Section 5

Leading for the Future

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Sit at the Center of Reshaping Business

Explore how visionary compliance professionals innovate business practices to ensure their compliance programs and organizations keep pace with ever-evolving business trends.


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The most effective compliance professionals are ahead of the curve when it comes to understanding the industry and getting in front of organizational and regulatory changes. Along with being skilled forecasters and diligent program orchestrators, compliance leaders know that the future of compliance is culture. Forward thinking organizations strive to build a culture where all employees know that doing the right thing is expected, understand the standards that apply to them and are confident their management is committed to operating with integrity.

This section will highlight the importance of your corporate culture and the best practices that will help ensure your organization’s culture is aligned with your compliance program’s and organization’s goals. It will also provide insight into the direction the world of compliance is headed and how we can continue to be as prepared as possible to lead our organizations effectively into the brave new world of compliance. 

How Corporate Misconduct Affects Future Salaries | "What's Next in Compliance"

Looking for more ways to show people why compliance matters? Imagine you’ve just finished a several year stint at a large organization. You were successful, productive and well liked. Shortly after you left, the organization was found to be involved in corporate misconduct. Even though you’re no longer with the organization, and had nothing to do with the allegations, you can expect lower compensation compared to other candidates based on your association with the tainted brand. Learn more about the research conducted by Harvard Business School professors and their findings with Matt Kelly.



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Were there any studies or analyses done on the impact of a compliance violation or misconduct to existing employees' salaries? That is, did the financial penalties incurred, impact to company image/reputation, or other resulting impacts affect the companies budget/bottom line to where salary/performance increases and/or bonuses were impacted? If so, could you provide those references? Thanks!

1 Response
May 17, 2018, 8:46 a.m. Kent Swagler Kent Swagler

Hi Kent,

The short answer is that this study didn't delve into those questions. I'm not familiar with any study that has, but that doesn't mean such a study doesn't exist.

If your question is, 'Do companies that get whacked with fines then retool compensation policies, to incentivize better compliance'-- anecdotally I've heard yes, they do; although more often a company puts the priority on following policy, and if you follow policy you get promoted, raises, etc.

Let me know if that answers your question, or whether we should chew over this further.

May 29, 2018, 1:50 p.m. Matt Kelly Matt Kelly