Anti Bribery and corruption solution
The consequences of incidents connected to bribery and corruption can be tremendous. The effect it can have on an organization’s reputation is often underestimated. Laws and regulations like the United States Foreign Corrupt Practices Act (FCPA) and the United Kingdom Bribery Act (UKBA) prohibit and criminalize bribery and corruption and expect you to take certain measures to prevent it. Non-compliance can result in serious penalties for both the organization and its executives, as well as a loss of, or damage to, its shareholder value and reputation.
An organization is expected to take proportionate measures to prevent bribery and corruption. Taking these measures by implementing an ABC compliance program will not only provide a corporate defense in legal proceedings, it is a positive sign to all stakeholders and will make your organization a trusted party for conducting business across the world, with governments, other companies and customers.
Corruption means an activity that involves the abuse of position or power for an improper personal or business advantage, whether in the public or private sectors, and includes the receiving, acceptance, offer, payment or authorization of bribes.
A bribe can be described as the payment, promise of payment or authorization of payment of anything of value, either directly or indirectly, to obtain an improper personal or business advantage. Laws and regulations state no minimum amount or threshold exception for bribes and, applicable to certain organizations, facilitation payments.
A bribe is only a bribe if it is intended to induce a public official or private person to misuse their position to secure any kind of business advantage for your organization. The intent does not have to be explicit. It can also be deduced from specific circumstances, for example the giving of lavish gifts or entertainment can also express such intent. Moreover, the intent must concern the obtaining or retaining of a business advantage. This includes bribing public officials or private persons in order to influence the outcome of a tender but can also include other commercial advantages (obtaining favorable tax treatment, etc.).
In the normal course of our business, offering and receiving gifts and entertainment, for instance, is a part of doing business, but it can give the perception that you are trying to bribe or are being bribed. In every day practice there seems to be a thin line between an acceptable gift or entertainment and a gift or entertainment being or being perceived as a bribe. This depends on circumstances, especially cultural differences. Laws and regulation do not prohibit gift giving, they prohibit the payment of bribes, including those disguised as gifts.
This means your questions are: “What is my policy and what do I expect of my employees and affiliated parties?” and “How will I know whether or not my employees and related parties are crossing this line and putting the credibility of the organization at risk?”
Solution to effectively manage your anti-bribery and anti-corruption (ABC) program. You will not only be able to monitor the effectiveness of your program and compliance activities, but you will actually monitor and detect anomalies in behavioral patterns of both your employees and affiliated parties.
GRCMD uses its advanced software which enables you to monitor and track your ABC compliance activities and test the effectiveness of it, by detecting anomalies, such as risk taking language and deviant behavior, and red flags that warn you of possible breaches and organizational weaknesses. GRCMD combines the data of your organization (such as payments, contracts, due diligence results and expense reports) with various public information, such as PEP lists, public registers and social media, and generates reports on any detected anomalies. GRCMD will also provide feedback on possible weak internal controls and can initiate a workflow to review and improve internal controls.
GRCMD offers you tools to:
- analyze any gaps in your ABC compliance program and enhance it by adding latest laws, regulations and best practices;
- manage the implementation of your anti-bribery and anti- corruption compliance program;
- organize and maintain your central policy library;
- document and monitor the implementation of mitigating measures;
- conduct risk assessments customized for your market, industry and country, and produce an impact analyses and prioritize your mitigating activities;
- link training, e-learnings and awareness sessions to HR files;
- add predictive value by detecting (signs of) bribery and corruption at an early stage;
- manage any incidents connected to bribery and corruption;
- get feedback on possible weak internal controls;
- initiate a workflow to review and improve internal controls;
- produce automated and real time status reports on any level, such as business unit, country or corporate, and any topic;
- produce not only backward-looking but also forward-looking reports, helpful for your organization's efforts towards integrated reporting.