Case Study 2 –Conflict of Interest………………. 1 answer below »

Case Study 2 –Conflict of Interest………………. 1 answer below »

Case Study 2 –Conflict of InterestMichael is the IT manager in a government department with more than 500 staff members and six branches across Australia. His department has decided to acquire an enterprise resource planning (ERP) system. A request for proposal (RFP) for the procurement of the software has been advertised in a number of Australian newspapers. Two local companies have responded to the advertisement and have sent their offers to the department.When Michael has examined the offers, he has found that Company A’s offer is slightly better than that of Company B. To his surprise, Company B’s offer has been made by Steven, who is his best friend, and the general manager of Company B.Although the initial cost of Company B’s software appears less than that of Company A, Company B’ software may require some modifications which could eventually increase the total cost.To complicate matters, Michael has received a phone call from Steven, urging him to favour his offer as he needs this work.Discuss briefly how Michael’s friendship with Steven causes an ethical problem. Follow your brief