PwC US recently published its sixth annual State of Compliance report, which this year focused on business strategy because, the authors state, “the connection of compliance to business strategy – including tone at the top, risk assessment, and oversight and responsibility – lays the strategic foundation for both a culture of compliance and ethics, and management programs that help ensure the organization conforms to all necessary regulatory requirements and ethical standards.”
Based on responses from more than 800 senior executives from around the world, the survey found while 98% of respondents expressed a commitment to ethics and compliance, only 55% said corporate leaders offer little more than ad-hoc program oversight.
Slightly more than a quarter (26%) of senior executives said they speak of ethics and compliance as part of their daily business communications.
The survey also found that 20% said their organization now has a standalone board-level compliance or ethics committee, while 72% have dedicated business unit compliance officers.
“Senior executives appear to be supporting their compliance and ethics programs, but they are less visible as actively engaged leaders of their companies’ programs,” the report stated.
“This disconnect appears to impact employee perception of senior leadership’s role in their organizations’ compliance and ethics programs, as only 16% of respondents indicated their employees view the CEO as the compliance and ethics champion at their organizations.”
Click here to download PwC’s 2016 State of Compliance study.