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Leadership Lessons from the Presidents of the Republic of Texas – David Burnet: Building a Republic

The Republic of Texas holds a unique place in American history as a short-lived independent nation. In this special four-part blog post series, I will be diving into the intriguing world of the presidents of the Republic of Texas, shedding light on their leadership styles, political tensions, and the challenges they faced. This blog post focuses on one of the lesser-known presidents, David G. Burnett. It highlights the key factors that impacted the presidencies and politics of the early Republic of Texas.

David G. Burnett, who served as the first President of the Republic of Texas from March 1836 to October 1836, had a complex character and a fascinating background. He was an early adopter of filibustering, lending his sword to the Bolivarians in Venezuela during the Latin American wars for independence. However, he eventually returned to the United States when factions within the revolutionary forces split.

Burnett arrived in Texas in 1826 as an impresario, but his venture as a land grant holder failed. He was also known for his solid Presbyterian beliefs, adding another layer to his character. Despite his short tenure as president, Burnett played a crucial role in the survival and legitimacy of the Republic of Texas.

One of Burnett’s notable achievements was his strategic retreats during the early days of the Republic. By moving the government promptly, he managed to avoid capture and preserve the fledgling nation’s chances of success. Additionally, Burnett’s decision to spare the life of Santa Ana, the Mexican general, demonstrated his understanding of the role Santa Ana could play in negotiations and helped maintain the credibility of the Republic of Texas.

However, Burnett’s presidency was not without its challenges. Tension and intra-personal politics characterized the power transfer from Burnett to his successor, Sam Houston. Burnett was initially reluctant to turn over the government to Houston, leading to name-calling and insults between the two. Eventually, Burnett resigned, allowing Houston to start his first term early. Despite their differences, Burnett and Houston would cross paths politically multiple times in the future.

Factions and differing visions for the nation characterized the politics of the early Republic of Texas. Burnett represented one vision, while figures like Sam Houston embodied another. These divisions extended beyond the question of independence, with debates over issues such as slavery and Indian policy. Personal politics played a significant role, with politicians openly insulting each other and even threatening duels.

Burnet’s short tenure as the first President of the Republic of Texas highlights the enduring relevance of these early political dynamics. The reality is that there is absolutely nothing new under the sun when it comes to vicious politics. The Republic of Texas, if captured on camera, would have made for great reality TV. The challenges faced by early Texas politicians resonate with the political landscape of today.

David G. Burnet’s story is one of resilience and principle. Despite personal tragedies and adversities, he remained committed to his beliefs. Burnett’s inflexibility on specific issues, such as his hardline stance on Indian policy, may have rubbed some people the wrong way. However, it is undeniable that he played a significant role in shaping the early Republic of Texas.

Exploring the presidencies and politics of the early Republic of Texas provides valuable insights into the challenges and tradeoffs involved in nation-building. The podcast series offers a comprehensive analysis of the key factors that impacted the Republic of Texas and highlighted the importance of considering historical context when making decisions about leadership and politics.

Some of the vital leadership lessons from Burnet include:

