FCPA violations can only happen when people make bad decisions. How to keep that from happening is the subject of a stand-out article by Teresa Anderson in the current edition of Security Management Magazine.
Anderson takes a nuanced look at how a series of small decisions by people below the top managers can lead to compliance disasters. The fix? Teach employees not just what the law requires, but how to spot and avoid unethical behavior — a more stringent standard than mere illegality. That will make FCPA offenses less likely.
Michael Scher, an FCPA compliance consultant and popular guest contributor in this space (here and here), said chief compliance officers should report to the CEO, president, or even the board.
‘This reporting function is critical,’ the article says, ‘because when faced with situations where there is a trade-off between being competitive and being ethical, lower level employees may have a tougher time making the right choice, but if they make the wrong choice, they jeopardize the entire company.’
Sulaksh R. Shah, a director in PwC’s FCPA and anti-corruption practice, is also featured in the article.
It’s available here.
Comments are closed for this article!