Thursday 10 January 2019

The Management Tip of the Day

January 10, 2019

Equip Your Global Team to Turn Down Bribes

Commercial bribes are illegal in many countries, but members of your global team may still encounter officials who demand them. To handle these sensitive situations, prepare people to respond. Often a bribe isn't about money — it's about respect. So empower managers on the ground to say, "I can't give you a bribe, but what I can do is…" You might offer the official or their staff members a chance to participate in high-level decisions about your company's commitment to the local community. Or you could talk about the official's desired legacy and promise to publicly highlight their involvement in a mutually beneficial way. And be realistic about the costs of saying no to a bribe request. Could it lead to delays in delivery (if a customs official refuses to release goods at the border until he gets a kickback)? To failing to win a contract (if a minister expects a 10% cut of the procurement deal)? When needed, adjust cost and timing estimates so that your company can pursue its goals in an ethical, sustainable way.

Adapted from "How Managers Should Respond When Bribes Are Business as Usual," by David Montero


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