Categories
Compliance Into the Weeds

Sharpies, Leadership and Compliance

Compliance into the Weeds is the only weekly podcast which takes a deep dive into a compliance related topic, literally going into the weeds to more fully explore a subject. In this episode, Matt Kelly and I go into the weeds to explore the President’s recent imbroglio regarding Hurricane Dorian, Alabama and sharpies.
Some of the highlights include:

  • Why was this episode so creepy?
  • What is a Level 5 business leader and why are those traits so valued in business?
  • What would happen if a business leader intentionally misrepresented his company’s products?
  • If you threaten to fire all who disagree with the Leader’s comments, what will it do for the future of the organization?
  • What was the failure of compensating controls?
  • What should a Board of Directors do if a CEO engages in material misrepresentations?

For additional reading see Matt’s blog post, Sharp(ie) Insights in Speak Up Culture, on Radical Compliance.

Categories
The Ethics Movement

Michael Williamson on Moving from a Rules-Based Culture to Leverage Values

CONVERGE19 is in its 4th year of bringing together the world’s leading companies for 2 days of dynamic speakers, thought-provoking breakout sessions, and opportunities to connect with like-minded professionals. You will leave the conference with new resources and best practices allowing you to continue the hard work of driving ethics to the center of your business. In today’s episode I visit with Michael Williamson, Chief Compliance Officer at Pacific Dental, on his talk at Converge19, moving an Ethics & Compliance from rules-based to leverage values.
You can move your Ethics & Compliance Program beyond a rules-based, blind obedience construct by leveraging values. In this session, Michael Williamson will describe how to animate your organization’s values and create alignment behind them to foster a self-governing culture of ethics and compliance. He will make the case for inspiring employees through purpose and values to act as individual leaders based on shared beliefs rather than coercing employees through rules or motivating them through performance-based rewards and expectations. You will learn how to bring your organization’s purpose and values to life in support of an ethics and compliance culture that, minimally, will pivot your Program to a posture of proactive risk mitigation. Finally, Williamson will tie it all together to demonstrate how this helps create strategic differentiation between you and your competitors.
For more information on Converge19, click here.

Categories
Daily Compliance News

September 10, 2019- the Jay Clayton speaks edition

In today’s edition of Daily Compliance News:
  • How is employee activism different than CEO activism? (com)
  • DOJ charges Chinese Professor with theft of trade secrets for Huawei. (WSJ)
  • SEC chair criticizes the rest of the world for poor ABC enforcement. (WSJ)
  • Trump risk formalized in Volfefe index. (FT)
Categories
Innovation in Compliance

Crisis PR with Eden Gillott


When you’re dealing with drama and you want to know what to do and what to say, Eden Gillott is the person to go to. She has been the President of Gillott Communications, a crisis PR firm, for over 11 years. She chats with Tom Fox about what a company should say in a crisis situation, how to prepare for a crisis in advance, and common mistakes to avoid.

What to Say During a Crisis
Eden defines a crisis as anything that threatens your reputation in a way that will interrupt your business. Whenever there is a crisis incident, especially one that involves loss of life, your company should express sorrow and empathy, and should never make light of the fact that people have lost their lives. You should also think about your key message and goals: ideally, your strategy should include your short-term reaction, but also consider the long-term impact of your actions.
How To Prepare For a Crisis 
While you can never predict a crisis, there are ways to prepare in advance. Think of the things most likely to happen in your industry. Crisis in the food industry, for example, can include recall and contamination. If something were to happen, how would you respond? A good strategy is to have a placeholder statement you can use as an immediate response that tells everyone you’re taking care of the situation, you’re looking into it and will get back to them as soon as possible. This placeholder statement buys you time while you gather the facts. The last thing you want to do during a crisis is rush out with misinformation, Eden warns. It can make an already bad situation even worse. 
Common Mistakes to Avoid
During a crisis, you should avoid these common mistakes:

  • Lack of communication – Be as transparent as possible. Make sure everyone has the facts needed to make an educated decision.
  • “ It’s not my job.” –  When there’s a crisis, it’s everyone’s job.
  • “ It’s too small to be noticed.” – A crisis can become worse if you ignore it.

