July 19, 2023

No business is immune from the possibility that things can go wrong. That’s why having a robust whistleblowing program — one which encourages employees to promptly surface problems — is critical. Only then will companies be able to identify and address misconduct and take action to mitigate financial, legal and reputational risks.  

A whistleblowing program is effective if employees understand that they have an obligation to speak up. They also need to know when and how to blow the whistle in the face of suspected wrongdoing. 

Whistleblowers must trust that leaders will listen to their concerns, protect them from retaliation and that appropriate action will be taken to address misconduct. To foster such psychological safety, companies need to raise workforce awareness of the benefits of whistleblowing and the protections for coming forward. Whistleblowing training is an efficient and effective way to create such an environment.  

In US organizations, 42% of frauds were detected by employee tips, which is nearly 3 times as many cases as the next most common method.

Ensuring employees understand the process for reporting their concerns is key to fostering transparency and accountability. By providing a mechanism to blow the whistle internally, employees are also less likely to take their concerns outside the organization. 

Providing whistleblower training demonstrates a company’s commitment to doing business with ethics and integrity. Knowing that whistleblower training helps your organization foster a culture of ethics and comply with laws, regulations and industry standards should eliminate the angst associated with increased whistleblower reports. In today’s regulatory environment with increased fines, penalties and media coverage, executive leaders cannot afford to take an “ostrich” approach by sticking their heads in the sand when it comes to potential wrongdoing in their organizations.   

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Maria D'Avanzo