Conflict of interest(illustrator – Jakub Regulski)
Conflict of interest in a company refers actually to any situation in which its employees or organs acting on behalf of the company make business decisions based solely on their own direct, or indirect personal, or financial interest. It most often occurs when one party satisfies its needs at the expense of the other. In economics, it is defined as the intermingling of private and business interests. This can include owning a financial stake in another company, using insider information for personal gain, or using company resources for personal gain.
Read also >> Jakub Regulski explains the behind the scenes of creating this website
Conflict of interest in a company is a serious problem that can lead to serious financial losses and eventually to legal problems and even bankruptcy. An example of a blatant conflict of interest in an enterprise is the existence of unreasonable and incomprehensible criteria for the qualification of suppliers that favor a particular enterprise or a particular bid. Another example of a blatant conflict of interest is when employees make purchasing decisions in companies with whose bodies they have direct family or business ties without disclosing this fact beforehand. In this way, they violate the principle of impartiality, and their actions can have negative consequences for the company.
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