The Conference Board

 


Ethics & Compliance Criteria in Government Enforcement Decisions

Since the establishment of the Organizational Sentencing Guidelines in 1991, company ethics and compliance (E & C) programs have focused primarily on preventing and detecting wrongful corporate and employee conduct, and mitigating potential fines and other penalties for misconduct through the demonstration of program effectiveness. Despite the Guidelines' 15-year history and several benchmarking studies on company ethics and compliance programs, no large-scale research has been conducted to determine how prosecutors and other enforcement personnel use information regarding E & C program effectiveness. This information — if obtained and analyzed — would be an invaluable resource for companies seeking practical guidance on designing and implementing effective E & C programs. It would also serve as a reliable indicator of the tangible benefits of developing an effective E & C program.

Previously, no large scale research has been conducted in the Organizational Sentencing Guidelines’ 15-year history. The Conference Board® Research Working Group on Ethics and Compliance Criteria Use in Government Enforcement Decisions will create a searchable database of federal, state, and local cases — and also cases from other countries with E&C related laws — where E & C program effectiveness had an impact on the decision to bring charges or on sentence severity. Program attributes to be assessed include:

  • board of directors' oversight
  • senior management engagement
  • risk prioritization and assessment
  • training and communications
  • compensation/incentives
  • application of E & C programs to new risk areas, (e.g., sales, marketing)
  • extension to third parties, such as agents and joint venture partners

Issues on the Table:

  • Identify ethics and compliance program elements that are viewed favorably by enforcement agencies.
  • Understand how, from the perspective of prosecutors and regulators, E & C programs commonly fail.
  • Motivate boards and management to institute effective E & C programs.
  • Encourage governmental bodies to provide strong incentives for effective E & C programs.
  • Assist group members in ensuring that their own E&C programs meet developing governmental expectations in this high-stakes area.

Benefits of participation:

  • Work with Conference Board researchers to design and develop studies and guidelines that will produce vital research for ethics program design, implementation, and monitoring for effectiveness.
  • Learn from outside experts new research findings and case studies in three face-to-face and three virtual meetings.
  • Take part in confidential sessions with your peers to resolve common challenges.
  • Exchange experiences, ideas, and insights with peers from leading edge companies.
  • Contribute to The Conference Board's highly respected Ethics Program of research reports, surveys, conferences, webcasts and Executive Action online briefs.

Note: This Working Group is closed - Report Pending

For additional information, contact:

Ronald E. Berenbeim
Working Group Leader
Tel +1 212 339 0352
ronald.berenbeim@conference-board.org

Jeffrey Kaplan
Working Group Researcher
Tel +1 609 375 2350
jeffrey.kaplan@conference-board.org

Download Full Description (pdf)

For more information please contact:
Cindy Moy
cindy.moy@conference-board.org
1 212 339 0427

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