RECOMMENDATION FOR COMPANIES TO REPORT CORRUPTION CASES IN COLOMBIA

Any company can be confronted with internal corruption. When this occurs, one of the main concerns is the impact it can have on reputation. Moreover, eliminating this risk completely is impossible, since it largely depends on factors beyond the control of a company, such as management of authorities and media coverage. However, like any other risk, it can be reduced.

The main tool toward achieving this is to accurately report the facts to authorities. Covering up the situation is not only unethical, but inconvenient. The way to convey the particulars of a case depends to a large extent on its specific nature, as well as the legislation of the jurisdictions involved. Nonetheless, there are some practical issues that companies can consider to help avoid reputational damage – recommendations that may seem obvious, but are not insignificant.

The first issue is to recognise the possibility of corruption. Many entrepreneurs, for example, believe that corruption is something that will never affect them. They believe that all their managers and employees are incapable of committing fraudulent acts, or simply that this will never happen in their company. If companies really want to reduce the risk of corrupt scenarios and, therefore, their impact, they must first anticipate the possibility, then create codes of conduct and good governance policies.

Jan-Mar 2018 Issue

GUERRERO C&L