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How Important is ISO 37001 Anti-Bribery Management System for Companies?
14 February 2023
Abuse of power for personal or group gain is one of the most common problems in the world. Examples of this abuse of power are corruption and bribery. These activities do not only occur in the administrative and political departments, but also in trade associations and companies. Bribery between superiors and subordinates as well as between business partners with the aim of gaining profit and getting several senior positions in corporate organizations is something that often happens.
To prevent such activities, the International Organization for Standardization (ISO) has issued a system specifically designed to help companies implement and improve anti-corruption programs, namely the ISO 37001 Anti-Bribery Management System. This standard is based on the phenomenon of corruption that is increasing worldwide. Through ISO 37001 companies can make policies that can prevent acts of bribery in several ways such as identifying risks, analyzing, and conducting evaluations. ISO 37001: 2016 can help companies provide security guarantees as a company that are free from bribery to third parties or collaborative projects that will be carried out in the future.
The introduction of ISO 37001 certification in companies can be a safeguard to prevent bribery in organizations/companies and other business partners. Routine monitoring and routine internal audits must be carried out as evidence of the company's commitment to fighting bribery, in addition to routine audits using the Plan Do Check Action (PDCA) methodology. Following are some of the benefits of implementing an Anti-Bribery Management System:
1. Strengthen the company's management system
Organizations can immediately benefit from ISO 37001 thanks to improved organizational management systems. Companies that have obtained anti-bribery certification have a better chance of reducing the risk of bribery.
Strengthening the organization's management system affects various fields inside and outside the company. Some of these include cost savings, avoiding legal issues, or handling conflicts of interest.
2. Demonstrate the competence of the company against applicable laws
Indonesian laws and regulations clearly state that bribery is a violation of the law. Anyone involved in bribery, both companies and organizations, must face the law if proven guilty.
The adoption of the ISO 37001 SMAP standard indicates that the company complies with certain laws and regulations. This standard does not guarantee that bribery will completely disappear from companies, but using ISO 37001 can minimize legal problems that arise in the form of bribery.
3. Make it easier for companies to monitor and manage organizational risks and supply chain networks
The ISO 37001 standard represents the active involvement of business people and various organizations in minimizing bribery cases in Indonesia. This is possible because the adoption of this standard will force employers to monitor and more closely manage risks related to bribery within the company.
Not only monitor and manage internal bribery risks, but ISO 37001-certified companies can do things related to their supply chain network. Monitoring and controlling this risk does not happen alone but involves collaboration between stakeholders.
4. Assess the obligations of subcontractors, agents, and suppliers
The benefits of implementing the ISO 37001 standard can also be used to accurately assess how committed partners such as suppliers, subcontractors or distributors, and agents are. Implementing an optimal anti-bribery management system prevents disruption to the company when problems arise in the supply chain. This step increases business and avoids bribes.
5. Increase the credibility of the company
Implementing the ISO 37001 standard, consumers will see that the company has a commitment to anti-bribery or anti-corruption so they will not hesitate to buy products and services from that company. This is because there is quality assurance and also a reliable production process so the security is quite good and will increase consumer satisfaction in the future. Another advantage that will have an impact is that the company has a good brand image. So not only is the company's image good, but the company's profits will also continue to increase.
Currently, PT VADS Indonesia implements the ISO 37001:2016 Anti-Bribery Management System as a form of commitment to conducting business by always prioritizing ethics and honesty. With ISO 37001:2016 Anti-Bribery Management System certification, partners and stakeholders are guaranteed that PT VADS Indonesia has carried out internationally and nationally recognized anti-bribery control practices.
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