Compliance Perspectives

By Adam Turteltaub

While there is much discussion of the challenges in due diligence and third-party vetting in China, Russia and Africa, the risks and challenges don’t end there.  As Milos Stopic, Compliance & Ethics Officer, Middle East and Eastern Europe for Louis Berger International explains, when doing business in Eastern Europe and the Western Balkans it is a necessity as well.

Happily, he reports in this podcast, it is increasingly becoming much more common and expected.  More companies are adopting due diligence standards, and even large companies are receiving more requests to give information about their compliance programs.

But despite the progress, there is still resistance, mostly based on a lack of understanding as to why a company conducting due diligence is even asking questions in the first place.  That problem is often exacerbated by a lack of understanding of compliance programs.

Listen is as Milos explains the challenges and what can be done to overcome resistance and help improve your due diligence efforts.

 

By Adam Turteltaub

May 25, 2018 was the deadline for companies to comply with the new European General Data Protection Regulation (GDPR), and for many organizations, it was a very long slog just getting there.

Andre Bywater of Cordery Compliance warns, though, that it’s best not to think of that date as an endpoint.  Instead, it’s a starting line for a new era in data protection.

Already many complaints have been brought before data protection regulators, and they have led to subsequent investigations based on allegations of violations.  One organization has already been told to stop processing data.

So, the consequences for violations are real and, notably, they extend beyond the EU.

Even companies who have done an excellent job preparing for GDPR need to remain diligent, particularly for data breaches.   Hacking is a problem and a headline grabber, but there is a significant day-to-day challenge with human error:  lost laptops, phone stolen, and so forth.  Under GDPR, organizations have to report these incidents promptly to the regulator and may have to tell the individuals involved.

This need to report quickly makes it essential for compliance teams to have a plan in place for responding, even before the breach occurs.

Another issue to prepare for: individuals have the right to ask what information the organization has collected on them.  That can be a time-consuming process that includes paper records.  Once again, it’s important to have plans in place before the request comes in.

In sum, GDPR poses significant ongoing challenges and will be a part of compliance efforts for a long time to come.  Listen in to the podcast to learn more about what you should be thinking about and doing.

By Adam Turteltaub

May 25, 2018 was the deadline for companies to comply with the new European General Data Protection Regulation (GDPR), and for many organizations, it was a very long slog just getting there.

Andre Bywater of Cordery Compliance warns, though, that it’s best not to think of that date as an endpoint.  Instead, it’s a starting line for a new era in data protection.

Already many complaints have been brought before data protection regulators, and they have led to subsequent investigations based on allegations of violations.  One organization has already been told to stop processing data.

So, the consequences for violations are real and, notably, they extend beyond the EU.

Even companies who have done an excellent job preparing for GDPR need to remain diligent, particularly for data breaches.   Hacking is a problem and a headline grabber, but there is a significant day-to-day challenge with human error:  lost laptops, phone stolen, and so forth.  Under GDPR, organizations have to report these incidents promptly to the regulator and may have to tell the individuals involved.

This need to report quickly makes it essential for compliance teams to have a plan in place for responding, even before the breach occurs.

Another issue to prepare for: individuals have the right to ask what information the organization has collected on them.  That can be a time-consuming process that includes paper records.  Once again, it’s important to have plans in place before the request comes in.

In sum, GDPR poses significant ongoing challenges and will be a part of compliance efforts for a long time to come.  Listen in to the podcast to learn more about what you should be thinking about and doing.

By Adam Turteltaub

The US Foreign Corrupt Practices Act and similar anti-corruption laws around the globe get the lion’s share of attention, but as the Wall Street Journal recently reported, sanctions accounted for 56% of fines in the last ten years, totaling $26 billion worldwide.

Suzanne Bullitt, who is Director, Global Trade Strategy & Compliance at the Eastman Chemical Company, is well aware of the compliance risk.  She has to be.

Suzanne took the time to share with us in this podcast a wealth of advice for anyone who oversees export compliance, or is wondering if the people who are supposed to be doing it are truly on the ball.  Hear her advice such as:

* Ensure that all of your classifications are accurate and harmonized, and watch out for manipulations from the business units

* Make sure that classifications are consistent, accurate and declared properly

* Take the time to understand the regulatory requirements and country-specific requirements for both export and import

* Be absolutely certain who the end user of your goods are, including who owns over 50% of the company

* Be especially alert with joint ventures

* Don’t forget to examine all parties to the transaction, including bankers, vendors and even the ships the goods sail on

If you have trade compliance risks, take advantage of Suzanne’s wisdom.  It may help your organization avoid becoming a part of the next $26 billion in fines.

 

By Adam Turteltaub

The US Foreign Corrupt Practices Act and similar anti-corruption laws around the globe get the lion’s share of attention, but as the Wall Street Journal recently reported, sanctions accounted for 56% of fines in the last ten years, totaling $26 billion worldwide.

Suzanne Bullitt, who is Director, Global Trade Strategy & Compliance at the Eastman Chemical Company, is well aware of the compliance risk.  She has to be.

