Currently, we discover that corrupt practices persist despite a number of efforts, including the establishment of vigilance commissions and cells, RTI, active media, and codes of conduct, as well as the strengthening of legal processes. a. Evaluate the effectiveness of these ...
Model Answer 1. Anticipate Bribery Risk Management should conduct thorough assessments to understand the motivations behind public officials' demands for bribes. By identifying these motivations, companies can propose lawful alternatives that align with their operational mandates, thereby reducing tRead more
Model Answer
1. Anticipate Bribery Risk
Management should conduct thorough assessments to understand the motivations behind public officials’ demands for bribes. By identifying these motivations, companies can propose lawful alternatives that align with their operational mandates, thereby reducing the temptation to engage in corrupt practices.
2. Account for Costs
Corporations must factor in the potential costs of avoiding bribery in their financial projections. This includes recognizing that refusing to pay bribes may lead to delays or loss of contracts. By transparently communicating these costs to investors, companies can foster a culture of ethical decision-making that prioritizes long-term integrity over short-term gains.
3. Identify New Markets
Certain markets, often referred to as “moon markets,” are notorious for corruption. Companies should assess whether these markets align with their ethical standards and consider withdrawing from them if necessary. While this may result in short-term profit losses, it ultimately contributes to building a more resilient and principled organization.
4. Gather Intelligence
Investing in intelligence gathering is crucial for identifying high-risk areas for bribery. For example, Coca-Cola utilizes data from Transparency International to map out bribery risks and strategically focus its anti-corruption efforts.
5. Recalibrate Performance Targets
To discourage employees from accepting kickbacks, companies should revise performance-based targets. For instance, GlaxoSmithKline eliminated sales targets after facing significant fines for bribery, while Novartis shifted its compensation structure to prioritize values and behavior over sales quotas.
6. Reporting Mechanisms
Establishing transparent reporting channels for bribery incidents is essential. Corporations should commit to openly addressing and reporting any instances of bribery, reinforcing their zero-tolerance policy against corruption.
By implementing these strategies, corporations can create a robust framework that not only deters bribery but also fosters a culture of accountability and ethical business practices.
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Evaluation of Existing Anti-Corruption Measures 1. Vigilance Commissions and Cells Effectiveness: Increased oversight on corrupt practices within organizations. Enhanced accountability and investigation capabilities. Justifications: Recent examples such as the Central Vigilance Commission (CVC) haveRead more
Evaluation of Existing Anti-Corruption Measures
1. Vigilance Commissions and Cells
Effectiveness:
Justifications:
Challenges:
2. Right to Information (RTI)
Effectiveness:
Justifications:
3. Active Media
Effectiveness:
Justifications:
4. Codes of Conduct and Legal Mechanisms
Effectiveness:
Justifications:
Challenges:
Suggested Strategies to Tackle Corruption
1. Strengthening Whistleblower Protection
Strategy:
Justification:
2. Enhancing Digital Transparency
Strategy:
Justification:
3. Judicial Reforms
Strategy:
Justification:
4. Public Engagement and Education
Strategy:
Justification:
Conclusion: While existing measures have made some impact, enhancing whistleblower protection, adopting digital transparency tools, and implementing judicial reforms can provide a more comprehensive approach to combatting corruption effectively.
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