Thursday, November 14 2024

What are the requirements of the ISO 37001 standard?

The ISO 37001 standard is an international anti-bribery management system (ABMS) standard. It specifies the requirements for an ABMS which allows an organization to:

  • Prevent, detect and counter corruption
  • Comply with applicable legal and regulatory requirements
  • Continually improve the efficiency of the ABMS

 

The ISO 37001 standard is divided into 10 chapters (clauses). The 223 requirements are in chapters 4 to 10. The chapters cover the following areas:

1. Scope

The standard specifies the requirements for implementing, maintaining, and continually improving an anti-bribery management system (ABMS) within the context of the organization.

2. Normative references

The standard refers to numerous other international standards and guidelines that are relevant to anti-bribery management.

3. Terms and definitions

The standard defines the terms used in the context of anti-bribery management and the ABMS.

4. Context of the organization

The organization shall:

  • Identify its external and internal issues that are relevant to its purpose and its strategic direction, and that affect its ability to achieve the intended outcomes of its anti-bribery management system
  • Understand the needs and expectations of its stakeholders
  • Determine the scope of its anti-bribery management system
  • Establish and maintain its ABMS and processes concerned
  • Undertake bribery risk assessment

 

5. Leadership

Top management shall:

  • Demonstrate leadership and commitment to the anti-bribery management system
  • Ensure that the anti-bribery policy is established and communicated throughout the organization
  • Assign a person to an anti-bribery compliance function who shall have authority and responsibility for the development, implementation, and improvement of the anti-bribery management system
  • Delegate decision-making

 

6. Planning

The organization shall:

  • Establish anti-bribery objectives and processes related to risks and opportunities
  • Plan actions to achieve these objectives
  • Plan the changes

 

7. Support

The organization shall:

  • Provide resources necessary to support the implementation and improvement of its anti-bribery management system
  • Train, and provide the necessary competence to personnel
  • Make aware the personnel
  • Communicate relevant information within and outside the organization
  • Control the ABMS documentation

 

8. Operation

The organization shall:

  • Plan, implement and control its operational processes
  • Undertake due diligence
  • Implement:
    • financial controls
    • non-financial controls
    • anti-bribery controls
    • anti-bribery commitments
    • procedures related to gifts and similar benefits
  • Manage inadequacy of anti-bribery controls
  • Encourage persons to report any raising concerns
  • Investigate and deal with bribery

 

9. Performance evaluation

The organization shall:

  • Monitor, measure, analyze, and evaluate the anti-bribery performance
  • Conduct internal audits in order to evaluate the effectiveness of its anti-bribery management system
  • Realize management reviews at planned interval
  • Review the anti-bribery compliance function

 

10. Improvement

The organization shall:

  • Identify and control nonconformities
  • Take corrective actions
  • Continually improve the anti-bribery management system

 

Organizations that can demonstrate compliance with these requirements can obtain ISO 37001 certification.

ISO 37001 certification provides numerous benefits to organizations, including:

  • Reduced risk of bribery: ISO 37001 is a comprehensive framework for preventing and detecting bribery. By implementing an ABMS based on ISO 37001, organizations can reduce their risk of being involved in bribery scandals
  • Enhanced reputation: ISO 37001 certification demonstrates to stakeholders that an organization is committed to ethical business practices. This can lead to improved reputation and customer trust
  • Reduced risk of regulatory fines: Many countries have anti-bribery laws and regulations. ISO 37001 can help organizations comply with these laws and regulations. This can help organizations avoid costly fines
  • Improved operational efficiency: An effective ABMS can help organizations improve their operational efficiency by reducing the risk of bribery and fraud
  • Enhanced employee morale: Employees may feel more confident working for an organization that is committed to ethical business practices. This can lead to improved employee morale and productivity
  • Increased market share: ISO 37001 certification can help organizations gain a competitive edge in the market. This can lead to increased market share and profitability