A common business cliché is to get employees “all singing from the same hymnal,” but for compliance officers responsible for developing the company’s code of conduct that phrase really does capture the task at hand. It can be difficult enough to keep everyone focused on the same goals and working under the same set of […]
Ethics & Culture
Posted inAnti-Bribery
Fostering a Unified, Ethical, and Global Corporate Culture
Building an ethical corporate culture can be daunting under even the best of circumstances. Add to the mix a workforce located in multiple countries, each with its own culture, language, and legal system, and the challenges are magnified. Yet, companies can’t ignore these obstacles, given the increasingly global economy. In 2011, nearly half (46 percent) […]
Posted inEthics & Culture
Codes of Conduct: Values or Principles-Based?
Compliance professionals generally agree that a code of conduct is an essential component to communicating the standards of behavior that a company expects of its employees. But how best to accomplish that goal? Well, that’s a whole other story. Companies tend to break into two camps when it comes to what should be included in […]
Posted inEthics & Culture
Effective Policy Enforcement Involves Technology
I find that ineffective and unenforced policies are rampant within organizations, and are a thorn in the side of compliance and policy managers. Mismanagement of policy has grown exponentially with the proliferation of documents, collaboration software, file shares, and Websites. Organizations end up with policies scattered on dozens of sites with no defined understanding of […]
Posted inEthics & Culture
Managing Compliance Risks in the Supply Chain
Last week, China-based electronics manufacturer Foxconn, best known as the contract manufacturer of Apple iPhones, admitted that underage “interns” as young as 14 were found working at one its factories. Incidents and allegations of sweatshop-like conditions at Foxconn have caused constant embarrassment for Apple and other electronics companies. Apple is hardly alone in having concerns […]
Posted inAnti-Bribery
Sharpening Third-Party Risk Mitigation
Never has third-party risk management been as high a priority as it is in today’s stringent anti-corruption enforcement environment. Yet, many companies still aren’t up to snuff when it comes to refining the processes used to mitigate third-party risks. They are in a “relative state of paralysis,” says Kenneth Kurtz, chief executive officer of Steele […]
Posted inAnti-Bribery
Tyco in Hot Water Once Again After FCPA Settlement
Anyone searching for some broader context to understand how Tyco International lurched into yet another bribery scandal—the third major misconduct meltdown to hit Tyco or one of its spin-off companies since 2002—would do well to ponder one of the most famous lines from The Godfather. “Just when I thought I was out,” crime boss Michael […]
Posted inEthics & Culture
The Whistleblower Retaliation Epidemic
Whistleblowers have more reasons than ever to drop a dime on shady practices in the workplace, but those who do need to worry more about the threat of retaliation. According to a recent study by the Ethics Resource Center, retaliation rates against whistleblowers are reaching epidemic proportions. A full 15 percent of whistleblowers say they […]
Posted inEthics & Culture
What the Sports World Can Teach About Compliance
Compliance officers love to clip stories from newspapers and send links to articles about compliance lapses at other companies to remind executives of the risks that lurk below the surface. There’s been no shortage of examples of compliance problems at companies large and small lately, but there’s another source of cases of compelling compliance failures that […]
Posted inEthics & Culture
IESBA Plans Guidance on Suspected Illegal Acts
An international ethics panel has proposed new requirements around how auditors and accountants should respond when they spot activity that looks potentially illegal. The International Ethics Standards Board for Accountants has published an exposure draft for public comment to better explain a professional accountant’s responsibilities when one suspects an employer or a client has committed […]