ECI in the News

  • New report offers risk profile of ‘supplier employees’
    Compliance Week, January 24, 2017

    Ethics and compliance officers have a new resource by which to assess potential risks that may lurk in their supply chains. The Ethics and Compliance Initiative (ECI) last month published its “Global Business Ethics Survey (GBES), Ethics and Compliance Risk in the Supply Chain,” which offers a rare look at supply chain risk through the lens of supply firm employees.

  • Wall Street Journal Risk & Compliance Survey Roundup: Outsourcing Raises Compliance Risks
    Wall Street Journal, December 19, 2016

    Extended supply chains and the “gig economy” are here to stay but both trends engender risks from being at arm’s length from the core business. A survey on supply chain ethics and compliance by the Ethics & Compliance Initiative, a standards and research organization, and advisory firm FTI Consulting finds a significantly higher observation of misconduct by employees among supplier companies than non-suppliers, and also a much higher proportion of workers who were pressured to bend the rules.

  • Wall Street Journal Risk & Compliance Survey Roundup
    Wall Street Journal, December 16, 2016

    A survey by FTI Consulting and the Ethics & Compliance Initiative of employees found 42% whose companies make extensive use of third-party suppliers and contractors said they had witnessed misconduct on the job, compared to 28% who saw wrongdoing at non-supplier companies.

  • Why Ethical People Make Unethical Choices
    Harvard Business Review, December 16, 2016

    Corporate ethical failures have become painfully common, and they aren’t cheap. In the last decade, billions of dollars have been paid in fines by companies charged with ethical breaches. The most recent National Business Ethics Survey indicates progress as leaders make concerted efforts to pay holistic attention to their organization’s systems. But despite progress, 41% of workers reported seeing ethical misconduct in the previous 12 months, and 10% felt organizational pressure to compromise ethical standards.

  • Local nonprofits add safeguards against fraud
    Beaumont Enterprise, December 6, 2016

    Pat Harned, chief executive officer at the Ethics and Compliance Initiative researching workplace integrity, said that nonprofits have a bigger risk because they lack the internal controls of for-profit concerns.

  • Integrating ethics in the workplace
    The Manila Times, October 27, 2016

    This year, the Ethics & Compliance Initiative (ECI) conducted and released its first Global Business Ethics Survey. ECI is a leader in ethics and compliance research; it provides networking opportunities, and certification to its members. In the Global Business Ethics Survey, it investigated workers’ experiences with ethics in the workplace, using four metrics: Pressure to compromise organizational standards; Observed misconduct; Reporting misconduct when observed; and Retaliation against reporters.

  • The L’Oréal Group’s ethics policy: a first for Europe
    L’Oréal, The Monthly Digest, October 2016

    In January 2016, Emmanuel Lulin, Senior Vice President & Chief Ethics Officer of L’Oréal, became the first European senior executive to receive the Carol R. Marshall award for Innovation in Corporate Ethics. Read on to learn about his strategy to make L’Oréal a global model in corporate ethics.

  • Regulators Need to Walk the Walk in Supporting Whistleblowers
    American Banker, October 6, 2016
    As Congress has held hearings about the unfolding Wells Fargo scandal, several lawmakers have been particularly outraged by claims from numerous former employees that they faced retaliatory firing after trying to stop the improper practices by complaining to bank managers, human resources and compliance staff. 

  • What Boards Should Look for in Corporate Ethics and Compliance Programs
    National Association of Corporate Directors, August 23, 2016

    One of the board‘s key responsibilities is the oversight of a company’s conduct, including the strength of its culture and the effectiveness of its ethics & compliance (E&C) program. In recent years, that responsibility has become even weightier. Recent corporate scandals, such as Volkswagen, Unaoil, and Mitsubishi Motors, have created public skepticism about business ethics, and policy makers have responded with a new emphasis on accountability for both companies and responsible individuals, including directors who are either negligent in preventing fraud or willingly participate in it. Enforcement agencies now scrutinize a company’s E&C efforts before making prosecutorial decisions by inquiring about board oversight in the company’s approach to E&C.

  • To really improve corporate culture, it must be measurable
    Compliance Week, August 22, 2016

    Douglas W. Hubbard, who developed Applied Information Economics as a practical application of scientific and mathematical methods to complex decision making, goes out further on a limb when it comes to measurement.

    According to Mr. Hubbard: “Anything can be measured. If something can be observed in any way at all it lends itself to some type of measurement method.