  1. Adaptability and Resilience: Burnet assumed office during a tumultuous time when Texas was engaged in a struggle for independence from Mexico. He had to adapt quickly to changing circumstances and make difficult decisions to ensure the survival of the fledgling republic. Compliance professionals and business leaders can learn from his ability to remain resilient and composed in adversity.
  2. Vision and Mission Focus: Burnet strongly advocated for Texas independence and had a clear vision for the republic’s future. Influential leaders articulate a compelling vision and mission that inspire their followers and provide a sense of purpose. Chief Compliance Officers should have a vision for their compliance program and constantly strive to implement it.
  3. Pragmatism: Burnet recognized the importance of practicality and pragmatism in leadership. He worked to secure international recognition and support for the Republic of Texas, demonstrating his ability to navigate complex diplomatic challenges. Business leaders and compliance professionals should be willing to adapt their strategies to achieve their goals.
  4. Commitment: Burnet’s commitment to the cause of Texas independence was unwavering. He endured personal hardships and challenges to advance the republic’s interests. Chief Compliance Officers who demonstrate dedication to their compliance vision and mission often inspire greater loyalty and commitment from their compliance teams.
  5. Communication Skills: Effective communication is a crucial leadership skill, and Burnet was known for his ability to convey the republic’s goals and needs to foreign governments and potential allies. It may go without saying, but I will say it anyway: every CCO and compliance professional must be adept at conveying their message clearly and persuasively.
  6. Collaborative Leadership: Burnet understood the importance of collaboration and worked closely with other leaders and military figures, such as Sam Houston, to achieve common goals. CCOs and compliance professionals who can build and maintain effective partnerships with the business team will achieve more significant results than those who cannot.
  7. Adherence to Principles: Despite his challenges, Burnet remained committed to liberty and self-determination. CCOs and compliance professionals uphold their core values and principles, even in the face of adversity or temptation to compromise.
  8. Graceful Transition: Burnet voluntarily stepped down from the presidency after his term, demonstrating a commitment to the democratic process and a willingness to facilitate a smooth transition of power. Business leaders should recognize when it is time to pass the torch and do so gracefully.

It is important to note that David Burnet’s leadership lessons should be viewed in the historical context of the Republic of Texas and its struggle for independence. While some aspects of his leadership may not directly apply to modern leadership challenges, the principles of adaptability, vision, commitment, and effective communication remain relevant for leaders in any era. David G. Burnett’s presidency, though short-lived, left a lasting impact on the nation. The tensions and personal politics between Burnett and Sam Houston exemplify the challenges faced by early Texas politicians. By understanding the complexities of this period, we gain valuable insights into the tradeoffs and challenges involved in nation-building.

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Creativity and Compliance

Creativity and Compliance – An Ounce of Prevention

Where does creativity fit into compliance? In more places than you think. Problem-solving, accountability, communication, and connection – they all take creativity. Join Tom Fox and Ronnie Feldman on Creativity and Compliance, part of the award-winning Compliance Podcast Network.
Ronnie’s company, Learnings, and Entertainment, utilizes the entertainment devices people use to consume information in their everyday, non-work lives and apply it to important topics around compliance and ethics. It is not only about being funny. It is about changing the tone of your compliance communications and messaging to make your compliance program, policies, and resources more accessible. Today, Ronnie and Tom, as they consider compliance training and communication, are being used in the best, highest use, and most effective manner.
The topic of shifting compliance programs towards prevention and engagement is compelling, as it challenges the traditional reactive approach and advocates for a more proactive, engaging strategy. Ronnie believes that most compliance programs are reactive rather than proactive. He argues that a shift towards prevention, communication, burst learning, and leadership development can mitigate risks more efficiently and make compliance training more interesting and positive. Tom echoes this sentiment, emphasizing the need for engaging, entertaining, and impactful compliance programs. He suggests that by focusing on prevention, communication, shorter training, and leadership development, companies can create a culture of psychological safety and reduce the time and money spent on investigations and problems.

Join Tom Fox and Ronnie Feldman on this Creativity and Compliance podcast episode as they delve deeper into this fascinating topic.

Key Highlights:

  • Shifting Towards Prevention: The Key to Effective Compliance
  • Using Comedy to Transform Compliance Training
  • Engaging and Time-Efficient Micro-Learning Modules
  • The Importance of Proactive Compliance Measures

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Compliance and AI

Compliance and AI – Caroline Shleifer on How AI Enhances Regulatory Intelligence and Compliance

What is the role of Artificial Intelligence in compliance? What about Machine Learning? Are you using ChatGPT? These questions are but three of the many questions we will explore in this exciting new podcast series, Compliance and AI. Hosted by Tom Fox, the award-winning Voice of Compliance, this podcast will look at how AI will impact compliance programs into the next decade and beyond. If you want to find out why the future is now, join Tom Fox on this journey to the frontiers of AI.

