Exploration of Comprehensive Compliance | Analysis of the Construction of a Comprehensive Compliance System for Enterprises II
Published:
2021-04-07
Xi Jinping presided over the eighteenth meeting of the Central Committee for Comprehensively Deepening Reform and emphasized that the construction of the rule of law must not only focus on the end, cure the disease, but also focus on the front end, cure the disease, and improve the establishment of a preventive legal system. Based on years of service experience, we prudently launch comprehensive compliance legal service products in response to the actual situation of the enterprise and the general trend of the construction of the enterprise compliance management system.
1. the concept of corporate compliance
"Enterprise compliance" can be understood as the operation and management behavior of enterprises and employees to comply with laws and regulations, regulatory provisions, industry standards and enterprise articles of association, rules and regulations, as well as international treaties, rules and other legal norms. In other words, enterprise compliance includes three meanings: first, enterprises should abide by laws and regulations in the process of operation; second, enterprises should abide by their own rules and regulations; third, enterprises should abide by international business codes and norms in their foreign exchanges.
Compliance risk, on the other hand, refers to the possibility that an enterprise and its employees will incur legal liability, related penalties, economic or reputational damage, and other negative effects as a result of non-compliance.
Compliance management refers to the purpose of effective prevention and control of compliance risks, with the operation and management behavior of enterprises and employees as the object, including system development, risk identification, compliance review, risk response, accountability, assessment and evaluation, compliance training and other organized and planned management activities.
The construction of the compliance system is inseparable from the identification of compliance risks and the promotion of compliance management, so in the process of building the enterprise compliance system, the mastery and understanding of the above concepts is equally important.
Comprehensive compliance refers to the trinity of civil compliance, administrative compliance and criminal compliance, covering all areas of enterprise management and running through all business processes.
The three rely on each other, have their own focus, people-oriented, pay attention to the front line, and together form an organic whole of comprehensive compliance. Eliminating criminal risks and avoiding administrative risks is always the focus of the construction of a comprehensive compliance system, and the risk identification and compliance response measures in the construction of the compliance system are also developed around these two. The daily work of legal counsel for compliance purposes is responsible for building the information source of the entire comprehensive compliance management system, which is the basic condition for administrative compliance and criminal compliance.
What issues are addressed 2. comprehensive compliance
(I) solve the problem of establishing compliance awareness
my country has comprehensively promoted the rule of law, adopted a high-pressure situation of zero tolerance for corruption, and correspondingly issued some laws and regulations, such as: in April 2016, the Supreme People's Court and the Supreme People's Procuratorate on Several Issues Concerning the Application of Laws in Handling Criminal Cases of Corruption and Bribery "Interpretation" was promulgated and implemented, the "the People's Republic of China Supervision Law" was promulgated and implemented on March 20, 2018, as well as the promulgation and improvement of various administrative regulations, this has led to tremendous changes in the external regulatory environment of enterprises, making the construction of corporate compliance systems and the establishment of employee compliance awareness more urgent needs.
At the same time, we have also noticed that many companies and employees have no awareness of compliance and do not pay attention to compliance work in the daily business process, which makes some civil and administrative risks that can be avoided by instinct rise to criminal risks, and eventually cause criminal cases to occur. And employees caused heavy losses.
Therefore, the establishment of a comprehensive compliance management system for enterprises, so that every employee can establish a sense of compliance management, from every link of employees' daily work to all the processes of daily business activities, can be constrained by the framework of the compliance system, and enterprises will be more able to resist risks and maintain stable and healthy development.
(II) solve the problem of how to manage compliance
As early as 2006, the State-owned Assets Supervision and Administration Commission of the State Council issued the "Guidelines for Comprehensive Risk Management of Central Enterprises." In 2012, the National Standardization Management Committee also issued the "Enterprise Legal Risk Management Guide". It should be said that the exploration of compliance management in my country starts with legal risk management.
The promotion of legal risk management and legal risk prevention and control work, in a certain historical period, has played a certain role in the prevention and control of risks in the standardized operation of enterprises, and has achieved good results. However, legal risk management also has some shortcomings, because of its emphasis on legal risk avoidance and supervision, lack of coordination and synchronization with enterprise management, not easy to integrate with the business system, lack of practicality.
As the improvement and sublimation of legal risk management, comprehensive compliance management combines the advantages of the two and provides a realistic path and method for enterprises to establish compliance management system. It analyzes the civil, administrative and criminal compliance risks in the daily business activities of enterprises, and proposes compliance countermeasures to help enterprises achieve compliance management within the original governance framework, so as to eliminate criminal cases, administrative penalties and avoid civil losses to the greatest extent.
3. How to Realize Enterprise Comprehensive Compliance Management
In the past practice, to achieve compliance management, it is usually necessary to build a compliance management system composed of the board of directors, the board of supervisors, the management level, the compliance committee, the head of compliance management, the lead department of compliance management, the business department and other functional departments. The system requires all departments to implement their respective compliance responsibilities, under the role of the internal compliance guarantee mechanism, through the overall leadership of the compliance committee, the lead of the person in charge of compliance management, supplemented by compliance assessment and evaluation and other compliance supporting systems, and strive to achieve compliance management results.
Comprehensive compliance management can also be achieved in the form of a trinity of civil, administrative and criminal compliance.
Civil compliance can be achieved by upgrading day-to-day legal counsel services for full compliance purposes. Compared with the traditional legal advisory service, the civil compliance service is more directional. In addition to the daily legal advisory service, it also undertakes the information source work of building the whole comprehensive compliance management system, which is the basic condition of administrative and criminal compliance.
Administrative compliance For units with administrative supervision responsibilities, it is necessary to fully administer in accordance with the law; for administrative supervised units, it is necessary to ensure that all actions must comply with the requirements of administrative regulations to avoid the occurrence of administrative penalties.
Criminal compliance is to help enterprises to avoid criminal risks in the course of business, to eliminate criminal offences for the purpose. It mainly includes two parts, job-related criminal compliance and business-related criminal compliance: job-related criminal compliance mainly involves criminal crimes such as Chapter 8 and Chapter 9 of the Criminal Law, such as corruption, bribery, unit bribery, dereliction of duty, abuse of power, etc.; business-related criminal compliance mainly involves the criminal risks arising from the rise of administrative supervision risks in the process of business development of enterprises, it mainly includes criminal risks such as state-owned assets supervision, environmental protection, land supervision, land construction, safe production, labor and employment, public health, intellectual property and information security, and financial taxation.
The above-mentioned trinity compliance management model can penetrate the barriers of enterprise wind control, legal departments and business departments, directly to the most basic level of the enterprise, thus reducing the burden of enterprises and improving management efficiency.
The construction and operation of a comprehensive compliance system can change with changes in external regulatory measures and relevant laws and regulations, as well as with the development of the enterprise. Since the comprehensive compliance system itself has the characteristics of this life evolution, it will always adapt to the external environment and eventually integrate with the company's management system and become part of the corporate governance system.
Key words:
Related News
Zhongcheng Qingtai Jinan Region
Address: Floor 55-57, Jinan China Resources Center, 11111 Jingshi Road, Lixia District, Jinan City, Shandong Province
