ICC New Rules on Combating Corruption

ICC New Rules on Combating Corruption, Steps for Businesses to Stop Corruption

The International Chamber of Commerce or ICC is known to be the most authoritative representative of businesses across the globe. This organization got more than 45 million members from more than 100 countries. Its members belong to all industries and private sector businesses.  

The ICC was established in 1919 to promote investments, trade, flow of capital, and open markets for services and goods. It currently manages three important activities, which are setting up rules, resolving disputes, and policy advocacy. 

ICC’s members are companies operating their businesses across the globe. Therefore, this organization practices unrivalled authority to make rules and govern how a company conducts business across the globe. ICC recently revealed new rules to fight corruption. Continue reading to reveal new updates on ICC rules on combating corruption and their impact on the business world. 

What Does Combating Corruption Mean?

Combating corruption in business mean setting up rules and policies against practices, such as bribery, solicitation, extortion, and other malpractices. Every business organization must set policies to deal with individuals or entities involved in corrupt activities. The International Chamber of Commerce rules provide effective guidelines on how to cope with corporate corruption and prevent it. Businesses should follow new rules and implement policies based on those rules.

Who Prepares ICC Rules and Policies?

ICC rules, policies, and standards are guidelines every business must follow to do business ethically. ICC’s specialized bodies prepare those rules. They prepare policy statements, which a commission adopts, consults with a national committee, and then the executive board approves it. Once the board has approved new policies, they become official public positions of ICC. 

Corruption is a major issue in countries across the globe. So, what is combating corruption? It is ensuring businesses follow honest practices and do not indulge in activities that are unethical and harmful to others. 

ICC chairman and Secretary General appoint officers, who ensure businesses follow the rules set by the organization. María Fernanda Garza and John W.H. Denton AO are ICC’s current chair. 

The New ICC Rules on Combating Corruption

ICC new rules on combating corruption focus on revealing and preventing wrong practices from occurring in different administrations and departments. These rules also emphasize improving the external and internal reporting mechanisms. Some aspects of the new rules include:

Address - 

• Informing people about efficient reporting channels. 
• Creating anonymous reporting options for people, who do not wish to disclose their identity while reporting wrongdoings in a business. 
• Establishing a robust mechanism for investigating corruption incidents and finding responsible parties based on facts. 
• ICC aims to provide regular training on reporting mechanisms. It emphasizes taking the initiative to inform people and establish a transparent environment. 

Management –

ICC’s new rules focus specifically on third parties, including agents and suppliers. They are established to monitor vulnerabilities in supply chains and ensure there is no corruption in the supply chain. ICC rules on combating corruption ensure:

• Corruption-free procedures are followed to select a vendor and improve the entire process. 
• Contractual clauses are used to ensure anti-corruption obligations are followed and also to ensure the accountability of all third parties involved in the supply chain. 

Conduct –

Newly introduced rules by ICC encourage businesses to Responsible Business Conduct (RBC). They ensure businesses do not break anti-corruption laws, which eventually helps in developing an equitable and sustainable world. ICC’s new rules guide businesses to:

• Strictly follow anti-corruption policies for improved corporate social responsibility tactics and sustainability. 
• Follow a guided solution to snub corruption with global collaboration and support. 

Accountability –

What is ICC’s role in global anti-corruption? It ensures accountability of the guilty party and takes necessary actions to prevent similar incidents in future. ICC’s latest rules plead for improved accountability and transparency in companies’ efforts to prevent corruption. 

• ICC encourages businesses to maintain better transparency levels in their anti-corruption solutions and performance. 
• A robust management structure to make sure anti-corruption programs are implemented efficiently. 
• Timely review of anti-corruption practices and policies. 

Guidance – 

ICC aims to provide accessible and practical methods to protect small and large businesses and industries. It emphasizes on:

• Explaining key concepts in an easy-to-understand language. 
• Presenting real-life case studies to guide businesses better for anti-corruption solutions. 
• Providing businesses with anti-corruption programs to help them adopt anti-corruption practices as soon as possible. 

What Steps Can Businesses Take to Eliminate Corruption?

Business owners often wonder what steps can businesses take to eliminate corruption? They can follow the below-explained six steps to prevent corruption and grow faster:

• Step 1: Making employees aware of anti-corruption is the first step. It should be a part of a company’s business operations and culture. Customers, employees, and suppliers should know that the business follows a zero-tolerance policy against corruption and bribery.  
• Step 2: A business organization should be aware of risks. It should recognize them and prepare strategies to deal with them. 
• Step 3: Setting up goals, tactics, and policies should be the top priority of a business owner. Define the success and set plans to achieve major business goals without indulging in corrupt activities. 
• Step 4: Businesses of all sizes should have anti-corruption policies and programs. They should make those programs a part of their value chain and ensure employees follow the set rules.  
• Step 5: A business should consistently monitor its anti-corruption policies and their impact. It helps in recognizing policies that work and eliminating things that hinder growth. 
• Step 6: A business organization should timely communicate with stakeholders and strive for better growth. Explain how goals have been achieved while following ethical business practices. It encourages partners, stakeholders, and employees to avoid corrupt activities. 

5 Interesting Facts About the International Chamber of Commerce

• The International Chamber of Commerce (ICC) was established in 1919 and today more than 45 million companies are its members. 
• ICC provides dispute resolution and arbitration along with setting rules to fight corruption.  
• ICC has several codes, guidelines, and rules that businesses must follow to avoid corruption and promote honesty. 
• ICC plays an important role in resolving global commercial disputes between MNCs and states. 
• Since the world’s leading businesses are ICC members, it has unrivalled authority when it comes to setting anti-corruption rules and governing businesses. 

Frequently Asked Questions

Q: What is the goal of the new ICC rules?

A: The new ICC rules aim to promote honest and responsible business conduct. 

Q: What does ICC do?

A: ICC is the world’s largest business organization, which acts as a governing body for businesses and sets honest and corruption-free business practices to follow. 

Q: What role does ICC play in the international business?

A: ICC promotes collaboration between multinational companies and provides rules to avoid disputes and maintain a robust bond. 

Q: How many companies are ICC members?

A: ICC has 45 million companies as its members from more than 100 countries. 

Q: Where are the headquarters of ICC?

A: ICC’s headquarters are located in Dubai, UAE. 

Q: What would be the Impact of apply new rules?

A: The new ICC rules will make the fight against corruption more impactful. People will get better reporting channels to address wrongdoings and prevent corrupt activities. 

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Conclusion

ICC new rules on combating corruption can prevent businesses from all sorts of legal troubles. Business organizations across the globe should implement those new rules and ensure all the involved parties follow them. Companies not complying with new rules may face unappealing consequences on a global level because ICC members are committed to implementing new policies.