Suzanne took the time to share with us in this podcast a wealth of advice for anyone who oversees export compliance, or is wondering if the people who are supposed to be doing it are truly on the ball.  Hear her advice such as:

* Ensure that all of your classifications are accurate and harmonized, and watch out for manipulations from the business units

* Make sure that classifications are consistent, accurate and declared properly

* Take the time to understand the regulatory requirements and country-specific requirements for both export and import

* Be absolutely certain who the end user of your goods are, including who owns over 50% of the company

* Be especially alert with joint ventures

* Don’t forget to examine all parties to the transaction, including bankers, vendors and even the ships the goods sail on

If you have trade compliance risks, take advantage of Suzanne’s wisdom.  It may help your organization avoid becoming a part of the next $26 billion in fines.

 

By Adam Turteltaub

For over two decades the Society of Corporate Compliance and Ethics and Health Care Compliance Association, along with the entire compliance profession, has benefited from the leadership of Roy Snell.  With Roy’s retirement beginning on November 1, 2018 we wanted to have one last opportunity to gain his insights while he is still the CEO.

In this conversation Roy discusses:

* What he’s most proud of from his years of leading the association

* Reasons why the HCCA and SCCE have grown so strongly and for so long

* Why the compliance profession has also seen such dramatic increases both in the number of compliance professionals and compliance programs

* What the future will likely hold for compliance

Be sure to take advantage of this opportunity to tap into Roy’s more than twenty years of experience working as a compliance professional and supporting our community.

By Adam Turteltaub

For over two decades the Society of Corporate Compliance and Ethics and Health Care Compliance Association, along with the entire compliance profession, has benefited from the leadership of Roy Snell.  With Roy’s retirement beginning on November 1, 2018 we wanted to have one last opportunity to gain his insights while he is still the CEO.

In this conversation Roy discusses:

* What he’s most proud of from his years of leading the association

* Reasons why the HCCA and SCCE have grown so strongly and for so long

* Why the compliance profession has also seen such dramatic increases both in the number of compliance professionals and compliance programs

* What the future will likely hold for compliance

Be sure to take advantage of this opportunity to tap into Roy’s more than twenty years of experience working as a compliance professional and supporting our community.

By Adam Turteltaub

In 2005 the London-based Institute of Business Ethics conducted its first Ethics at Work survey.   At the time it focused solely on Great Britain.  Since then, as Philippa Foster Back, the IBE’s Director explains, the survey has grown to include twelve European countries.

The findings from the latest issue of this one-every-three-years survey were fascinating.  They found that more than three-quarters of employees thought that their corporation is honest.  The reasons for the positive feelings were codes of ethics and training for one.  In addition, Philippa tells us in the podcast, the corporate responsibility movement has raised awareness in employees’ eyes about how companies are behaving in the community.

On the flip side, several factors can undermine employee faith.  In particular: people who see things wrong in their organization and don’t see the organization taking responsibility to stop it, particularly if someone had the courage to speak up and raise the issue.

She encourages organizations, if they want employees to come forward, to write the speak-up policy from the user’s point of view.  Put yourself, she advises, in the shoes of someone who has seen something and wants to raise an issue:  Who is going to take the helpline call?  What will they ask me?

Second, if your policy calls on employees to try to take the issue to their manager or supervisor, make sure that manager or supervisor knows how to handle the issue.

Listen in to gain more of Philippa Foster Back’s insights.

By Adam Turteltaub

In 2005 the London-based Institute of Business Ethics conducted its first Ethics at Work survey.   At the time it focused solely on Great Britain.  Since then, as Philippa Foster Back, the IBE’s Director explains, the survey has grown to include twelve European countries.

The findings from the latest issue of this one-every-three-years survey were fascinating.  They found that more than three-quarters of employees thought that their corporation is honest.  The reasons for the positive feelings were codes of ethics and training for one.  In addition, Philippa tells us in the podcast, the corporate responsibility movement has raised awareness in employees’ eyes about how companies are behaving in the community.

On the flip side, several factors can undermine employee faith.  In particular: people who see things wrong in their organization and don’t see the organization taking responsibility to stop it, particularly if someone had the courage to speak up and raise the issue.

She encourages organizations, if they want employees to come forward, to write the speak-up policy from the user’s point of view.  Put yourself, she advises, in the shoes of someone who has seen something and wants to raise an issue:  Who is going to take the helpline call?  What will they ask me?

Second, if your policy calls on employees to try to take the issue to their manager or supervisor, make sure that manager or supervisor knows how to handle the issue.

Listen in to gain more of Philippa Foster Back’s insights.

By Adam Turteltaub

Richard Powers, the Acting Deputy Assistant Attorney General for Criminal Enforcement in the US Department of Justice’s Antitrust Division was good enough to sit down for a podcast and share where the DOJ’s priorities are in this significant risk area.

His key message:  The DOJ is focused on antitrust compliance and companies should be, too.

At the same time, compliance has never been more important.  As he explains, the Antitrust Division is looking more closely at compliance efforts and is willing to reward companies at sentencing if they have made extraordinary efforts to change their corporate culture after an antitrust violation occurs.  Also, the Antitrust Division is considering ways it could encourage companies to have more robust antitrust compliance all the time, not just after an incident.

So what makes for a good compliance program?  From his vantage point

* It is embedded in the company, not just good on paper

* The right incentives are in place to make sure that the employees understand the rules and are abiding by them

* Senior management is involved, as well as the rest of management

Listen in to gain further insights into the Antitrust Division’s expectations.