Compliance Perspectives

By Adam Turteltaub

Ameenah Fuller, the Vice President of Compliance at Chartsmarts wanted to do more than stay on top of changing laws and regulations.  She wanted to broaden her knowledge of the law itself.  So, despite already having many years of work under her belt, she went back to school to pursue further education.

In this podcast, she shares the value from continuing education, especially in the law.  She also shares the knowledge and support she gained through Toastmasters educational programs.

By Adam Turteltaub

In Part 1 of this two-part podcast on human trafficking and modern slavery we explored the scope of the issue and the risks to organizations that they may inadvertently have victims within their supply chain, or even working in their facility.

In this podcast, William Shephard, a partner in the Washington and West Palm Beach offices of Holland & Knight, explains that there are specific compliance requirements already on the books that organizations must include in their compliance plans.  He explains that:

* There are already two types of laws on the books

* The first set requires reporting efforts by the organization to examine its supply chain for human trafficking and modern slavery

* California and the UK already have strong disclosure requirements, and the subsequent California regulations goes well beyond simple disclosure

* The second set of compliance requirement prohibit purchases by US Federal government entities from organizations that do not certify that their supply chain is free of human trafficking and slavery

* It is essential to look out for warning signs that the workforce may include victims of human trafficking and modern slavery

* Warning signs include whether there is a written contract in the employee’s native language with the employer and if the employee must surrender his or her passport to the employer

* Other red flags to look for include recruitment fees that employees must pay to get the job and substandard pay and housing

* For those in healthcare, there are already requirements to post information

By Adam Turteltaub

It seems shocking that estimates put more than 40 million people around the world today working in slavery.  It is a horrifying statistic, but it can seem like a distant problem, one that occurs in isolated parts of the world.

The evidence shows that it is far closer than people think.  It can be found in supply chains of global companies and even in the US, where estimates are that over 14,000 people are trafficked into the country annually.

Stephanie Molen is the Director of Partnerships at the Coalition to Abolish Slavery & Trafficking (Cast).  In this podcast, she explains the scope of the issue of human trafficking and modern slavery both within the US and internationally.

She explains that labor trafficking is quite broad and can be found in a large variety of industries, not just low wage jobs. High-risk industries, she tells us, include manufacturing, agriculture, and hospitality, with domestic care increasingly becoming high risk.

She also takes us through how recruiters defraud workers and create a form of indentured servitude.

Finally, she explains what to do if you suspect a worker in your organization is a victim and how social services organizations can help.

In Part II of the podcast, William Shepherd, a partner at the law firm of Holland & Knight, will explore the increasing number of compliance requirements for organizations to identify potential human trafficking and modern slavery in their supply chain.

By Adam Turteltaub

We all admire whistleblowers who call out wrongdoing and help right a wrong, at least we do in the abstract.  But, as case after case has shown, whistleblowers are rarely so admired by their peers.

Paul Fiorelli, Professor of Legal Studies and Co-Director, Cintas Institute for Business Ethics at Xavier University, has spent a great deal of time contemplating this dilemma.  As he explains, the roots of the problem go back to childhood where we are warned not to be a tattletale. In this discussion he shares:

* If employees don’t feel that they can safely raise issues, you’ll likely be reading about them externally instead of hearing about it internally

* The importance of trying to create an environment where people feel comfortable coming forward

* The problem of not being able to always tell the reporter what the disposition of the investigation is, which may lead to the perception that nothing was done

* The challenge of a trust vacuum

* The two biggest fears of whistleblowers: retaliation and managerial inaction

* The need to change the discussion so that the whistleblower isn’t seen as disloyal but as someone who is helping to prevent and correct problems

* The importance of checking for retaliation over the long term, not just the short

By Adam Turteltaub

These days it is increasingly difficult for any organization to operate without a compliance program.  That’s true of non-profit institutions.  No matter how lofty your organization’s goals, there are still rules to follow, and where there are people, there are often problems.

Charlotte Young is the Chief Ethics & Compliance Officer for The Nature Conservancy, and a regular participant in the conferences of The Society of Corporate Compliance and Ethics.  In this conversation at the 2017 Compliance and Ethics Institute she shares some of the unique challenges non-profit compliance faces, as well as what to look for if you’re thinking of becoming a compliance officer at a not for profit institution.

Listen in as she explains:

* Nonprofits focus more on reputation than a for-profit, since reputation is really what you sell

* Nonprofits are lightly regulated, which is an asset in many ways, but you need to closely watch private benefit rules, lobbying, and electioneering

* Conflicts of interest are a very high-risk area

* Donor intent is also very important: ensuring that the funds are used in the way the donor intended

* The staff is often out to save the world, and, like their counterparts in the private sector, some can see compliance as a barrier

* Being a mission-based organization is an asset for the compliance program since the workforce and management takes the values very seriously

* If thinking of joining a non-profit, read the organization’s 990 tax return

* When interviewing, focus on risks: what is the primary risk to the organization.

* Also, be sure to understand the funding source

By Adam Turteltaub

An internal investigation isn’t really done until the final report is written, and getting the report right is essential.  When done well it can help an organization move forward.  If done badly, it can create new problems of its own.

