Conflicts of interest can be defined as situations in which a divergence between personal and professional interests might be perceived, such that an individual's professional actions might be viewed to be influenced by considerations of personal gain. Conflicts of interest can erode SCIENTIFIC OBJECTIVITY.
In the modern research institution, it is impossible to avoid conflicts of interest. The goal of policies in this regard are not, therefore, to eliminate all conflicts but rather to manage them. The key to the conflict of interest process is communication and disclosure.
At most institutions, all faculty are required to submit to their Chair/Director, Dean or Dean Equivalent, and finally to the Provost an annual disclosure and certification of compliance with the policies regarding Conflicts of Interest and any state ethics laws. In addition, as circumstances may arise during the year, ad hoc disclosures may be necessary. It is often difficult to identify a potential conflict of interest. One way to sensitize yourself to possible issues is to review the policies in their entirety.
Conflicts of commitment, on the other hand, are situations in which the individual's time and energy are unreasonably diverted away from his or her primary professional allegiance, i.e., away from institutional responsibilities. Conflicts of commitment are managed in part through limits on the amount of time that a faculty member may consult. Consulting and outside activities can create real benefits for the faculty member and for the institutions involved; they can also create conflicts of commitment, and can precipitate conflicts of interest.
You can analyze hypothetical circumstances in which potential conflicts may present themselves. The scenario linked here was developed by the National Academy of Sciences for this purpose.
In addition to institutional requirements, federal sponsors - the National Science Foundation (NSF) and the National Institutes of Health (NIH) - have their own requirements for PI disclosures whenever a proposal is submitted to either agency. Special attention is focused on conflicts of interest in biomedical research, particularly in the relationships between faculty and pharmaceutical companies in the conduct of clinical trials.
Any issues related to conflict of interest should be discussed with your Chair/Director and Dean/Dean Equivalent. The offices of the Vice-Provost for Research, Sponsored Projects Office and Post Award Office are also available to provide advice.