How to Assess, Level Up, and Leverage Your Culture of Compliance

How to Assess, Level Up, and Leverage Your Culture of Compliance

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  Assessing, Improving, andLeveraging Your Culture of Compliance Matt Kelly Editor & CEO Radical Compliance
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  Who is thisguy again? Matt Kelly Editor Radical Compliance • Writing, blogging independently at www.RadicalCompliance.com • Previously editor of Compliance Week, 2006- 2016 • Do various research, writing projects for private clients • I love this stuff!
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  Order of Events •Why is a culture of compliance important, and getting more important? • What data, relationships, and more do compliance officers need to understand culture? • How can you leverage culture for better conduct and better investigations? • Q&A
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  Part I. Why Cultureof Compliance Matters
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  Because Culture IsEverything! ‘Culture isn't just one aspect of the game; it is the game. In the end, an organization is nothing more than the collective capacity of its people to create value.’ — Lou Gerstner ‘Culture eats strategy for breakfast.’— Peter Drucker Culture can be about success or disarray — or a mix of both.
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  Pressures on CultureToday First are the risks ● More complex business enterprises ○ Globalized reach ○ Third parties ● More economic uncertainty ● More ‘tightly coupled’ systems More forces tugging at that ‘collective capacity’ to advance objectives.
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  Pressures on CultureToday Second are the demands ● Highly regulated business landscape ● Stronger penalties for wrongdoing ● More ‘shaming’ of corporate conduct on social media, elsewhere ● Stakeholders just want a better, more ethical performance from corporations
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  Employees do wantto help! Source: Ethisphere, 2019
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  So what arethe obstacles here? ● Fear of retaliation ● Belief that no corrective actions will happen ● Confusion about what employees are supposed to do ● Conflicting messages from leadership
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  Part II. What DoYou Need to Understand Culture?
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  Data, as muchas you can get ● Issues reported on internal hotline, categorized in many ways: ○ Issue itself ○ Location ○ Level of employees ● Issues specifically around retaliation ● Case closure times, bottlenecks number of responses
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  Look beyond compliancedata, too ● HR data ○ Employee turnover ○ Exit interviews ○ D&I trends ○ Employee sentiment surveys ● Don’t forget external sources ○ Blind, Glassdoor.com ○ Social media
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  Precision in dataand reporting ● You are looking for root causes: ○ Bad leaders? ○ Bad policy? ○ Bad processes? ● Looking for deviations from norm ○ Culture vs. sub-culture
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  Anticipate the datachallenges ● Finding it in the first place ● Completeness, accuracy ● Consolidating all data for holistic view ● Slicing & dicing for precise analysis What tools and analytics do you need, and what relationships do you need, to make all this work?
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  Part III. Leveraging Culture toImprove Conduct and Investigations
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  Begins with theCode of Conduct ● Write it down! ● Keep it simple! ● Stress company’s ethical values ● Stress the priority of ethics
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  Employ a strategy ●The message: ‘A culture of compliance is good for business’ ● Who are allies to deliver that message? ● How do you incentivize the behavior? ● What tools do you leverage? ● How do you monitor progress?
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  Work with theworkforce ● Policy development ● Internal reporting ● Investigations ● Training
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  Develop an OODAloop ● Observe: What is the raw information? ● Orient: How do I interpret that? ● Decide: What action do I take? ● Act: Do it. The faster you cycle through the loop, the more responsive you are to changing conditions. Observe Orient Decide Act
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  Questions?
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  Find more freewebinars: www.i-sight.com/resources/webinars @isightsoftware Contact Matt Kelly Contact i-Sight [email protected] [email protected] www.RadicalCompliance.com www.linkedin.com/in/mkellycompliance