SME Toolkit Logo
Partner Logo
 Share  Print Version  Email

Level 1 - Foundation

Provided by the International Finance Corporation


This level helps lay the foundation for firms to conduct its business with integrity, starting with a modest internal program, and protecting itself from solicitation for bribes and extortion.
Level 1 includes basic internal activities that a firm can begin to organize and implement in order to create a good foundation for integrity in business conduct.
foundation.png
Internal Integrity Program
As part of the Internal Integrity Program, you should:
  • Analyze recent interactions with business partners and public officials and assess risks
  • Take time to consider a longer-term firm strategy
    • Include integrity performance as part of business objectives; set goals
  • Introduce an integrity policy, principles, rules or a statement that everyone will follow
    • Make it official that bribes won’t be paid
    • Openly discuss with employees about the importance of integrity
    • Make clear what payments are allowed / not allowed; for example, facilitation payments –
      • If payment is demanded, actively resist
      • If payment was made, inform manager
      • Keep the amount to a minimum
      • Create a record for a payment
  • Create and maintain internal systems and controls
    • Keep accurate books and records
    • Have clear rules on contracts, payments to business partners
  • Understand how to improve corporate governance of small businesses 
    • Clearly define responsibilities among owners and employees
Protection from Solicitation and Extortion
To protect your company from solicitation and extortion, follow these rules:
  • Put requests to public officials in writing
  • Before a meeting with a public official:
    • Find out about the official’s background
    • Have all necessary documents ready
    • Seek legal analysis beforehand if complicated issues are involved
    • Rehearse arguments such as an actual case that supports an SME
  • Dos/don’ts during a personal interaction with public officials
    • Have a witness or record interactions ( check that such recordings are legal in your country)
    • Ask questions and create a paper trail; e.g., ask for a written receipt of payment 
    • Instead of a bribe, offer an alternative with a public or civic benefit
  • Following up after a personal interaction with public officials
    • If an agreement was reached during a meeting, follow up with a letter
    • If any promise was made, track the official’s performance
    • Draw up a plan for future discussions

 

Go Forward to Level 2 > Demonstration

Go to the SME Integrity Tool Parent Page

Copyright © 2000 - 2017, International Finance Corporation. All Rights Reserved.

© International Finance Corporation [Year of First Publication].  All rights reserved.
2121 Pennsylvania Avenue, N.W.
Washington, D.C. 20433
Internet:  www.ifc.org
 
The material in this work is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law.  IFC does not guarantee the accuracy, reliability or completeness of the content included in this work, or for the conclusions or judgments described herein, and accepts no responsibility or  liability for any omissions or errors (including, without limitation, typographical errors and technical errors) in the content whatsoever or for reliance thereon

2121 Pennsylvania Avenue, N.W., Washington, D.C. 20433, www.ifc.org

The material in this work is copyrighted. Copying and/or transmitting portions or all of this work without permission may be a violation of applicable law.  IFC does not guarantee the accuracy, reliability or completeness of the content included in this work, or for the conclusions or judgments described herein, and accepts no responsibility or  liability for any omissions or errors (including, without limitation, typographical errors and technical errors) in the content whatsoever or for reliance thereon.

 Share  Print Version  Email