Mitigating the Risks of Corruption Through Collective Action

Abstract

Corporate anti-corruption compliance programs are usually modified in response to internal and external developments to meet regulatory requirements and to be seen as being ‘dynamic’, but despite this they have yet to solve some of the more difficult corruption issues that still persist, even after decades of law enforcement. Collective Action provides a means to address the wider context of corruption risks by bringing together competitors as well as other market participants and stakeholders to seek common ground to reduce corruption. Companies should use their anti-corruption risk assessments systematically to identify where multi-stakeholder approaches could be used to tackle corruption risks more comprehensively, because risk assessments involve the business as well as compliance. The outcome would be a shift towards business driven integrity, and away from reactive and imposed anti-corruption compliance programs. Establishing a successful Collective Action takes time, trust and a skilled facilitator to ensure the goals are reached and all stakeholders commit to the agreement and take a long-term view.