Financial Crime World

Italian Companies Lag Behind in Compliance Program Implementation

Recent studies have revealed that many Italian companies are failing to implement effective compliance programs, despite the introduction of Legislative Decree No. 231 in 2001.

The State of Compliance in Italy

A survey conducted by the “Auditing e Controllo Interno” Master of Pisa University and the “231 Area Committee” of the Associazione Italiana Internal Auditor found that:

  • Only 59% of listed companies had adopted a compliance program
  • 25% were still in the process of implementing one
  • Many companies are not taking the necessary steps to ensure that their compliance programs are effective

Key Findings

  • Only 12% of companies included external consultants in their compliance bodies
  • Only 18% involved members of the Committee for Internal Control
  • Only 37% of companies involved human resources in their compliance efforts

The Situation for Small and Medium-Sized Enterprises (SMEs)

A separate study conducted by the 231 Area Committee and Ernst & Young found that:

  • Only 20% of SMEs surveyed had adopted a compliance program
  • 40% were not even aware of their obligations under Legislative Decree No. 231

The Consequences of Non-Compliance

The lack of effective compliance programs in Italian companies is a major concern, as it can leave them vulnerable to:

  • Criminal activity
  • Damage to reputation

Experts weigh in on the importance of implementing effective compliance programs.

Experts Weigh In

  • “It’s clear that many Italian companies are not taking the necessary steps to implement effective compliance programs. This is a major concern, as it can leave them vulnerable to criminal activity and damage to their reputation.” - [Name], expert in corporate governance
  • “The lack of commitment to compliance programs is also reflected in the fact that many companies are not prioritizing ethics and transparency. This is a major issue, as it can undermine trust in the corporate sector and damage investor confidence.” - [Name], leading expert on business ethics

Conclusion

The implementation of effective compliance programs is essential for Italian companies to prevent crimes and protect themselves from liability. However, many companies are still failing to take the necessary steps, leaving them vulnerable to criminal activity and reputational damage. The introduction of stricter regulations and penalties may be necessary to ensure that companies prioritize ethics and transparency.

Sources

  • “The Implementation of Compliance Programs in Italy” by [Name], published in Ethikos
  • “Compliance Programmes in Italian Companies: A Survey” by the 231 Area Committee and Ernst & Young, published April 12, 2006