that subordinates do
not disclose confidential
information.
Do not use
confidential
information for
personal
advantage.
Do not use
confidential
information for
personal
advantage.

4. IMA Code of Ethics for Management
Accountants
IntegrityIntegrity
Avoid activities that could
affect your ability to
perform duties.
Avoid activities that could
affect your ability to
perform duties.
Communicate
unfavorable as well as
favorable information.
Communicate
unfavorable as well as
favorable information.
Refrain from
activities
that could
discredit the
profession.
Refrain from
activities
that could
discredit the
profession.
Refuse gifts
or favors
that might
influence
behavior.
Refuse gifts
or favors
that might
influence
behavior.

5. IMA Code of Ethics for Management
Accountants
Communicate information fairly and
objectively.
Communicate information fairly and
objectively.
Disclose all information that
might be useful to management.
Disclose all information that
might be useful to management.
ObjectivityObjectivity

6. Resolution of Ethical
Conflict
• In evaluating compliance with
the fundamental principles, a
professional accountant may be
required to resolve a conflict in
the application of fundamental
principles.
IMA Code of Ethics for Management
Accountants

7. IMA Code of Ethics for Management
Accountants
Resolution of Ethical Conflict
• When initiating either a formal or
informal conflict professional
accountant should consider the
following either individually or
together with others, as part a the
resolution process:
- Relevant facts
- Ethical issues involved
- Fundamental principles related to
the matter in question
- Established internal procedures
and Alternative courses of action.

8. Resolution of Ethical Conflict
• For unresolved ethical conflicts:
– Discuss the conflict with immediate
superior.
– If supervisor involved, go up chain
– If immediate superior is the CEO, consider
the board of directors or the audit
committee.
– Except where legally prescribed, maintain
confidentiality.
IMA Code of Ethics for Management
Accountants

9. Resolution of Ethical
Conflict
• Clarify issues in a confidential
discussion with
an objective advisor.
• Consult an attorney as to legal
obligations.
IMA Code of Ethics for Management
Accountants

10. Resolution of Ethical Conflict
• For unresolved ethical conflicts:
• If the conflict remains
unresolved, a professional
accountant should, where
possible, refuse to remain
associated with the matter
creating the conflict.
IMA Code of Ethics for Management
Accountants

11. Some Ethical Issues
• As a consultant achieves multidimensional
growth and the firm prospers, the nature of
the problems and challenges he faces evolves.
Once the firm becomes a going concern, some
ethical challenges become the unique issues
related to its success. Situations such as
charging the highest fee possible may happen
to many consultants. A professional
accountant must always do the right thing in
ambiguous situations.