How can ISO 37001 benefit an organisation?

ISO 37001 helps avoid the adverse consequences of bribery

Bribery can have very serious adverse consequences for an organisation:

• If the organisation’s personnel, or any of its business associates (e.g. joint venture partners, contractors, consultants, suppliers or agents) pay a bribe on behalf of, or for the benefit of the organisation, the organisation could suffer adverse consequences:
  • criminal law consequences:  the organisation could be prosecuted, and, if found guilty could be fined, be debarred from contracts, and suffer reputational damage
  • civil law consequences: contracts could be terminated, and the organisation could have to pay damages to affected parties for the consequences of the bribery.
• If the organisation’s personnel are bribed by business associates (e.g. the organisation’s procurement manager is bribed to award a contract to a supplier, or the organisation’s supervisor is bribed to approve defective work), then the organisation will be the victim of the bribery and may place contracts at inflated prices, or receive defective work in consequence.
• Bribery can adversely affect the organisation’s non-corrupt personnel.  They may have money extorted from them by threats, or may be coerced into corrupt acts by bullying or threat of dismissal from employment.

It is in the interests of an organisation and its ethical personnel to take reasonable and proportionate steps to prevent bribery from occurring.  It is normally cheaper and less disruptive to implement controls to prevent bribery than to deal with the consequences if bribery occurs. 

ISO 37001, as a highly effective anti-bribery management system, can therefore protect the organisation and its personnel from the above adverse consequences.  It also provides the following benefits:

• Assurance to management and owners:  It helps provide assurance to the management and owners of an organisation that their organisation has implemented internationally recognised good practice anti-bribery controls, and is therefore taking steps to reduce risk and any adverse consequences.
• Assurance to customers, business associates and personnel:  It helps the organisation provide assurance to its business associates and personnel that it has implemented internationally recognised good practice anti-bribery controls, and therefore assists the organisation in obtaining work, recruiting good personnel and enhancing its reputation.
• Supply chain vetting:  Organisations may require their major contractors, suppliers and consultants to provide evidence of compliance with ISO 37001 as part of their supply chain approval process (on a similar basis to their requiring evidence of compliance with ISO 9001 (quality management) etc.).
• Defence in a bribery investigation:  In the event of a bribery investigation, it helps provide evidence to the prosecutors or courts that the organisation had taken reasonable steps to prevent bribery.  It can therefore help avoid a prosecution, or mitigate the outcome.