  • Drawing Lessons from the VW Debacle 
    Human Resource Executive, August 1, 2016

    Before you shake your head in disbelief at how badly scandal-damaged Volkswagen must have been managed, you might want to first ask yourself a few questions to ensure that your organization has the mechanisms in place to avoid a similar fiasco.

  • Have Global Compliance Problems? You're Not Alone, June 9, 2016

    Companies operating in Brazil, India and Russia face heightened ethics and compliance risks, according to a global survey of 13 countries.

    The 2016 Global Business Ethics Survey, released Thursday by the Ethics & Compliance Initiative (ECI), revealed that more public- and private-sector workers in Brazil, India and Russia reported seeing misconduct and experiencing pressure to compromise standards than their counterparts in 10 other participating countries. Feeling pressure to compromise standards is considered a warning sign of potential future workplace misconduct, the study’s researchers said.

  • What the Data Shows: A Global View of Workplace Integrity
    Ethisphere, June 9, 2016

    Often, new business challenges emerge when companies start taking advantage of growth opportunities in different markets. Whether it’s uncovering a new breed of corruption or third party oversight, companies are continuously faced with a myriad of risks. In countries such as Brazil, India, and Russia, for example, workplace integrity remains at an all-time low and employees are feeling pressured to compromise ethical standards at the cost of business, says a new report by the the Ethics & Compliance Initiative (ECI).

  • New report: Promoting workplace integrity globally
    Compliance Week, June 9, 2016

    Ethics and compliance officers seeking more guidance on how to achieve and promote workplace integrity—doing what’s right in a professional context—now have a new, first-of-its-kind benchmark report at their fingertips, released today by the Ethics & Compliance Initiative.

  • People Do Really Bad Things At Work Because Their Companies Tell Them To
    Fast Company, June 9, 2016

    If you witnessed ethical misconduct at work last year, you're not alone. Across the world, large numbers of people report seeing workplace bribery, lying, cheating, and verbal abuse, a new poll finds.

  • The Most Ethical (And Unethical) Countries To Do Business In
    Forbes, June 9, 2016

    What do Japan, Spain and Germany have in common? And what do Russia, Brazil and India have in common?

    They’re at the top and bottom, respectively, of a new global survey.

  • Giving Boards Balance as Regulatory Demands Grow
    New York Times, May 20, 2016

    A germinal governance issue for many regulated companies is not whether their boards should be spending more time on compliance issues, but rather that they should be spending less time.

    It is an emotional reaction to the unceasing public policy, regulatory and media focus on corporate compliance — and the extent to which compliance matters are consuming the boards’ agendas, to the potential detriment of governance effectiveness.

  • 6 Milestones That Continue To Shape Corporate Compliance
    Law 360, May 12, 2016

    Compliance officers are vital corporate leaders in just about every organization of a certain size or industry, but just a few decades ago they — and the programs they lead — were virtually nonexistent. Here, experts discuss how compliance rose to prominence in corporate America and the recent developments that give us a preview of where it’s headed.

  • New gold standard for ethics and compliance programs
    Compliance Week, May 3, 2016

    For years, ethics and compliance officers have turned to the U.S. Sentencing Guidelines, and other similar frameworks, to inform their ethics and compliance programs to prevent and detect violations of law.

  • How to make your compliance programme the best it could be
    April, 26, 2016

    According to a new, and well researched report from ECI, there are five core purposes behind any really effective compliance program, regardless of the industry sector. These purposes are “beyond compliance”, that is they are not confined to a mere “tick box” approach.

  • What All Good Compliance Programs Have in Common
    April, 25, 2016

    A first-of-its-kind report released April 25 offers a road map for creating high-quality compliance programs, no matter the company's size.

  • Insiders Break Down The Compliance Program Done Right
    April, 25, 2016

    The hallmarks of a top-notch corporate ethics and compliance program are organization-wide leadership, integration and accountability, according to a new report written by compliance officers, law firm partners and former U.S. Department of Justice officials examining what companies should aim for in their program.

  • Developing a High-Quality E&C Framework in a Changing Landscape
    April, 25, 2016

    Establishing and implementing a robust Ethics and Compliance (E&C) program remains a key issue that many leaders face. Regardless of its sector or size, the landscape in which companies operate is evolving and despite the layers of complexities it presents, leaders want to ensure that their business is being done in the right way. While some companies strive to go beyond hitting the bare minimum regulatory standards, the truth is there are fundamental characteristics that contribute to high-quality ethics and compliance programs.