Welcome back to another exciting episode of our podcast, where we delve into the fascinating world of compliance and artificial intelligence (AI). Today, I am joined by Caroline Shleifer, CEO and founder of RegAsk. Regulatory intelligence plays a crucial role in today’s business landscape, where regulatory requirements constantly evolve. Staying ahead of these changes is not only essential for compliance but also offers a competitive advantage. In this episode, Tom and Caroline Shleifer deeply dive into how AI and other emerging technologies enhance regulatory intelligence and compliance.

Key Highlights:

  • Proactive Compliance through Regulatory Intelligence Automation
  • Streamlining Regulatory Compliance with AI
  • Leveraging Data Analytics for Proactive Compliance
  • Revolutionizing Compliance with Emerging Technologies

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Caroline Shleifer on LinkedIn

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Into the Chair - Tales from Chief Compliance Officers

Into the Chair, Tales from Chief Compliance Officers: Anh Lam on Navigating Compliance Challenges in a Changing Landscape

Welcome to the latest edition of the Compliance Podcast Network: Into the Chair: Tales from Chief Compliance Officers, which details the journey to and in the role of a Chief Compliance Officer. How does one come to sit in the CCO chair? What are some of the skills a CCO needs to navigate the compliance waters in any company successfully? What are some of the top challenges CCOs have faced, and how did they meet them? These questions and many others will be explored in this new podcast series. Into the Chair: Tales from Chief Compliance Officers is a Comply podcast hosted by Tom Fox and is a production of the Compliance Podcast Network. In this episode, I visit with Anh Lam, Senior Vice President and Chief Compliance Officer at Sandy Spring Bank.

Anh Lam, a seasoned professional in compliance management, brings a unique perspective shaped by her personal and professional experiences. Born and raised in Vietnam, Anh’s interest in wealth management was sparked by her father’s experience with misleading investments in a country with limited regulations. Now serving as the Chief Compliance Officer for Sandy Spring Bank’s wealth divisions, Anh believes in the enduring importance of compliance but also sees a future where technology and artificial intelligence play a significant role in making compliance more efficient and effective. She envisions a future where each firm has its internal AI system integrated with different platforms to adapt to changing regulations and anticipates a global standardization of compliance regulations, akin to the GDPR for privacy regulations. Join Tom Fox and Anh Lam as they delve deeper into these topics on the next episode of the Into the Chair podcast.

Key Highlights:

  •   Protecting Investors’ Money through Compliance Expertise
  •   Navigating Compliance Challenges in a Changing Landscape
  •   The Rise of AI in Compliance

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Anh Lam on LinkedIn

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Great Women in Compliance

Great Women in Compliance – A Roundtable on Leveraging Compliance Connections

Welcome back to the Great Women in Compliance podcast. In today’s episode, we kick off our new roundtable format with two special guests joining Hemma and Lisa in discussing leveraging our connections to have an impact at scale in our work. As compliance professionals, we take on more and more and are often involved in complex and novel issues that are difficult to solve alone with confidence. Tune in to hear how Fatema Merchant and Karin Johnson have navigated this during their professional journeys and how they not only send the elevator back down but also help each other ensure they support each other when they are on their way up. Tune in to hear how Karin and Fatema have prioritized connection in their compliance work both from an in-house and outside counsel perspective.

We acknowledge that we are in an incredibly challenging moment as we watch with deep sadness and emotion what is happening in Israel, Gaza, and beyond. These events were very much on our minds during the recording of this podcast.

Karin Johnson is the VP of Ethics and Compliance at VF Corporation. VF is the parent company of iconic brands such as The North Face ®, Vans®, Timberland®, and Smartwool ®. Prior to joining VF, Karin was Vice President, Deputy General Counsel, and Chief Compliance Officer for 21st Century Fox. Fatema Merchant is a partner in the law firm Sheppard Mullin, where she is co-managing partner of the Washington, D.C. office. Fatema leads the sanctions team at the firm and is a partner in the Governmental and Corporate Investigations Practice Groups. Prior to joining the firm, Fatema seconded as a Special Assistant Attorney General with the District of Columbia Office of the Attorney General.

