A message to GRC professionals.
There are many similarities between the 2012 Olympic Games and the way some US companies are governed. Indeed, there are a few things governance, risk and compliance (GRC) officers could learn from the Olympics.
It’s been a week since the historic opening ceremony in London and already there have been plenty of winners and losers. But in just 10 days the flames will be extinguished and the hype will start to fade. For some, however, Olympics fever will linger.
With athletes from around the world gathered in one place, organization committees must ensure all sports are played in a fair manner. According to Sonia Jaspal, an India-based risk management expert, the planning and execution of the Olympic games requires an intense process being undertaken in advance to ensure everything runs smoothly.
‘In comparison to companies, risk managers, compliance and ethics officers, fraud investigators and internal auditors tend to work in silos to protect their own turf,’ says Jaspal. ‘To build an ethical or risk culture, the foundation has to be laid and each brick put in its place to deal with the present day complexities of the business environment.’
Employees are like the athletes. GRC professionals spend a lot of time molding and training professionals to excel in their responsibilities. Similarly, a dedicated coach will guide and train top athletes for years before they are ready to enter the Olympics. ‘Business teams must be trained and coached regularly to stay ethical and effectively manage risks. Athletes need so much physical training to win; business managers require an equivalent amount of moral training to operate effectively.’
But in both cases the notion of fair play remains important. In an effort to promote an ethical playing field, regulators have tightened their grip on corporate misconduct. It has been reported that this year, because of tougher laws, sales of high-end Olympic tickets have plunged. According to a joint study by the Society of Corporate Compliance and Ethics (SCCE) and the Health Care Compliance Association (HCCA), in this new regulatory era most organizations restrict the gifts employees can give and receive and the extent to which they can entertain others. That’s because such activities can be construed as forms of bribery.
The study says 22 percent of the companies polled reported a ban on entertaining customers. The numbers for publicly traded companies were much lower, at 16 and 10 percent.
Olympics coverage: earning a gold medal in ethics
A message to GRC officers
There are many similarities between the 2012 Olympic Games and the way some US companies are governed. Indeed, there are a few things governance, risk and compliance (GRC) officers could learn from the Olympics.
It’s been a week since the historic opening ceremony in London and already there have been plenty of winners and losers. But in just 10 days the flames will be extinguished and the hype will start to fade. For some, however, Olympics fever will linger.
With athletes from around the world gathered in one place, organization committees must ensure all sports are played in a fair manner. Jaspal notes that the planning and execution of the Olympic games requires an intense process being undertaken in advance to ensure everything runs smoothly.
‘In comparison to companies, risk managers, compliance and ethics officers, fraud investigators and internal auditors tend to work in silos to protect their own turf,’ says Jaspal. ‘To build an ethical or risk culture, the foundation has to be laid and each brick put in its place to deal with the present day complexities of the business environment.’
Employees are like the athletes. GRC professionals spend a lot of time molding and training professionals to excel in their responsibilities. Similarly, a dedicated coach will guide and train top athletes for years before they are ready to enter the Olympics. ‘Business teams must be trained and coached regularly to stay ethical and effectively manage risks. Athletes need so much physical training to win; business managers require an equivalent amount of moral training to operate effectively.’
But in both cases the notion of fair play remains important. In an effort to promote an ethical playing field, regulators have tightened their grip on corporate misconduct. It has been reported that this year, because of tougher laws, sales of high-end Olympic tickets have plunged. According to a joint study by the Society of Corporate Compliance and Ethics (SCCE) and the Health Care Compliance Association (HCCA), in this new regulatory era most organizations restrict the gifts employees can give and receive and the extent to which they can entertain others. That’s because such activities can be construed as forms of bribery.
The study says 22 percent of the companies polled reported a ban on entertaining customers. The numbers for publicly traded companies were much lower, at 16 and 10 percent.
