COMPLIANCE & RISK / The Challenges of ABAC Compliance in the Supply Chain: From Due Diligence to 3rd-Party Audit

Excerpt from session:

For most companies, ABAC policies and procedures represent the core of their Ethics & Compliance management systems/programs. Their design and deployment is heavily influenced by the regulatory frameworks applying to the companies themselves and their international suppliers and other partners. FCPA and UK Anti-Bribery Act are the most common regulatory pillars, but are far from being the only ones.

Contrary to the myriad of regulations, standards, and guidelines, corruption and bribery remain a constant threat throughout the supply chain: from petty corruption (e.g., paying a small bribe to the Labour Inspector to overlook the safety violations) to political donations (e.g., paying for campaign expenses in exchange for protection from enforcement agencies) or occupational fraud (e.g., hiring on paper the son of a mayor in order to obtain building permits).

The focus of this presentation is on the complexity of the ABAC compliance and the challenges associated with a widespread supply chain. The central question is what can a company effectively do in order to reduce the level of risks concerning corruption and bribery in the supply chain?

Main Takeaways:

  • Gaps in ABAC Compliance Related to Supply Chains
  • The Role of the Organizational Risk Appettite in the ABAC Compliance
  • How to Increase the Effectiveness of ABAC Compliance in Supply Chains