welcome to the acoi 2019 annual conference

WELCOME TO THEACOI 2019 ANNUAL CONFERENCE

Tuesday, 19th November

Conrad Dublin Hotel CPD Code: 2019-2495

Insight. Intelligence. Impact.

Breakfastsponsored by

ACOI 2019 Annual Conference starts @ 08:45

Conference Schedule

07:30 - 08:30 Registration & Breakfast sponsored by Azon Recruitment

08:45 - 09:00 Opening Address09:00 - 09:45 The Irish regulatory regime – the UK perspective09:45 - 10:15 Culture – the lessons from recent regulatory actions

10:15 - 10:45 Building an Ethically Strong Organisation

10:45 - 11:15 Coffee Break sponsored by Milliman

11:15 - 12:00 The Evolving Role of the Compliance Officer 12:00 - 12:30 Inclusion & Diversity

12:30 - 14:00 Lunch sponsored by Northern Trust

14:00 - 15:30 Breakout Workshop Topics – DPO and FCC

Michael KavanaghChief ExecutiveACOI

Opening Address

Clive Kelly President ACOI

Michael KavanaghChief ExecutiveACOI

CPD Code: 2019-2495

The Irish Regulatory Regime – The UK Perspective

Oliver GeffroyManaging DirectorBank of America

Charles Farquharson Chief Executive Officer Insight Europe

Clive Kelly President ACOI

CPD Code: 2019-2495

Building an Ethically Strong Organisation

Amanda ShantzAssociate Professor &MBA Director

CPD Code: 2019-2495

Trinity Business School

Ethically strong cultures Amanda Shantz

Associate Professor and MBA Director

Trinity College Dublin

A strong culture…

Leads people to understand events in the same way

01Gives clear information about the consequences of behaving in one way or another

02Provides appropriate incentives to behave in a particular way

03Instills the skills necessary for performing the behavior

04

Mischel, 1968

Your manager has emphasized to you the necessity of having a strong

financial 4th quarter. You heard rumors that a customer who contributes

20% to your bottom line may be taking her business to a competitor.

Suddenly, she contacts you by telephone. She invites you to attend a golf trip

hosted at her organization’s retreat. Your company’s written policy on such

matters states that you are to say no, but this policy is seldom discussed by

anyone. You even know of cases where it has been over-looked in the past.

You can tell that the customer sounds impatient and wants an answer

immediately. You boss is away on holiday. Accepting this invitation may be

your best chance for salvaging this business relationship. Given the necessity

for a strong 4th quarter, what would you do in this situation?

What would you do?

What would managers in your company do?

Three foundations for creating an ethically strong situation

Purposeful leadership

Psychological safety

Complementary workplace practices

Our sample:• 5 organisations

• Private, public and non-profit sectors • 1557 surveys • 46 interviews • 16 focus groups • 4 workshops

…Have a sense of moral purpose, commitment to betterment of

others and society

…Achieve positive outcomes for people, the business, and society

…Act to achieve that purpose in

an ethical manner

Purposeful Vision Strong Moral SelfCommitment to Stakeholders

What does purposeful leadership mean?

Purposeful leadership

• The moral tone of an organisation is set by top management; workers get their ethical cues by observing what their bosses do

• It needs to be demonstrated not just by the CEO, but at every level, including first line supervisors

• Research shows that employees who believe their leaders care about ethics as much as the bottom line are:• Less likely to engage in unethical behaviour themselves • Have greater awareness of ethical issues • Are more willing to deliver ‘bad’ news to management and report unethical

behaviour • More committed to their organisation and engaged at work

Such leaders are comparatively rare…

25%

75%

High purposeful Low purposeful

• Breaking it down further…• 35% of leaders said they had a

strong vision for their team • 38% of leaders said they were

committed to stakeholders • 8% of leaders said they had a

strong moral compass at work

• When we asked employees…• Only 40% said that their manager

behaves ethically

How can managers develop a reputation for being ethical?• Moral person

• Manager acts with integrity, honesty, and trustworthiness, treating others with respect and dignity

• Moral manager• Visibly role modelling ethical conduct, applying a reward system to hold

everyone accountable, and regularly and openly speaking to employees about the importance of ethical values

• To be seen as an ethical leader, a manager needs to embody both a moral personhood, and be seen as a moral manager or else be seen as hypocritical

(Trevino, Brown, & Pincus-Hartman, 2003)

How does Mark Parker (CEO) stand up?

