THE OWL PRINCIPLE
For centuries, in many cultures the owl has been a beloved symbol of knowledge and wisdom, even though it is also a predator. This unique combination can help us to understand and interpret the role of an ethics and compliance department.
Understandably, a compliance officer must be an expert in compliance, and the list of required skills, experience and knowledge is extensive. Nevertheless, this is only the beginning of the journey. Compliance officers want to reach the next level to become a trusted expert for their colleagues. To achieve this goal, it is not enough for compliance officers to limit themselves to simply understanding compliance regulations, or legal and ethics concerns; the modern compliance professional must have at least a basic understanding of the complete business. With this knowledge, a compliance officer can climb the corporate ladder to become a trusted adviser within an organisation.
The ‘Pygmalion Effect’ can support a positive corporate culture. If the compliance officer (employee A) treats a colleague (employee B) with respect, this confirms B’s positive self-esteem that he or she is a respected person. By imposing this value, in return B treats A respectfully. A now perceives B’s respectful behaviour and concludes that B is a respectful person. A cycle is created. Respect allows compliance to enter employee B’s circle of trust. If the compliance officer is perceived as knowledgeable and respectful, B will better engage with A.
Visibility is key for employees to perceive their compliance officer as a trusted colleague, who not only talks a good game about compliance, but also ‘walks the talk’. It is helpful not to perceive everybody as a potential risk factor, but instead believe that more than 99 percent of a company’s employees are good, honest people who are trying their best every day to drive the company forward. These people are to be protected and adequately prepared so that they will not commit any accidental compliance breach. Such behaviour requires self-discipline and motivation but helps compliance officers to establish themselves as trusted and knowledgeable advisers.
Jan-Mar 2021 Issue
Patrick Henz