Organization of internal business processes

18 march, 2023

The establishment of internal business processes and compliance with internal rules in the company is crucial in the effective implementation of compliance. With the examples below, we want to show how streamlining internal business processes can protect businesses from offences and risks.

1. Periodic internal rotation of employees responsible for working with certain clients / for certain directions

Such a rotation serves as a mechanism for preventing official abuse and corruption.

2. Regulation and monitoring of authority to sign documents, control

It is essential to check that documents are signed by company officials with the appropriate authority. Failure to comply with this basic rule may result in a number of negative consequences (for example, invalidating the contract with subsequent financial losses for the company).

3. Introduction of conflict of interest notification and procedures for conflict of interest settlement

At the time of employment, the employee must certify in writing that there is no conflict of interest and must also undertake to report in writing any real or potential conflict of interest in the event of its occurrence.
In addition, the company should periodically (at least once a year) conduct a procedure to confirm the absence of a conflict of interest by key employees. Before starting cooperation with the counterparty, it is also necessary to make sure that there is no conflict of interest. Conflict of interest should be resolved in accordance with the procedure approved by the company. Failure to report a conflict of interest should result in disciplinary action.

Which of the following have you implemented in your company?

Detailed instructions for business "Basic principles of risk identification and their minimization" at the link: