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APEC to adopt ethics codes for SMEs [ 2011 ]

Small and medium enterprises (SMEs) from the 21 Asia-Pacific Economic Cooperation (Apec) economies will have to adhere to soon-to-be-set-up codes of ethics for the healthcare, construction and bio-pharmaceutical industries.

SME Corp chief executive officer Datuk Hafsah Hashim, who is also SME working group co-chairman, said the codes are expected to be ready in time for the Apec leaders' summit in Honolulu, Hawaii, in November.

"The codes will also help prepare these industries for the liberalisation of their sectors," she said on the sidelines of the Apec senior ministers meeting in Montana, the US, recently.

She was referring to the recently-concluded Apec SME Ministerial Meeting, which endorsed the Kuala Lumpur Principles for Medical Device Code of Business Ethics.

 
It was described as the first ever code of ethics for the region's medical devices industry, targeted to improve the quality of healthcare, encourage innovation and promote the growth of SMEs that produce medical devices.

Hafsah said it was prepared by a group of academic, industry and government representatives in Kuala Lumpur, thus the label given to the code.

"The Malaysia Anti-Corruption Commission, which has training facilities, will be studying to see how it can be implemented," she said.

US assistant secretary of commerce for market access and compliance Michael Camunez said the KL Principles would help Apec member economies develop the codes for their respective medical devices sectors.

They would help eliminate corruption, one of the most insidious trade barriers facing SMEs in the region. This is done by providing companies with clear parameters to guide conduct, as detailed by the five basic tenets of the KL Principles.

Ultimately, both SMEs and patients benefit from better-designed and better-built medical devices.

According to the medical devices industry, the unethical behaviour substantially increases the costs of doing business through the payment of penalties.

The Apec SME Working Group agreed to develop principles for the region's construction and bio-pharmaceutical sectors.

The Apec SME Ministerial Meeting is held annually by the Apec host economy to encourage the development of SMEs and to build their capacity to engage in international trade.

Hafsah also said that SME Corp will host the Young Entrepreneurs Summit in October for young entrepreneurs, defined as those who are in the business for five years and below, or with businesses dating less than 24 months.

Meanwhile, SME Corp, which has been working with Microsoft to introduce Cloud computing software in the retail sales a year ago, plans to extend its awareness campaign to other sectors.