Business Principles FAQ
- What is the purpose of the Business Principles?
- Are there not too many standards and guidelines already?
- Who is responsible for the Business Principles?
- Do the members of the Steering Committee accept all the requirements of the Business Principles?
- Are companies expected to "adopt" the Business Principles?
- Will the Business Principles be changed in the future?
- Are the Business Principles meant for large companies only?
- What do the Business Principles say about small grease payments (facilitation payments)?
- How can companies make sure that their anti-bribery programme is effective?
- How can I obtain more information about the Business Principles?
1. What is the purpose of the Business Principles?
Regulatory instruments such as the UN Convention against Corruption and the OECD Convention, or voluntary initiatives such as the Global Compact with its 10th Anti-Corruption Principle, place significant new obligations on business but do not provide a guide to the specific requirements needed for companies on how they can implement an anti-bribery programme. Indeed, even where companies are committed to anti-bribery policies, experience shows that these policies are often not fully understood by all employees or implemented throughout the enterprise. The Business Principles and their supporting tools aim to provide a reference point and guide to detailed implementation for companies developing a new anti-bribery programme or benchmarking an existing programme. [top]
2. Are there not too many standards and guidelines already?
Although there are a number of corporate guidelines and standards addressing various aspects of corporate behaviour, few deal substantially with the specific issue of bribery, which is one of the most significant corruption-related risks facing business today. The aim of the Business Principles is to remedy this shortcoming and provide a practical tool for business with a particular focus on implementation.
In addition, the development of the Business Principles followed Transparency International's approach of coalition building. The Business Principles were developed in collaboration with a multi-stakeholder Steering Committee drawn from business, academia, trade unions and civil society, which makes the Business Principles a unique multi-stakeholder standard in the area of bribery and corruption. As such, they are recommended by the United Nations Global Compact as a tool for implementation of the 10th Anti-Corruption Principle. [top]
3. Who is responsible for the Business Principles?
Transparency International assumes a leadership role by providing a Secretariat to the Steering Committee of the Business Principles. Transparency International seeks the input of Steering Committee members for the continuing development and dissemination of the Business Principles. [top]
4. Do the members of the Steering Committee accept all the requirements of the Business Principles?
The Business Principles were agreed in consensus with the Steering Committee, but do not necessarily reflect in all details the policies of its individual members on particular topics. [top]
5. Are companies expected to "adopt" the Business Principles?
The Business Principles are not designed to be "adopted" en bloc or “signed up” to. They have been created as a good practice model and not necessarily to be adopted word-for-word. Companies’ needs will vary according to risk, size, sector and geographic reach. In developing or amending their anti-bribery programmes, companies should take account of the specific nature of their activities and tailor their policies and programmes to address specific risks and vulnerabilities.
Although we do not expect companies to "adopt" the Business Principles, we hope that they will state that they have "applied" the Business Principles or used them as a reference point in developing or reviewing their own policies and programmes. [top]
6. Will the Business Principles be changed in the future?
In due course, the Business Principles can be expected to be developed and strengthened as experience is gained and standards of practice rise. They will also evolve to meet increasing demands from civil society and stakeholders for improved accountability and probity in business. [top]
7. Are the Business Principles meant for large companies only?
The Business Principles are intended for companies of all sizes. All companies – regardless of their size – are expected to comply with the law. We do recognise, however, that small- and medium-sized companies may require tailored documents and tools for implementation in view of their limited resources. We are reviewing projects to provide these and additional tools such as the Self-Evaluation Module and the Six Step Process will also be of help to smaller firms. [top]
8. What do the Business Principles say about small grease payments (facilitation payments)?
Facilitation payments are a form of bribery and should be eliminated. The Business Principles acknowledge, however, that this is a sizeable challenge for most companies and that zero tolerance of facilitation payments can only be achieved over time.
The Business Principles, which are meant to represent good practice, indicate that companies should work towards the elimination of facilitation payments. [top]
9. How can companies make sure that their anti-bribery programme is effective?
The Business Principles require companies to monitor and review their performance in the area of bribery. This monitoring can be achieved either internally or by seeking assurance from an external body. Experience suggests that where improved implementation and enhanced credibility for stakeholders is critical, enterprises may seek external verification of their compliance with their Programme. Tools are currently being developed by Transparency International to assist with internal and external verification. [top]
10. How can I obtain more information about the Business Principles?
Please send your questions and comments to the Transparency International Business Principles Secretariat at businessprinciples@transparency.org [top]