General Interest
Integrity Certification Award in support of Clean Business
Proposal to establish Integrity Certification Award for the private sector to create levelled playing field.
Kuala Lumpur, Jul 20, 2009
Establishing an Integrity Certification Award for the private sector was the unanimous proposal presented collectively by corporate top heads and Non –Governmental Organisations (NGO) to the Malaysian Anti Corruption Commission (MACC) at the Forum for Integrity and Compliance – A Symbiotic Approach to Integrity and Compliance in a Volatile Global Business Environment in Kuala Lumpur on July 20th.
Deputy Chief Commissioner of MACC, Dato’ Abu Kassim Mohamed, who accepted the proposal at the end of the one day forum, held to discuss ways eradicate corruption in the country, said that the MACC would give the proposal top consideration.
“The MACC will look into this collective proposal to award companies who practice clean business a stamp of approval by awarding them the Integrity Certification Award, as this will say loud and clear if a company practices good integrity” said Abu Kassim after accepting the proposal from Siemens Malaysia President & CEO, Tan Sri Rainer Althoff.
Setting the parameters for integrity certification, defining rewards and sanctions, and rewarding long term partnerships were some of the points raised and included in the proposal to encourage private sectors the practice of clean business.
The forum was organised by Siemens Malaysia as a Corporate Responsibility and an avenue to share its key learning in response to criminal investigations undertaken by the Office of the Public Prosecutor in Munich, the US Securities and Exchange Commission, the US Department of Justice and numerous other investigating authorities against its headquarters in the end of 2006.
Siemens has now implemented in record breaking time, in just two years, a compliance system which has proved to be very effective; and is now seen as an industry leader in compliance according to third parties, with the Dow Jones Sustainability Index ranking Siemens at the very top position in the Compliance category in its 2008 global survey.
Some of the notable speakers at the forum in support of corruption eradication for nation building were Malaysia Institute of Corporate Governance Chairman Tan Sri Megat Najmuddin Megat Khas, Transparency International former President Tan Sri Ramon Ravaratnam, Bar Council President Ragunath Kesavan, Australasian Compliance Institute Chief Executive Officer Martin Tolar and Regional Compliance Counsel Nokia Siemens Network Thomas Yongo. Speakers from Siemens included Vice President Siemens AG, Corporate Legal and Compliance Sabine Zindera, and Siemens AG Global Compliance Coordinator Asia-Pacific Frank Schmidt.
The forum was officiated by Minister in the Prime Minister’s Department, Datuk Seri Mohd Nazri Abdul Aziz.
In his keynote address, Tan Sri Megat Najmuddin stressed that for Malaysia to achieve its dream of being a fully developed nation by the year 2020 and to be aligned with the goals of the 9th Malaysia Plan, it needed to be competitive and possess integrity at all times.
“Even a main point in the 9th Malaysia Plan is on “holistic human capital development, encompassing knowledge, skills, progressive attitudes and thinking, strong morale and ethical values; because nation building is not about physical development alone. In nation building, the delivery system is crucial if we want to achieve the goals of Vision 2020. Every institution in the country is part of the delivery system, including political, judiciary, civil service and corporate sectors. It is all about us, the citizens delivering! To achieve this, we need to reinvent ourselves by going back to the basics – honesty, responsibility, humility and love, said Megat Najmuddin.
Malaysia is currently ranked 47th in the Transparency International Corruption Index, with a Global Competitiveness Index of 21.
Echoing from the forum is for collective action to be a pre-requisite for the private sector to work within an Integrity framework for National Economic Development, as the topic of collective action cannot be achieved in isolation.
“I think so far, as part of the process is we want to see changes in Malaysia, we have to get everyone involved. We have been speaking in vacuum. People don’t understand what it really means by the rule of law. There must be more dialogues, with public and stakeholders. Perhaps, what Siemens has suggested with the codes of conduct can be a fantastic start. If we don’t share what Siemens has done, nobody would know about it. We have to spread the right culture. If you talk about corporate giants, the first thing that comes to mind is that they are corrupted and are here to make money. Why not promote the idea that there are some genuine changes,” said Ragunath Kesavan.
One of the suggestions mooted was to make collective action as a pre-requisite to create a level playing field for tenders, by including a monitoring body such as Transparency International in the tendering process.
“Especially in times of financial crisis, the society is prone to take shortcuts to the point that compliance and integrity is compromised. To eradicate corruption, the tone from the top alone is not enough, but a strong value based teaching principle at the grassroots should be the focus, followed by the rules later on. Cultural change is necessary. Stronger political will, larger public participation and good examples from the top are main weapons to fight and win the war against corruption,” said Tan Sri Ramon Navaratman.
The establishing of an Integrity pact is also required to promote integrity for Nation Building, where more initiative is needed to advocate disclosure and political funding, and openness and integrity in procurement.
Peter Brew Director, Asia Pacific International Business Leaders Forum said that the way forward was to go beyond compliance by demonstrating commitment and leadership.
“Engage with Government, stakeholders, and campaigners, define rewards and sanctions, and act collectively,” said Brew.
He added that cross sector understanding and partnership, which is partnership between companies, governments and societies is a keystone for sustainable future growth and social development.
This press release has been published by the Communications Department, Siemens Malaysia Sdn Bhd.
Your contact at Siemens Malaysia:-
Ms Vasanthe Narayanasamy
Head, Communications
DL: 03 -7952 4180
M: 012 – 315 0515
Email: vasanthe.narayanasamy@siemens.com
Ms Pearly Yeoh
Media Specialist
DL: 03 – 7952 5078
M: 012- 243 8028
Email: pearly.yeoh@siemens.com
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