I personally think this is “ok” in the moral and ethical sense, but be aware that a lot of faculty, who should know better, are really afraid of ChatGPT, don’t know its capabilities, and imagine that it is somehow spitting out Pulitzer Prize worthy tomes with the simplest of prompts and therefor using it is always dishonest and immoral.
I’m an enthusiastic user of ChatGPT for all kinds of things, like generating outlines, cleaning up email communications, getting cocktail recipes and travel itineraries, and getting a decent workout routine. If your friend spends time refining their prompts, using ChatGPT to clean up and edit, and then personalizing the ChatGPt output, this can be quite effective.
I’m seriously bothered, however, by the fact that the faculty members told your friend to do this. At this stage, a faculty member can write a much better letter about an undergrad than that undergrad can write about themselves. This is terribly irresponsible of them.