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Contact

Birgit Errath,
Special Adviser, Responsible Business Solutions
tel: 44 (0) 20 7467 3639 
email: firstname.surname@iblf.org

CORRUPTION

There is a clear rationale for business leaders to work together to improve transparency and defeat corruption.

Countering corruption makes business sense; it lowers cost of operation, improves staff morale and accountability, protects a company's reputation and above all creates a level playing field for fair and stable markets and competition. Companies can and should play their part in countering corruption by building strong anti-corruption policies and systems and by working collectively with other stakeholders to improve the integrity of the wider business environment, to strengthen the rule of law and public institutions and to contribute to social and economic development.

IBLF aims to:

• Articulate and advocate the business case for combating bribery and corruption 
• Research and document examples of good corporate practices and existing initiatives to engage the private sector in collective action to fight corruption 
• Produce practical tools and guidelines to help companies to develop and implement anti-corruption policies 
• Stimulate collective corporate action programmes in-country to tackle corruption, analysing the experiences gained

Tools and Standards

Business standards and corruption is one major area of IBLF’s work with companies. IBLF has gained global recognition for its expertise, working on in-country collective action initiatives, facilitating high-level policy dialogues and creating tools (in partnership with Transparency International, the United Nations Global Compact and others) to empower companies to effectively deal with and debate the issues around this topic. 

• EITI Business Guide (2008), a joint publication of IBLF and the EITI, outlines how business can support the implementation of the Extractive Industries Transparency Initiative (EITI). The guide has been produced – on the basis of wide consultation with implementing companies and other stakeholders – in order to help companies respond to the practical challenges of in-country implementation of the EITI.  

• IBLF’s work on collective action against corruption was also used as the basis for a online collective action toolkit developed by the World Bank institute in co-operation with Siemens, CIPE, Grant Thornton, Transparency International, Wharton University, and Global Advice Network. IBLF contributed as a supporting partner.

• A second edition, “Business against Corruption – case stories and examples” (2006), showcasing good company practices as well as collective initiatives was published on the concept of collective action, which is the underlying principle for IBLF’s anti-corruption work.

• IBLF, in collaboration with the United Nations Global Compact and Transparency International, has published “Business against Corruption – a framework for action” (2005), a first guide for companies preparing themselves to implement the objectives of the tenth principle against corruption and to deal with corruption in every aspect of their operations. It provides a road map to sources and tools which will assist in the practical application of policies designed to eliminate corruption.

• IBLF is also member of the United Nations Global Compact's working group on the tenth principle against corruption.

• Support given to ground breaking publications on customs and internal revenues in the Philippines with partner organisation, the Makati Business Club.

Collective Action against Corruption

IBLF is an official supporting partner of the 2008 International Anti-Corruption Conference (IACC) , organised by Transparency International and our corporate partners were invited to attend the conference, which took place from 30 October – 2 November, in Athens, Greece. The conference 's main theme was to explore how countering corruption and enhancing good governance contributes to sustainable development. This year special emphasis has been put on bringing the voice of business to the discussion.

Two workshops, which are closely linked to IBLF’s work in the area of business and corruption will be:

Combating Corruption through “Collective Action”:
•    IBLF’s Peter Brew, partners from the World Bank Institute and CIPE presented practical examples how business addressed corruption collectively in countries and regions such as Vietnam, China, Easter Europe etc.
Countering Bribery in the Supply Chain - the missing link?
•    Speakers looked at how supply chain operators approach anti-bribery measures with their suppliers. The result of a bribery risk assessment exercise with over 3,500 SME suppliers was also presented. The workshop explored how and at what stage bribery impacts supply chains, and will consider how it may be countered.

Transparency and Integrity in the Supply Chain
This joint initiative with Transparency International aims to provide companies with a better understanding of where and how corruption in the supply chain occurs, and how to counter it. A further aim is to develop a framework for collective engagement and to raise integrity and transparency in the supply chain through a concrete collective engagement project on the ground. The key suggested activities are: (i) risk mapping and collecting of good practices, (ii) a roundtable on corruption risk and good practices in the supply chain, (iii) development of a framework for engagement with suppliers on integrity and transparency, (iv) a collective action pilot on “Building Capacity to promote integrity and transparency in the supply chain, Capaci TI – SC”.

