Vienna (Austria) – 22 June 2023 – Having effective anti-corruption, ethics and compliance programmes is a crucial measure in ensuring a company’s performance and reputation. Yet defining and developing these strategies can prove challenging for many organizations. In this next instalment of the Global Webinar Series on Business Integrity, co-organized by the United Nations Office on Drugs and Crime (UNODC) and UN Global Compact (UNGC), we discussed how companies can start acting and minimizing issues after identifying their corruption-related risks. The series serves as a platform to facilitate peer-to-peer learning, share valuable lessons, and contribute to a comprehensive global conversation on business integrity. The series aims to make good practices, current challenges, and effective approaches easily accessible, promoting structured and inclusive discussions.
This third session – ‘Deep Dive Webinar: Mitigating Corruption Risks to your Business’– featured live translation to French, Portuguese and Spanish, bringing together private sector representatives from across the world. The first and second sessions focused on the importance of leadership commitment in developing effective anti-corruption ethics and compliance programmes and conducting corruption risk assessments. The third session, meanwhile, was specifically designed for private sector representatives to take practical steps in addressing and minimizing corruption risks after identifying them. The objective of this session was to equip stakeholders with the necessary skills to develop cost-effective strategies for mitigating the risks identified through a corruption risk assessment. The aim was to empower attendees to act, by ultimately implementing measures that will effectively minimize integrity-related issues within their companies.
The online webinar, which was facilitated by Sebastián Pérez Mora from the United Nations Office on Drugs and Crime, presented real-life examples of successful compliance programmes. Participants had the opportunity to hear from experts and business practitioners on how companies can develop anti-corruption, ethics and compliance programmes that are effective, efficient and sustainable – and why this is important.
UNGC’s Coordinator of Anti-Corruption Programmes on Collective Action, Fabián Espejo, highlighted the importance of developing effective, efficient and sustainable compliance mechanisms. Speaking on this, he highlighted the need for “consistency with all applicable laws, adaption to specific requirements, participation of stakeholders, accessibility, readability, (and) promoting a trust-based internal culture, (with) applicability, continuity and efficiency.”
Private sector experts from Colombia, Italy and Mexico shared their practical experiences, together with strategies from their work in dealing with business integrity in companies. Loreto Ramos, Head of Ethics, Risk and Compliance at Novartis Mexico talked about the company’s experience of policies and procedures in the area of business integrity. Ms. Ramos highlighted that it is crucial to establish a culture of integrity within the company, but that this requires implementing a comprehensive compliance programme that ensures employees grasp the daily risks they face and familiarize themselves with compliance policies. “Instead of relying solely on policy-focused training, we have found that customized workshops analyzing field-specific risks and their mitigation are more effective,” she noted. “By conducting these activities, we can demonstrate to our collaborators the potential risks and deviations associated with non-compliance. This enables them to appreciate the significance of adhering to contractual obligations and mitigating risks effectively.”
While extractive industries can drive economic growth and reduce poverty, they also present major global challenges, including corruption and the climate crisis. To counter these, sustainable and inclusive solutions must be found. Luz Maria Zea, Compliance Officer at Frontera Energy from Colombia explained some ways to prioritize and rank corruption risks after a risk assessment, as well as the next steps the company should take. “To effectively address the concerns of communities and stakeholders in business, our policies should be clear, practical, engaging, up-to-date, and accessible to all. They might be illustrated with infographics and ‘Dos’ and ‘Don’ts’”, stressed Ms. Zea.
By prioritizing business integrity, ethics, and compliance, a company demonstrates its commitment to ethical conduct, transparency, and accountability. This, in turn, can enhance its reputation among stakeholders, including customers, investors, employees, and the wider public.
Arturo de Simone, Director of Legal and Compliance at Nardò Technical Center – Porsche Engineering company in Italy, spoke to this and provided information about the designing of the company's compliance management system, explaining how this comprises a collection of policies and directives, accompanied by training materials on various topics. One such example is the company’s anti-corruption policy, which includes practical tools that can be utilized in day-to-day operations. The compliance process begins with a risk assessment, which involves multiple meetings with management to draft a comprehensive understanding of the business and its intricacies. Essentially, the compliance risk assessment is aimed at providing a clear overview of the current situation and identifying potential risks that may arise in order to implement proper measures to mitigate these. In this regard, he noted, it is important to periodically review and update the corruption risk assessment to ensure that it accurately reflects the challenges company’s face.
The session concluded with the understanding that a key good practice is the development of an action plan based on the risk assessment, including timelines, roles and responsibilities, and measurable targets that allow for periodic follow-up. The most urgent risks should be addressed first. Policies and procedures should also include clear sanctions for violations and wrongdoing. Finally, by implementing robust anti-corruption measures, a company can minimize the risk of engaging in corrupt practices, which can have severe legal, financial, and reputational consequences. Indeed, having effective anti-corruption, ethics, and compliance programmes is seen as a proactive and necessary step to safeguard a company's performance and maintain its positive reputation in the marketplace. These programmes help establish a culture of ethics and integrity within the organization, guiding employees to make ethical decisions and conduct business in a responsible manner. Compliance programmes also ensure that the company adheres to relevant laws, regulations, and industry standards.
For more information, consult the Business Hub on the UNODC Business Integrity Portal.