Beyond the rulebook: How corporate compliance specialists can change the world

In the age of globalization, they play an increasingly vital role in international business. In the United States, the profession is expected to grow by 3.3% and add 8,700 new jobs from 2014 to 2024, according to the Bureau of Labor Statistics.

Along with that growth, the systems of rules and regulations they deal with will inevitably evolve and adapt to the changing global marketplace. In the past few years, one particularly interesting area of compliance has appeared on the worldwide radar: human rights due diligence.

Today’s corporate compliance officers are being confronted with a brand new set of challenges—and a valuable opportunity to make a difference in the world.

Who’s responsible for human rights?

Traditionally, human rights have been considered the domain of governments rather than businesses. But an increased interest on the part of shareholders, citizens, and lawmakers has started to motivate companies to take responsibility for their own roles in protecting human rights and recognizing their own risks of violations.

The shifting perspectives on responsibility for human rights are reflected in several recent developments in the international sphere. Since 2011, the UN Guiding Principles on Business and Human Rights have been considered the global standard for this sector of corporate compliance. In 2016, the UK Equality and Human Rights Commission published a five-step guide for businesses to help them meet the UN guidelines, while identifying and mitigating human rights abuses.

In February 2017, the UK House of Commons passed the Magnitsky amendment, which allows the government to seize the assets of companies that have been found guilty of human rights abuses. Similar measures have been enacted or put up for consideration in the United States, Canada, and the European Union.

Last year the Corporate Human Rights Benchmark published the first official ranking of the world’s 100 largest companies according to their compliance with ethical standards and human rights responsibilities. The comprehensive methodology considered a variety of factors related to policy, investment decisions, accountability, and reporting. The second annual report was released in March 2017.

In other words, there’s an increased level of vigilance on today’s companies when it comes to human rights. What’s more, the responsibility for meeting global standards, reporting on progress, and fostering a corporate culture that values ethical issues often falls squarely on the shoulders of corporate compliance officers.

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An opportunity for impact

At first glance it may seem like all of the ethical expectations placed on companies may add to the workload of compliance professionals. It’s true that these concerns create a relatively new area that must be immediately addressed. There’s a good chance that meeting human rights regulations will require large-scale changes in both business practice and overall perspectives that may be hard to pull off.

More work? Maybe. But the people working in the field of corporate compliance—and those who hope to join them—should see this as an opportunity rather than a burden.

Experts in ethics and compliance don’t just protect business interests; they also have the power to protect people around the world, thanks to the growing emphasis placed on human rights due diligence and corporate social responsibility.

Fostering corporate cultural values

There’s no question about the importance of expertise in traditional compliance disciplines such as anti-fraud, bribery, international trade regulations, data privacy, and other common specializations. But in addition to keeping companies out of financial and political trouble, compliance officers can also have an important influence at the ideological level.

Business ethics and corporate social responsibility are at the core of corporate compliance; in order to meet the regulations and rules set out for businesses, it’s vital to encourage integrity as a central part of company culture. Human rights due diligence relies heavily on these fundamental values, as enforcement practices tend to be less clearly defined than they are in other areas.

That being said, human rights may not seem like a priority to those who are mostly concerned with profitability and immediate risk management. If company values focus on short-term gains and financial goals, it can be difficult to gain the necessary support for making real changes.

Leaders and employees who place a high value on ethics, however, understand that avoiding human rights violations is vital not only for moral reasons, but also for business interests. In the end, meeting these new human rights guidelines benefits everyone involved—including the corporation as a whole. If the core values of the company are strong, then compliance will naturally follow.

This profession requires more than just knowledge of regulation systems and relevant laws; it also requires a commitment to ethical practices and a sense of larger purpose.

Changing the world through compliance

Avoiding human rights violations, valuing business ethics, and prioritizing corporate social responsibility enhances a company’s reputation and allows them to operate openly without the threat of punishment. It also increases the satisfaction of employees, clients, and shareholders and ultimately brings the company greater success.

One of the most important roles of corporate compliance officers is to create an environment that values this kind of thinking. This profession requires more than just knowledge of regulation systems and relevant laws; it also requires a commitment to ethical practices and a sense of larger purpose.

The best in the field go above and beyond the bare minimum of compliance, helping their companies to not only meet but exceed ethical expectations. This is where compliance officers can make the most significant contribution to the future of international business. By combining expertise, action, and an unwavering commitment to ethics, corporate compliance officers can become heroes for companies and average citizens alike.

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