The Great Women in Compliance Podcast is on the Compliance Podcast Network with a selection of other Compliance-related offerings. GWIC is also sponsored by Corporate Compliance Insights, where we have a page where you can hear every episode. If you are enjoying this episode, please rate it and/or provide a review.

Corporate Compliance Insights is a much-appreciated sponsor and supporter of GWIC, including affiliate organization CCI Press, publishing the related book, “Sending the Elevator Back Down, What We’ve Learned from Great Women in Compliance” (CCI Press, 2020). If you enjoyed the book, the GWIC team would be very grateful if you would consider rating it on Goodreads and Amazon and leaving a short review. Don’t forget to send the elevator back down by passing on your copy to someone who you think might enjoy reading it when you’re done, or if you can’t bear parting with your copy, consider it as a holiday or appreciation gift for someone in Compliance who deserves a treat.

If you enjoyed the book, the GWIC team would be very grateful if you would consider rating it on Goodreads and Amazon and leaving a short review. Don’t forget to send the elevator back down by passing on your copy to someone who you think might enjoy reading it when you’re done, or if you can’t bear parting with your copy, consider it as a holiday or appreciation gift for someone in Compliance who deserves a treat.

You can subscribe to the Great Women in Compliance podcast on any podcast player by searching for it, and we welcome new subscribers to our podcast.

Join the Great Women in Compliance community on LinkedIn here.

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Compliance Into the Weeds

Compliance into the Weeds: Szabolcs Fekete and the Consequences of Ethical Breaches

The award-winning Compliance into the Weeds is the only weekly podcast that takes a deep dive into a compliance-related topic, literally going into the weeds to explore a subject more thoroughly, looking for some hard-hitting insights on sanctions compliance. Look no further than Compliance into the Weeds! In this episode, Tom and Matt deeply dive into the termination of Citibank employee Szabolcs Fekete over cheating on his expense account, then lying about it and drawing out broad lessons for the compliance professional.

The importance of trust, accountability, and ethics in the workplace cannot be overstated. These elements are the bedrock of a healthy corporate culture and are crucial for maintaining a positive and productive work environment. Tom believes that a broader conversation about these topics is necessary within corporations. He emphasizes the need for employees to understand the importance of trust, accountability, and adherence to policies and procedures.

Matt echoes these sentiments. He shares a poignant story about a CEO who had to fire a cleaner for embezzlement and dishonesty, underlining the critical role of trust in upholding ethical standards. Both Fox and Kelly acknowledge the cynicism among the public and the workforce regarding ethical enforcement, and they advocate for a commitment to doing the right thing, even when it is difficult. Join Tom Fox and Matt Kelly on this episode of the Compliance into the Weeds podcast as they delve deeper into this crucial topic.

 Key Highlights:

  • Expense Report Dishonesty and Wrongful Termination
  • Citibank’s Expense Report Policy and Trust
  • The Consequences of Ethical Breaches
  • The importance of trust and ethical enforcement

 Resources

Matt in Radical Compliance

Jane Croft in the FT

Pilita Clark in the FT

Tom 

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SBR - Authors' Podcast

SBR Authors Podcast: Adam Balfour on Ethics and Compliance for Humans

Welcome to the Sunday Book Review, the Authors Podcast! Don’t miss out on this episode of SBR-Author’s Podcast, where Tom sits down with Adam Balfour on his book Ethics & Compliance for Humans.

Adam Balfour, a Scottish-born compliance professional, has been leading the compliance program for the Americas region at Bridgestone. Balfour strongly believes in the importance of ethics, compliance, and leadership within organizations, arguing that these elements can significantly contribute to financial success. He likens the role of ethics and compliance professionals to soccer midfielders, who defend and support the team’s growth. Balfour’s perspective is shaped by his experiences and passion for ethics and compliance, leading him to write a book titled “Ethics & Compliance for Humans,” providing valuable resources for compliance professionals. Join Tom Fox and Adam Balfour on this episode of the SBR-Author’s Podcast as they delve deeper into these topics.

