Author Archives: Walter Palmer

China’s New Bribery Provision

In case you missed it, the Criminal Law of the People’s Republic of China was recently amended in Article 164 and new provisions concerning bribery of foreign officials are now in effect since May 1, 2011.  These amendments criminalize bribery of foreign public officals or international organizations in order to seek “unjust commercial benefits.”  For the first time, the reach of PRC law has been extended to conduct by Chinese companies operating in other countries.  It is not yet clear what the scope of this jurisdiction will be and whether it will apply to foreign companies that have operations in China, but that is possible along the same lines as the UK Bribery Act.

Why “Moral” People Act Unethically

There is an article over on BNET that gives a good rudimentary explation of the concept of “moral credentialing” and why it might be partly responsible for why seemingly good people make really poor decisions.  The article also links to a couple of good studies that help explain the underlying premise of moral credentialing.  The analogy used in some of the studies is when one feels okay about eating a pint of double chocolate ice cream because they ran on their treadmill for 20 minutes.  If I am “good” in one respect, it may pyschologically allow me to be “bad” in another.  Certainly something worth considering as you develop your ethics programs..

LP Magazine 10 Year Anniversay

I recently had the pleasure of attending the annual Editorial Advisory Board meeting for LP Magazine and helping them celebrate ten years of success.  Jack, Jim, and the entire staff at the magazine have done a wonderful job with this publication and our industry has been much improved by it.

As part of the celebration, my video team put together a special tribute to the magazine’s success that can viewed below.

Guest Blog: Eric White on The New Face of Risk

Businesses of every kind face risks.  But for many, risks are thought of as the catastrophic-type events that – as completely devastating as they would be – don’t necessarily represent the most pressing threats to the day-to-day business.  The face of risk is changing.  It’s not just about the traditional, obvious risk events like earthquakes, tornadoes, or active shooters.  Increasingly risks are those things that can slowly eat away at your business and profitability.  These threats can come from inside or outside the organization and have the potential, not only to harm people and property, but also to disrupt normal business operations.

Businesses of all kinds have a responsibility to incorporate risk management and mitigation into the core of their business, as a regular, daily activity.  Here are some tips for doing so:

Redefine risk – In today’s world, risk is not just the major, catastrophic events, but includes activities, people and events that can disrupt the business in more subtle and slower, but just as damaging ways.  Issues like employee sabotage, terrorist threats, malfunctioning equipment, failed operational processes, inadequate training, and safety hazards can all present risk to the business.  Smart businesses consider risks those things that have the potential to damage people or property, disrupt the business, render legal consequences, or even decrease efficiency.  They can be people-driven, technology-driven, or process-driven.

Understanding that risk management is essential to business – Previously seen as the sole responsibility of security, attorneys or executive row, today risk mitigation is everyone’s business.  Risks can come in the form of poorly trained employees, inadvertently causing loss each time they come to work, or a process that fails to identify safety hazards before they trigger losses.  For this reason, everyone across the organization should make it their business to identify and address these threats to the business.

Leverage technology to mitigate risk – Video surveillance, access control, mobile phones, the Internet and other tools facilitate the flow of information and provide managers and employees with the data they need to understand what is going on across their organization.  These tools provide visibility – like never before, managers at one location can truly gain a good understanding of what is happening at another location.  Well-implemented and used, technology is invaluable to risk mitigation efforts.

Assess your risk performance with quantitative scale – Organizations that are most effective at reducing their risks are those that measure and track it over time.  By assessing risk on a quantitative scale, it’s easier for organizations to track progress on an ongoing basis.  The Risk Performance Index is a method for quantifying your overall level of risk, by plotting different threats on a chart with two axes: likelihood of occurrence and the potential severity of occurrence should the problem occur.  Not only does this tool allow you to identify which risks are most critical, but it also allows you to track progress over time.  Download a sample Risk Performance Index for a school environment.

Use audits to monitor – Audits are a great way for organizations to both identify risks and ensure that mitigation efforts are being implemented consistently across all locations.  Audits test where processes and people fail, helping organizations pinpoint exactly where attention should be directed.

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We are pleased to feature this guest blog by Eric White from Wren Solutions.  Eric has over 20 years of experience in our industry and currently serves director of retail strategy for Wren.  White maintains his regular blog at http://www.wrensolutions.com/LPXtra_blog/ and can be reached via email at eric.white@wrensolutions.com.

Awareness vs. Performance

In this video, Walter Palmer, CEO/President of PCG Solutions, discusses the distinction between “awareness” and “performance” in the business context and why it matters when identifying your training objectives.