  • How to Create a Top-Notch Compliance Program
    April, 25, 2016

    A report released Monday by the Ethics and Compliance Initiative aims to provide a roadmap for companies looking to develop an ethics and compliance program that moves beyond the bare minimum requirements of the U.S. Department of Justice’s sentencing guidelines. The report was prepared by a panel of chief compliance officers, former regulators and lawmakers and other thought leaders in the area of ethics and compliance.

    The report lays out five key tenets found in what the authors considered the best and most high-quality ethics and compliance programs.

  • Bentley on Bloomberg: Why Ethics Matter for Companies And College Students
  • Cross the Boss
  • July 24, 2015

    Hugh (whose name has been changed to protect his identity) was employed as a manager for a San Francisco nonprofit—until he reported negligence and theft on part of his supervisor and co-workers. Shortly after, he was laid off as “a cost-saving measure due to the charity’s sudden loss of an income stream,” although he believes he was retailed against by his employer.

  • July 22, 2015
    Bozeman Daily Chronicle

    How does Bozeman’s 350-employee city government do when it comes to ethical conduct?

    A study by a Montana State University researcher seeking to answer that question, presented to city commissioners this week, turned up some good news — and also some findings that city leaders say shows there’s room for improvement.

  • April 21, 2015

    Financial reporting fraud is relatively rare, but it remains a serious challenge. Research from the Committee of Sponsoring Organizations of the Treadway Commission (COSO) has indicated that the median cumulative monetary loss resulting from instances of this type of fraud is around $12 million.[1]

  • March 12, 2015

    It might seem as though what you do outside the office doesn't affect how people in the firm see you as a leader. But it turns out your personal character plays a huge role in your ability to lead an organization with integrity. 

  • February 20, 2015
    Washington Post

    According to the Ethics Resource Center, each year almost half of U.S. employees report witnessing unethical or illegal behaviors in their workplaces. The costs of these lapses in ethics can be costly both in terms of financial metrics (fines for fraud, bankruptcies, etc.) and employee morale. Also, according to the Great Place to Work Institute report in 2012, the stock price growth of the 100 firms with the most ethical cultures outperformed stock market and peer measures by almost 300 percent.

  • February 20, 2015

    What do employees, in the aggregate, think about the ethics of business leaders?  As a former executive, I always felt, when I was in the corporate world, that this question was an intriguing one.  A reasonably perceptive observer couldn’t help but notice that while many leaders were exemplary role models that employees naturally wanted to follow, others took advantage of their positional power and seemed to be chronically above the rules they asked others to play by.

  • February 9, 2015
    International Business Times

    For seven years, Hervé Falciani was on the lam, playing cat-and-mouse with Swiss police as he hopped surreptitiously across European borders. He drove rented cars and wore eccentric disguises, fancying himself a sort of James Bond-style operative. He found strategic allies among French and Spanish authorities and reportedly courted the U.S. Department of Justice before being arrested in Barcelona in 2012.

  • August 15, 2014
    Inside Counsel

    Some 21 percent of employees who reported misconduct faced retaliation

    There is a renewed effort to clarify the protections given to corporate whistleblowers by the Government Accountability Project (GAP) and the Labaton Sucharow law firm.

    The project has asked the Securities and Exchange Commission (SEC) to clarify rules on how corporations could silence whistleblowers via confidentiality agreements and other methods.

  • August 7, 2014
    JDSupra Business Advisors

    A recent blog post by Ethics Resource Center  President Pat Harned, reported on findings from the ERC 2013 National Business Ethics Survey (NBES) of significantly more observed misconduct in companies that are under stress during mergers, acquisitions and organizational restructurings. The survey found that companies undergoing change, on average, had a 21.5 percent increase in observed misconduct.

  • August 4, 2014

    On July 30, 2014, David W. Ogden, former Deputy Attorney General of the United States and current partner with WilmerHale, urged Congress to amend the False Claims Act while testifying before the U.S.

  • Risky Business: Millennials At Work

    August 1, 2014
    Chief Learning Officer

    I’m a rule follower. I color between the lines, follow a schedule, know my boundaries. But that’s unusual for my generation. An Ethics Resource Center report on generational differences in workplace ethics found that millennials are the most at-risk generation in today’s workplace. I believe it. Gen Y take big risks in their personal and professional lives (but not financially). They’re entrepreneurial daredevils.

  • 4 ways to stop whistleblowers before they become whistleblowers
    As the government makes it easier for hospital employees to report fraud and quality issues, and social media gives disgruntled employees an outlet to air dirty laundry, hospitals must work with employees to make them feel comfortable addressing concerns internally, Hospitals & Health Networks reported.