Key highlights include:

  • The Duality of Human Nature
  • The Importance of Guiding Employees Ethically
  • Humanizing Compliance Programs: Building Ethical Relationships
  • Engaging Compliance Training through Pop Culture
  • Navigating Ethical Dilemmas in the Workplace
  • The Role of a Unifying Purpose Leader

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Adam Balfour on Ethics & Compliance for Humans

I recently sat down with Adam Balfour, author of Ethics and Compliance for Humans. We had a great conversation about his book and the importance of ethics, compliance, and organizational leadership. In addition to a book aimed directly at the Chief Compliance Officer (CCO) and compliance professionals, Balfour emphasized that these principles extend beyond legal backgrounds and encompass various aspects such as sales, marketing, leadership, and culture.

I began by asking Balfour why he wrote the book. He said that it was a goal he had set for himself for some time, wanting to write this book. Further, it has been in the works for quite a few years. Towards the end of last year, Sarah Haddon, publisher of Corporate Compliance Insights, started talking, and it came to life then. Once he had more thoughts and a vision, the book seemed to come together for him. Balfour said that the writing process was a lot of fun, so I also enjoyed that part of the experience. Equally importantly, as a first-time author, Sarah and her team made the process painless and enjoyable.

One of the key takeaways was the role of leaders in promoting ethics and compliance within organizations. Balfour highlighted the need for practical guidance to help leaders effectively navigate ethical dilemmas and ensure that their responsibilities are performed. He emphasized the importance of moving past the perception that ethics and compliance are solely about laws, rules, and regulations. Instead, Balfour suggested that the focus should be on helping guide employees with good intentions to achieve positive outcomes.

We also addressed the challenge of managing negative brand perceptions and humanizing compliance programs. Balfour acknowledged that compliance can sometimes put people in awkward positions, such as when dealing with gifts and entertainment. However, he encouraged organizations to lean into the awkwardness and guide employees on navigating these situations effectively.

One exciting idea that Balfour introduced was the use of pop culture in compliance training to make it more relatable and engaging. By incorporating elements from popular culture, organizations can create a more accessible and enjoyable learning experience for employees.

Balfour also discussed the importance of considering the impact on individuals when making decisions about ethics, compliance, and leadership. He emphasized that there are real human stories and experiences behind the data and metrics. It is crucial not to lose sight of the fact that people are involved and that their experiences can significantly impact their lives and well-being. By incorporating these human stories, Balfour believes that ethics and compliance become more relatable and meaningful to employees.

Balfour highlighted the value that a practical ethics and compliance program can bring to organizations. It goes beyond avoiding fines and penalties or negative headlines. An effective program can contribute to increased return on assets, fewer material lawsuits, and lower settlement amounts. Balfour compared ethics and compliance professionals to midfielders in soccer, playing a crucial role in defense and supporting the organization’s growth.

The book’s main text ends with Balfour calling for a change from a CCO designation to a Chief Purpose Officer. He explained that the concept is something he has been thinking about for some time. There are many different areas and organizations today that he believes are too siloed. He listed ESG, which I think is going through a lot of change and transformation right now. DEI and others, but he drove home the point that “it’s really how you think about what your organization’s purpose is and bringing those functions together under a Chief Purpose Officer.” Further, this Chief Purpose Officer “should have a central place in the C-Suite, helping ensure that the organization stays true to its stated purpose.

He called out Patagonia as an example of a company that is very committed to its purpose. Using the model of Patagonia, which does not have a designated Chief Purpose Officer, leading him to believe “it may not be necessary to create a standalone position.” But “in other organizations, having this idea of a Chief Purpose Officer that supports the CEO supports the CFO in delivering their results. It helps ensure that the organization truly obsesses about its purpose and conducts business correctly and appropriately.”

After the main text ends, Balfour includes excellent resources for every compliance professional. He listed out ways you can tell stories about successful ethical victories from your organization’s history; provides ethics questions and issues inspired by Star Wars; lists some raps and the basic laws of anti-trust; lays out the Speak Up Habit loop; lists specific tactics for bringing compliance into the employee interview process; informs us how Booth’s Law #2 applies to ethics and compliance; and details how to obtain a commitment from newly minted leaders in your organization.

