Transparency International has just released Transparency in Reporting on Anti-Corruption – A Report of Corporate Practices. The comprehensive study looks at ways in which nearly 500 listed companies from 32 countries and a wide range of sectors report on strategies, policies and management systems to tackle corruption in all its forms.
The bad news:
The average company analysed scored only 17 out of a possible 50 points and was awarded two stars out of a possible five. Only seven companies achieved the highest possible five star score.
The better news:
Half of the companies that achieved a four- or five-star rating came from higher risk sectors where corruption, or the threat of it, is regarded as widespread. This could indicate that companies in these sectors recognise that putting robust policies and systems in place to address bribery and corruption is a form of risk management.
The good news:
Slightly more than one-quarter (26 per cent or 127 companies) of the sample were signatories of the GC. Signatories scored slightly higher in the TRAC report than non-signatories. The average score of GC signatories was 20.4 (a borderline three-star average score).14 For non-GC signatories the average was 15,6 (within the two-star rating). GC signatories are likely, on average, to have slightly more publicly available information in the area of policy and management systems related to anti-corruption and antibribery.
17 GC signatory companies in the sample had little or no information in the public domain, and were on the bottom end of the one-star range. This indicates that some GC signatories may not be compliant with reporting on the GC tenth principle.
We’ll look into that. (TI press release here.)