For more information on how to participate, please contact Birgit Errath at firstname.lastname@iblf.org

Business against Corruption

In 2002, IBLF launched its Business against Corruption programme to promote transparency in the business community, highlight good practices and help companies to develop collective solutions to the problem of corruption, especially in those instances and countries where individual company action might not be sufficient to bring about a change to a corrupt business environment. The program was supported primarily by a grant from DFID, but with some financial support from ISIS Asset Management and was concluded in 2005.

Consultations, anti-corruption workshops and conferences held so far in: Russia, Poland, Indonesia, Turkey, China, Czech Republic, Kenya, Hungary. Programme activities have been undertaken with local partners in China, Kenya, Indonesia, Philippines, Russia and across Eastern Europe. Experiences with these collective initiatives have been showcased in various publications, e.g. by the United Nations Global Compact and the World Bank Institute and it is clear that where they are well planned and applied in a locally relevant manner, they can mobilise a change of behaviour within the business community and demonstrate commitment to responsible practices.
 

Regional initiatives

China – with financial support from the British Embassy and 5 multinational companies, IBLF established a China Business Leaders Forum in early 2005 in partnership with the Renmin University of China. IBLF is now working with the University to establish a permanent, locally managed China Centre for International Business Standards housed at the University with full-time staff and is engaged with a small number of founding corporate supporters to help shape the initiative. The creation of the new Centre will provide a platform to influence international practice by Chinese companies and to highlight the contribution of global business to sustainability in China.
More on IBLF's work in China

Vietnam – In May 2008 a new 3-year ‘Integrity and Transparency in Business Relationships Initiative’ was launched in partnership with IBLF, the Vietnam Chamber of Commerce & Industry (VCCI), Transparency International and the Embassy of Sweden. This builds on a nine-year partnership between IBLF and VCCI that led to the creation of a Business for Sustainable Development Office in VCCI. This programme has been extended to all business sectors (it began in the footwear and garment sectors) and to cover the full range of responsible business practice, including tackling corruption.
More on IBLF's work in Vietnam

Indonesia – IBLF was instrumental in establishing Indonesia Business Links, a coalition of over 40 companies. Its key programme is ethics in business training aimed at domestic large, medium and small enterprises. With IBLF support, Indonesia Business Links has published booklets on responsible business topics for local businesses.
More on IBLF's work in Indonesia

Malaysia - Plans are already in place to support local organisations on a responsible business practices agenda.

Thailand - IBLF is in discussion with the Institute of Directors, KPMG, Nestle, Cadbury, Manpower, Thai Bev and others to mobilise the business community to set in motion a sustainable programme of action by business against corruption. The natural sequence of events should lead to our establishing a Business Leaders Forum (or equivalent) there.

Philippines – IBLF supported the publication of Guides to Taxation and Customs by the Makati Business Club in Manila.
More on IBLF's work in the Philippines

Russia – IBLF’s Russia Partnership for Responsible Business Practices is a coalition of international and domestic companies meeting regularly to discuss core business challenges, including corruption and transparency. The recent publication of ‘Improving Business Standards in Russia’, was the culmination of a six-month programme of Moscow round tables involving Russian and global business and civil society organisations.
More on the Russia Partnership at www.iblf.ru

Eastern Europe and Commonwealth of Independent States – Across Eastern Europe a number of national Business Leaders Forums have been promoting responsible business practices for several years. IBLF has conducted anti-corruption workshops in Poland, Czech Republic, Hungary, Croatia and Serbia. Lithuania and is planning events with new UN Global Compact networks in these regions. In April 2008 the Croatia Business leaders Forum was launched.
More on IBLF's work in the western Balkans

Africa – through its participation in Business Action for Africa, IBLF is contributing to governance initiatives in Africa.
More on IBLF work in Africa
More Business Action for Africa at www.businessactionforafrica.org