Meric Bloch is the Corporate Director for Investigations at Shriner’s Hospital for Children in Tampa.  He is also Principal at Winter Compliance LLC.  Many know him from the popular pre-conference workshop he gives with Al Gagne each year at the Compliance and Ethics Institute.  He and Al also lead the SCCE’s annual Internal Investigations Compliance Conference, a two-day program focused on the nuts and bolts of this essential element of an effective compliance program.

In this podcast, Meric shares his insights into writing up the report on investigation.  Key topics discussed include:

* Writing the report actually begins by having a good investigation plan that identifies the business conduct standard that you are measuring against

* The importance of including a coherent statement of what happened and why it happened

* The report has to do several things:

* First, it has to show that the organization responded timely and reasonably to the initial incident report

* Second, it has to document the procedural steps in the investigation

* Third, it has to report whether the allegation is substantiated

* Fourth, it has to lay the factual groundwork for any post-investigation activity.

* In some organizations, the report will include recommendations, but the question is how is it best to do that?

* The risks of going too far in the recommendations and saying management “must” do something

* The report should never include conclusions of law, advisory decisions about contacting the police, evaluations of whether the organization may be liable for something

* An investigation report can enable the organization to enhance internal controls to prevent a problem from reoccurring

* The report can also be used a shield in case a termination results in a wrongful termination suit

* The importance of including in the report things that had gone right

By Adam Turteltaub

No compliance program is without challenges, but when you’re running compliance at one of the world’s highest-profile companies, the playing field is a bit different.

Andy Hinton, Vice President, Ethics & Compliance at Google takes some time out to share his experiences there, and, surprisingly, how life in the spotlight may not be as difficult as some might think.  Employees, he explains, grow used to the idea that they are in a high profile company where their actions have consequences.

Listen in as he discusses:

* Finding that the oft-reported issues with Millenials are hype; they have high standards for their employers and are viewed as stakeholders for giving feedback

* The importance of staying in front of issues

* The synchronicity of compliance, ethics and the culture of the company

* The value of evangelizing expectations to remote offices, making it clear what expectations Google has

* The understanding within Google that getting caught up in a compliance issue can get in the way of a moonshot or any new business

By Adam Turteltaub

How do you know your compliance program is working?  Are there no incidents because there really aren’t incidents, or just because you haven’t found them yet?

Ricardo Pellafone, the founder of compliance-training company Broadcat joins us for this podcast to discuss how to measure the impact of a compliance program, and how to be a better communicator.  Listen in as to his provocative and intriguing thoughts such as:

* Simply measuring that nothing happened, isn’t the best measurement; measure business process improvement instead

* Have a clear definition of what the business problem is

* Determine what the problem costs the organization

* Resist the temptation to jump straight to solutions

* If the compliance program is new, focus on whatever your biggest risk is, then build out what a proactive solution could do and would cost

* When it comes to training and other communication, think about what the outcome is that you want, and then figure out which content and format can get you there

* When developing training, remember that adults tend to be problem-focused and eager to apply the learning immediately

* Think about company workflows and when and where it would be most effective to deliver a compliance message inside that workflow.

By Adam Turteltaub

Even the best of compliance programs require a periodic assessment to see exactly how they are doing.  In fact, one of the signs of a best-in-class compliance program is the fact that it is being assessed regularly.

Rebecca Walker, a partner in the firm Kaplan & Walker, has focused her work on helping companies ensure that their compliance program is meeting its objectives.  In this podcast, we discuss how compliance program assessments should work and some of the benefits of a well-done program review.  Listen in as we discuss:

* How frequently you should assess your program

* What to assess on an ongoing basis

* What should be done during a periodic major assessment

* The value of benchmarking against your peers

* Looking to interconnected measurements within your set of metrics

* Assessing the culture of the organization

* The difference between a program assessment and risk assessment

* Mistakes to avoid in conducting program assessments

* Setting a proper scope for the assessment

* The importance of ensuring employees are comfortable providing feedback

* Evaluating employee feedback

By Adam Turteltaub

Rashmi Airan won’t be addressing health care compliance issues at the 2018 Compliance Institute.  Instead, she’ll be talking about her career as an attorney with a great deal of real estate experience, particularly in questionable transactions.  Those transactions resulted in a guilty plea and approximately six months in prison.

In this podcast, she tells the story of meeting a real estate developer in 2007 who needed some help with a “creative” transaction.  She went on to do about 100 of these transactions before moving on.  Then, seven years later, she was indicted for bank fraud.

Since her release she has shared her experiences and insights while simultaneously trying to better understand why she and so many others go astray.

Listen in as she discusses how her focus on other things in her life – raising and supporting children, financial demands, family expectations – enabled her to rationalize the illegal behavior.

Listen, too, as she shares some thoughts on how to prevent others from making her mistakes. She discusses the importance of listening to that voice within our head and giving up the idea that “I’m a good person and would only do good things.”

She also suggests that many problems could be avoided by creating environments where it is safe to ask questions and to discuss right and wrong, not just during training, but as an ongoing part of business discussions.

Rashmi Airan‘s mission is to share the need for ethical vigilance and to inspire you to make good ethical choices in all areas of your life. Rashmi is a keynote speaker and consultant fighting to create a culture of conversation and bring ethical issues in business to light, to promote integrity, enhance commitment to fiduciary duty, and shift the paradigm of ethics standards.