Mitigating Corruption Risk
In today’s environment, expanding into new international markets continues to be a business imperative for many aerospace and defense (A&D) companies. To keep pace with the demands of global defense missions, these companies are exploring new frontiers. Further, with the defense spending in the United States and other major international markets slowing down, they are also facing the challenge of identifying additional sources of revenue in growing, nontraditional markets such as India and Africa.
In their response to such needs, A&D companies have adapted their operating and delivery models to include the use of a number of third parties such as local representatives, consultants, subcontractors, suppliers, and brokers as well as joint ventures and alliance relationships.
However, before they deploy such third parties, A&D companies should verify whether their existing anti-bribery compliance programs and controls adequately address the risks of doing business, particularly with previously untested third parties, in countries perceived to be a higher risk for corruption.
Learn more by reading the attached report, which addresses Foreign Corrupt Practices Act (FCPA) risks related to forming business partnerships in new developing markets, as well as some leading practices companies can adapt to help manage their FCPA compliance practices.