It’s a good idea to have a protocol in place so if a crisis occurs you have a framework to follow.
Advice About Social Media
Tom comments that social media has amplified messages, which can be catastrophic in a crisis. Eden advises how companies can use social media during a crisis. Social media posts can also precipitate a crisis. She admonishes, think before you post!
Lying is an Absolute No-No!
Eden says that there are two absolute no-no’s in crisis PR, and lying is one of them. Lying will always come back to bite you: your credibility will spiral down and the reputation you spent years building will be tarnished. If you’re caught as a liar, people will never believe anything you say in the future.
Resources
Gillott Communications

Categories
The Ethics Movement

Ricardo Pellafone and Ashley on Building the Foundation of Your Compliance Brand

CONVERGE19 is in its 4th year of bringing together the world’s leading companies for 2 days of dynamic speakers, thought-provoking breakout sessions, and opportunities to connect with like-minded professionals. You will leave the conference with new resources and best practices allowing you to continue the hard work of driving ethics to the center of your business. In today’s episode I visit with Ricardo Pellafone, Founder and CEO of Broadcat and Ashley Lewis, Associate Manager, Internal Audit at Tempur-Pedic Management, LLC and about their talk, Compliance, Culture, and Communication: How to Build the Foundation of Your Brand.
Understand how engaging with your peers, stakeholders and employees is critical to the success of your program. This ranges from cross functional partnerships: who to connect with, how often, and why; to engaging employees: why engagement is key to proving E&C is not the enemy; to rebranding your hotline solution: why words matter and how you can use words and to connect with your employees. In their session Ricardo and Ashley bring their experiences to the fore to provide insight into building your compliance brand.
For more information on Converge19, click here. For more information on Broadcat, click here.

Categories
Daily Compliance News

September 9, 2019- pay me now and later edition

In today’s edition of Daily Compliance News:
  • 2020 is almost here. Are you ready for the CCPA? (WSJ)
  • Why due diligence is a must. (lesson 334,259) (Washington Post)
  • How big tech companies targeted by feds. (NYT)
  • Restitution in the Och-Ziff FCPA matter? (WSJ)
Categories
FCPA Compliance Report

James Koukios on the Morrison and Foerster Top 10 International Anti-Corruption Developments for April 2019

In this episode I visit with podcast favorite Morrison and Foerster partner James Koukios on the firm’s Top 10 International Anti-Corruption Developments for April 2019. We look at some of the key international developments.  Highlights from the podcast include:

  1. The debate Over Meaning of “Agent” Under FCPA Intensifies Ahead of Hoskins Trial.
  2. Federal Court Finds FCPA Investigation Documents Protected by Attorney-Client Privilege.
  3. International Maritime Organization (IMO) Sets Anti-Corruption Agenda.
  4. We take a deep dive into the new Evaluation of Corporate Compliance Programs, 2019 Guidance. What is new (if anything)? How does this assist the corporate compliance professional? Should it be read in conjunction with the Benczkowski Memo?

To see a copy of the Morrison and Foerster Top 10 International Anti-Corruption Developments for April 2019, click here.

Categories
Why a Duck

Horsefeathers and the DOJ Antitrust Compliance Program Guidance

From Vaudeville to the Silver Screen to the Small Screen, the Marx Brothers made an impact wherever people found them. Now Tom Fox and Mike Volkov have wedded their love of the Marx Brothers with their passion for compliance and bring them into the boardroom to help explain and explore the sometimes chaotic world of governance, risk-management, ethics and compliance. In this episode they discuss the movie Horsefeathers and the recently released DOJ Antitrust Division compliance guidance.  Highlights from the podcast include:
  1. Why is this document so significant?
  2. How will the Evaluation be used at the Charging Phase? At the Sentencing Phase?
  3. What is different in this Guidance from the ABC Guidance issued in April by the Criminal Division?
  4. What are some of the key lessons learned for the ABC compliance professional?
  5. How does data analytics from the Antitrust Division Guidance inform ABC compliance programs going forward?
  6. How does the Antitrust Guidance, working in conjunction with OFAC’s Sanctions Enforcement Guidelines and the Criminal Division’s 2019 Compliance Guidance demonstrate the need to break down the silos around compliance?
  7. Where does compliance go from here?
Resources
New Antitrust Compliance Guidance
  1. From Tom Fox-eBook on The Antitrust Division Guidance on an Effective Compliance Program, available on CCI, hereat no cost.
  2. From Mike Volkov-Two-part series on DOJ’s Antitrust Division Announces New Policy for Crediting Corporate Compliance Programs. Part Iand Part 2.
  3. Download a copy of the new Antitrust Division Guidance, here.
Marx Brothers
Horsefeathers-the full movie on YouTube.
Categories
Daily Compliance News

September 8, 2019 Sunday Book Review edition

In today’s edition Sunday Book Review edition of Daily Compliance News:
Categories
Daily Compliance News

September 7, 2019- losing my reputation edition

In today’s edition of Daily Compliance News:
  • How fast can a corp lose its reputation? For J&J, in one lawsuit. (FT)
  • What is ethics? H&M stops purchasing Brazilian leather. (NYT)
  • Just Kidding…WeWork’s dropping valuation by ½. (WSJ)
  • 20% of IPOs audited have material weaknesses. (MarketWatch)