In this episode of the Crime, Corruption, and Compliance podcast, Michael Volkov forecasts the compliance and ethics trends that will be significant in 2023. He emphasizes the crucial role ethics and compliance play in the corporate governance landscape, the increasing relevance of ESG, and highlights the need for robust ethics and compliance programs even in the C suite.
Key ideas in this episode:
- The need for robust ethics and compliance programs with adequate resources.
- Boards and CEOs who fail to understand the importance of these programs are “doomed”.
- Culture and ethics will be top priority in 2023.
- The importance of C suite risk assessments and third-party risk management. “CCOs need to reach out to internal audit and their CFOs to enlist their support for a simple proposition, and that is that we need to design and implement financial controls applicable to the C Suite that are tailored to the relevant risks,” Michael says.
- The evolution of third-party risk management to become a more holistic concept. “The ability to address, monitor and collect data on your third parties also with the evolving risk landscape led to this transformation,” Michael points out. “The fast pace of this transformation is going to continue.”
- CCOs and compliance officers need to ask questions surrounding internal controls and accounting controls.
- Compliance professionals will participate more deeply in financial control review and responsibility.
KEY QUOTES:
“CCOs need to reach out to internal audit and their CFOs to enlist their support for a simple proposition, and that is that we need to design and implement financial controls applicable to the C Suite that are tailored to the relevant risks.” – Michael Volkov
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