1
What Small And Medium Sized Businesses Need To Know About Compliance Real Life Example: The Cost Of Failure Top 5 Offenses It’s Not Just The Company Proactive Action Mitigate The Risks A small manufacturing company with < 200 employees pleaded guilty to export violations Fines/Penalties 5% of annual revenue Restitution Independent Monitorship Compliance Reform Dangers of New Sanctions/Charges During Probation Period Year Probation Requirements Collateral Damage Brand/Reputation Issues Debarment/Disqualification Employee Retention Effects Hidden Costs Attorney/Professional Fees Investigation Costs Lost Opportunity Costs Required Compliance $$ Environment | Fraud | FDA | Antitrust | Import/Export at least one individual co-defendant are high-level officials Nearly A targeted, well-resourced ethics and compliance program is just a fraction of the cost of a compliance failure and delivers results in lower misconduct instances and higher detection rates. In 2013, Companies With A Strong Ethical Culture Were Much Less Likely To Experience Misconduct. % of employees observed misconduct Fundamental Cost-Effective High Quality Compliance Training Solution Find out more and join us for a complimentary webinar. http://bit.ly/1qpDxZb RESOURCES: United States Sentencing Commission, 2011-2012 Datafiles, USSCFY11-USSCFY12. 2011 NBES Survey, Ethics Resource Center. https://www.adp.com/tools-and-resources/adp-research-institute/insights/insight-item-detail.aspx?id=270D6830-CB20-4CA9-A566-ADF1897F7E91. United States Sentencing Commission, 2012 Sourcebook of Federal Sentencing Statistics. The Environmental category includes the following offense types: Environmental-Water Pollution, Environmental-Air Pollution, Environmental-Hazardous/Toxic Pollutants, and Environmental-Wildlife. Intercontinental Exchange owns and maintains the copyright and intellectual property in the materials presented in this brochure. Any unauthorized use of the material is prohibited. ©2014 Intercontinental Exchange All Rights Reserved More Than have experienced unintended expenses in the last 12 mo. related to noncompliance 1/3 2009-2012 of all organizational convictions were companies with < 1000 employees 90% $2M 4 50.8% Half Core Compliance Training 88% 20% Weak Culture Strong Culture Avoid The Regulator’s Hammer

Core Compliance Training for Small and Medium Sized Businesses

Embed Size (px)

Citation preview

What Small And MediumSized BusinessesNeed To KnowAbout Compliance

Real Life Example:The Cost Of Failure

Top 5 Offenses It’s Not JustThe Company

Proactive Action Mitigate The Risks

A small manufacturing company with < 200 employees pleaded

guilty to export violations

Fines/Penalties

5% of annual revenue

RestitutionIndependent MonitorshipCompliance ReformDangers of New Sanctions/Charges During Probation Period

YearProbationRequirements

Collateral DamageBrand/Reputation IssuesDebarment/DisqualificationEmployee Retention Effects

Hidden CostsAttorney/Professional FeesInvestigation CostsLost Opportunity Costs

Required Compliance $$

Environment | Fraud | FDA | Antitrust | Import/Exportat leastone individualco-defendant

are high-levelofficials

Nearly

A targeted, well-resourced ethics and compliance program is just a fraction of the cost of a compliance failure and delivers results in lower misconduct instances and higher detection rates.

In 2013, Companies With A Strong Ethical Culture Were Much Less Likely To Experience Misconduct.

% of employees observed misconduct

FundamentalCost-EffectiveHigh QualityComplianceTraining Solution

Find out more and join us for a complimentary webinar.

http://bit.ly/1qpDxZb

RESOURCES: United States Sentencing Commission, 2011-2012 Datafiles, USSCFY11-USSCFY12. 2011 NBES Survey, Ethics Resource Center. https://www.adp.com/tools-and-resources/adp-research-institute/insights/insight-item-detail.aspx?id=270D6830-CB20-4CA9-A566-ADF1897F7E91. United States Sentencing Commission, 2012 Sourcebook of Federal Sentencing Statistics. The Environmental category includes the following offense types: Environmental-Water Pollution, Environmental-Air Pollution, Environmental-Hazardous/Toxic Pollutants, and Environmental-Wildlife.

Intercontinental Exchange owns and maintains the copyright and intellectual property in the materials presented in this brochure. Any unauthorized use of the material is prohibited. ©2014 Intercontinental Exchange All Rights Reserved

More Than

have experienced unintended expenses in the last 12 mo. related to noncompliance

1/32009-2012

of all organizational convictions were companies

with < 1000 employees

90%

$2M4

50.8% Half

CoreComplianceTraining

88%

20%Weak

CultureStrongCulture

AvoidThe Regulator’s Hammer