Bribery Hits 85% of Uk Managers Operating Internationally Professor Andrew Kakabadse

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RESEARCH BRIBERY HITS 85% OF UK MANAGERS OPERATING INTERNATIONALLY PROFESSOR ANDREW KAKABADSE To find out more about Professor Kakabadse’s research click here ew research conducted by ‘And,’ he added, ‘these practices are frameworks. In spite of the risks, NProfessor Andrew Kakabadse typically costing businesses up to 5% the only way to address bribery is to indicates that over 85% of UK managers of their annual revenue. So scrupulous recognise and expose it. managers operating in these countries may be using bribery on a regular basis ‘So what is the answer? A more focused feel that they have no choice but to pull partnership between government when conducting business in culturally out of the market in question. different environments. and business can start changing these ‘No-one – including most of the deeply undesirable practices which The ongoing investigation by Professor population in any particular nation destroy public trust in society. But Kakabadse, now in its twelfth year, or state – approves of bribery; many of course, this relies on there being is based on detailed conversations concentrate on the so-called “corrupt the moral will on both sides first. with over 900 business leaders, and manager”, while bribery is most likely Unfortunately, this situation has also reveals that 4 in 5 board level a consequence of inequality and become so serious that I fear it is way executives admit to being aware of dishonest government. beyond the capability of any individual manager or even organisation to some corruption. ‘So many countries in the world are resolve.’ As Professor of Governance and now deeply corrupt and it is almost Leadership at Henley Business School, impossible to do business without To find out more about the Henley Andrew explains that: ‘This project accepting local practices. The Business School’s Board Directors’ began back in 2004 as an exercise to alternative, in most cases, is to conduct Programme click here. help coach and support high-level no business at all. managers and directors who were Professor Andrew Kakabadse is ‘Through our research, we’ve shown Programme Director on Henley’s Board struggling with some of the more that leadership decisions and morality challenging aspects of their jobs. Directors’ Programme and Programme are proving more powerful in practice Co-Director of the GDPR Transition ‘However, it soon became evident that than any governance or regulatory Programme. everyday fraud, bribery and corruption were major obstacles and, if they didn’t pay-up to achieve their company’s aims, they risked being at a competitive disadvantage.’ The research team’s work covered managers from Russia, Ireland, China, Georgia, Germany, Finland, Belgium, Sweden, Australia, Pakistan, India, South Africa, Nigeria and Saudi Arabia. ‘It became clear that operating in countries such as Russia, the Middle East (except Oman) and most states in Eastern Europe, Africa and South Africa, bribery and corruption are the norm and are so endemic that it may be impossible to trade without making some illicit payments. 8 www.henley.ac.uk/exec.

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