Adam Balfour highlighted the importance of ethics, compliance, and leadership in organizations. Balfour emphasized the need for leaders to go beyond legal thinking and consider various aspects such as sales, marketing, and culture. The episode also highlighted the challenges associated with ethics and compliance, including addressing negative brand perceptions and navigating awkward situations. Organizations can create a more meaningful and effective approach to ethics and compliance by humanizing compliance programs and considering the impact on individuals. I hope you will purchase a copy of Ethics & Compliance for Humans and incorporate its concepts into your compliance program.

Check out Ethics & Compliance for Humans here.

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31 Days to More Effective Compliance Programs

One Month to a More Effective Compliance Program Through Innovation: Day 15 – Leveraging AI in Compliance Investigations

The 2023 ECCP provided clear-cut criteria regarding effective compliance investigations. Unfortunately, many compliance teams fail to promptly substantiate most of the reports they investigate, partly due to their inability to quickly and easily find the evidence they need, especially about harassment and misconduct cases. He stated, “This doesn’t just demonstrate a fundamental lack of effectiveness from the DOJ’s perspective, but a long-term organizational risk that goes well beyond any individual allegation of misconduct.” The reason is not simply legal but also operational. If substantive allegations are indeed violations, they could continue, exacerbating the problem(s) and lengthening the time of legal liability.

All of this is particularly significant in light of the industry research that shows many compliance investigations today are unsubstantiated and can take over 40 days from start to finish. The ability of AI to find and analyze data from the web and social media in this automated fashion will be able to overcome some of those challenges in terms of length of time and overall scope of the investigation. Finally, always remember data preservation. The regulators always want to know if you have the documents and data tied down. This allows a company to have confidence in its papers and, in turn, can make such representations to regulators and prosecutors that the documents are secure. In other words, Document, Document, and Document. 

Three key takeaways:

  1. AI is an appropriate tool for supplementing investigations.
  2. AI can look at large bodies of social media data.
  3. AI can help you decrease your investigation length.

For more information, check out The Compliance Handbook, 4th edition, here.

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Blog

The Importance of Tailored Policies for Compliance and Risk Management

In compliance and risk management, one size does not fit all. Generic policies and procedures may seem convenient but can lead to compliance risks and potential harm. This is why the Securities and Exchange Commission (SEC) stresses the need for well-designed, tailored policies and procedures in areas such as anti-money laundering (AML) and cybersecurity.

In a recent “Compliance into the Weeds episode,” Tom Fox and Matt Kelly highlighted the importance of tailored policies for compliance, and risk management was discussed in detail. They discussed the case of Deutsche Bank, where the SEC imposed sanctions due to faulty policies. The bank had taken generic policies not specific to their mutual fund obligations and declared them their AML program. This cut-and-paste approach led to compliance risks and inconsistencies that caught the attention of regulators.

The case also serves as a reminder of the potential consequences of misleading marketing practices without proper procedures. The SEC sanctioned DWS $25 million for failures around ESG disclosures and a poor AML program. In both instances, faulty policies and procedures were identified as the root cause of the compliance failures.

The key takeaway from this case is that companies should conduct risk assessments and gap analyses to identify their specific needs and design appropriate policies. A good risk assessment is the foundation for crafting effective policies and procedures. It helps organizations understand their risks, evaluate their controls, and determine the necessary steps to mitigate them.

The impact on employees when designing policies and procedures should be considered. Simply copying and pasting language from regulations without considering the organization’s unique structure, technology, and transactions can lead to confusion and compliance risks. Employees need clear guidance on their duties and responsibilities; generic policies do not provide that clarity.

Compliance officers should create policies and procedures tailored to their organization’s needs and risks to avoid compliance risks and potential harm. Considering the organization’s specific circumstances, resources, and capabilities requires a thoughtful approach. It also requires regular risk assessments, gap analyses, and monitoring of policy effectiveness.

