In today’s compliance marketplace, choosing the right business partners is not only a concern of the compliance department, but is also on the minds of the executives responsible for a company’s success and profits. The severe penalties for picking an unethical partner can include governmental fines and damage to the company’s reputation, as well as lost productivity, revenue, opportunities and time.
Decision makers are faced with numerous challenges when identifying the right people to drive their company’s internal and external growth. Due diligence efforts commonly cover potential employees, distributors, vendors, clients, agents, suppliers and other third parties.
Today’s due diligence doesn’t just include the standard reputational due diligence driven by prescribed legislations such as the United States Foreign Corrupt Practices Act and the United Kingdom Bribery Act – consumers and investors are also increasingly and meticulously assessing their target’s environmental, social and governance (ESG) framework before spending their resources.
To help compliance practitioners make better decisions The Red Flag Group® has compiled best practice guidelines for selecting a due diligence provider. This guide contains the key elements that need to be considered before a company partners with a vendor.