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Hot potato: this month's dilemma.

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Vincent
PositionINFORM - Food industry - Brief article

THE DILEMMA In the food factory where I work as finance business partner, a new production manager has arrived. Less is being spent on quality control now--and a batch of biscuits has just failed selective testing. There are no health risks as such, but control is no longer of the quality that we claim publicly. He insists that we should go to market as it's only a "minor" defect.

CIMA'S RESPONSE This is an issue of integrity (handbook section 110). Does distribution undermine any commitments to quality--by being materially false or misleading, or by omitting or obscuring information? Consider the consequences--both financial and reputational--and whether there are any regulatory breaches. Also consider whether...

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