How to do so? The 2020 FCPA Resource Guide, 2nd edition, provided guidance. It stated, “When assessing a compliance program, DOJ and SEC will review whether the company Guiding Principles of Enforcement has taken steps to ensure that the Code of Conduct remains current and effective and whether a company has periodically reviewed and updated its Code.” [emphasis supplied] Some of the questions you should consider are:

  • When was the last time your policies and procedures were released or revised?
  • Have there been changes to your company’s internal controls since the last revision?
  • Have there been changes to relevant laws relating to a topic covered in your company’s policies and procedures?
  • Are any of the policies and procedures outdated?
  • What is the budget to create/revise your policies and procedures?

After considering these issues, you should benchmark your current policies and procedures against other companies in your industry. If you decide to move forward, I suggest a process that can be fully documented to include revisions to your compliance policies and procedures.

Get buy-in from the senior leadership of your company. Your company’s highest level must mandate revising compliance policies and procedures. The CEO, GC, CCO, or all three should demand this effort. Whoever gives the order should be consulted at every step of the revision process of the policies and procedures if it involves a change in the direction of key policies.

Establish a core policies and procedures revision committee. It would be best if you had a cross-functional working group that would be ideal to advance your effort to revise your compliance policies and procedures. This group should include representatives from the following departments: legal, compliance, communications, and HR; there should also be other functions that represent the company’s domestic and international business units. Finally, there should be functions within the company described, such as finance and accounting, IT, marketing, and sales.

From this large group, the topics can be assigned for initial drafting to functions based on their relevance or necessity. These functions would also solicit feedback from their functional peers and deliver a final, proposed draft to the Drafting Committee. You must establish a timetable for the revision process and hold representatives accountable for meeting their revisions.

Conduct a thorough technology assessment. The cornerstone of the revision process is how your company captures, collaborates, and preserves all the comments, notes, edits, and decisions during the entire project. In addition to using technology to revise your compliance policies and procedures, you should determine if they will be available in hard copy, online, or both. There must be a distribution plan, mainly if the Code and compliance policies and procedures are only available in hard copy.

Determine translations and localizations. The 2020 FCPA Resource Guide clarified that your compliance policies and procedures must be translated into the local language for your non-English speaking workforce. The key is that your employees have the same understanding of the compliance policies and procedures regardless of the language.

Develop a plan to communicate the revised policies and procedures. A rollout is always critical because the revised policies and procedures must be communicated to encourage employees to review and use the policies and procedures on an ongoing basis. Your company should use the whole armor of available tools to publicize the revised compliance policies and procedures. This can include a multi-media approach or handing out a copy to all employees at a designated time. You might consider having a company-wide compliance policies and procedures meeting where the new or revised documents are rolled out across the company all in one day. But remember, with all things compliance, the three most important aspects are “Document, Document, and Document.” However, when you deliver the new or revised policies and procedures, you must document that each employee received them.

Stay on target and budget. It would be best if you worked to set realistic expectations to stay on deadline and within your budget. This is equally applicable to your policies and procedures revision. Also, remember to keep a close watch on your budget so you do not exceed it.

These points are a valuable guide to not only thinking through how to determine if your policies and procedures need updating but also practical steps on how to tackle the problem. You should begin the process now if it has been more than five years since the last updates. It is far better to review and update if appropriate than wait for a massive FCPA investigation to go through the process.

There are tradeoffs involved in balancing different factors when designing policies and procedures. Compliance officers need to consider the organization’s staffing, technology, review processes, and the need for human intervention in automated systems. Insufficient resources and inconsistent procedures can lead to compliance gaps and backlogs, increasing the organization’s exposure to compliance risks.

In conclusion, the importance of tailored policies for compliance and risk management cannot be overstated. Generic policies may seem like a quick fix, but they can lead to significant compliance risks and harm. Compliance officers should conduct risk assessments, identify specific needs, and design policies and procedures that address those needs. Employee understanding and guidance are crucial, and policies should be regularly assessed, monitored, and updated as necessary. By taking a tailored approach to compliance and risk management, organizations can minimize their exposure to compliance risks and protect themselves from potential harm.