• In March 2017, two female senior executives at Nike resigned due to workplace harassment issues and informed Parker and other board members about the issue

• In July 2017, other female employees conducted a covert internal survey asking women if they had been victims of harassment or gender discrimination

• In 2018, a report was brought to Parker, including allegations that issues had been reported for years, but nothing was done about them

• Parker announced immediate action and in the next 2 months, 11 senior executives either resigned or announced early retirement, including Trevor Edwards, who allegedly engaged in misconduct himself and protected male subordinates who demeaned women colleagues

• Internally, Parker stated that Edwards left because of the report, but in the public message, did not attribute the departure to misconduct. Edwards left Nike with a severance package of $525,000 and stock options worth $9 million

Agnihotri & Bhattacharya, 2018

Build psychological safety

• Are you comfortable making yourself vulnerable in front of people you see every day at work?

• Are you comfortable…:

• Speaking up in a meeting or proposing a risky or untested idea?

• Admitting publicly that your project failed and offer lessons you learned in the process?

• Volunteering for something you have no idea how to do?

• Disagreeing with your boss, or offering a different way forward than he or she had previously considered?

Why is psychological safety important?

• In uncertain, interdependent environments, a provocation is met with a flight or fight response (act first, think later), hijacking the brain, shutting down perspective taking and analytical reasoning, handicapping the strategic thinking we need

• Psychological safety allows us to rely on another system – broaden and build mode of positive emotions, allowing us to solve complex problems and foster cooperative relationships; positive emotions like trust, curiosity, confidence and inspiration broaden the mind and help us build psychological and social resources – we become more open minded, resilient, motivated, and persistent when we feel safe

• Research shows that psychological safety allows for moderate risk-taking, speaking your mind, creativity, and sticking your neck out without fear of having it cut off —just the types of behavior that lead to market breakthroughs and the courageous and high performance culture that many organisations seek

Embracing and framing failure

Preventable Complex Intelligent

Definition Deviations from known processes that produce unwanted outcomes

Unique and novel combinations of events and actions that give rise to unwanted outcomes

Novel forays into new territory that lead to unwanted outcomes

Common causes Behaviour, skill, and attention deficiencies

Complexity, variability, and novel factors imposed on familiar situations

Uncertainly, experimentation, and risk taking

Example contexts Production line manufacturing Hospital care New product development

Dealing with failure “Good catch” events; appreciating those who catch mistakes

Examine fault-lines among teams/departments and encourage new ways of working

Multiple failures should be courted and celebrated as they are the only means to success

Situational humility No one wants to take the risk of sharing their ideas when the boss thinks s/he knows everything

Develop a learning mindset – combine humility and curiosity – when leaders do so, they invite learning behaviour

Proactive inquiry Purposefully probe to learn more about an issue, situation or person (beware of naïve realism)

Pick the right question

• To broaden understanding, ask: What might we be missing? What other ideas could we generate? Who has a different perspective?

• To deepen understanding, ask: What leads you to think so? Can you bring me through your thought process on this one so that I can understand?


Vertical alignment

• Ensuring a match between the firm’s strategy (and other elements of context) with workplace practices

• The question: Are ethics and values part of the organisation’s strategy?

Horizontal alignment

• Creating bundles of workplace practices that are internally consistent and complementary

• The question: Are workplace practices, such as training, performance management, rewards, and other policies directing people to behave in an ethical or values-driven way?

How KPMG created a strong ethical culture

• Compensation • Today there is one compensation pool for the entire firm and everyone’s compensation is set at

the beginning of the year (variable pay used to be 25% of partner compensation)

• Governance • Power is distributed; professional practice committee, ethics and compliance committee,

operations committee, and the chief audit executive was empowered (used to be siloed, allowing executives to overrule complaints/objections and hide information from the board)

• Touchpoints • Interviewers required to discuss ethics and compliance with all interviewees • Personnel required to take ethics and compliance training courses • Quarterly training summits were held to develop ways to integrate ethics and compliance • Exit surveys ask questions about ethical concerns

• Communication • Established an anonymous hotline, independent third party • Office of Ombudsman; heaps of communication

Eccles & Sherman, 2009

Three foundations for creating an ethically strong situation

Ethical leadership

Psychological safety


Trinity Business School

•Thank You

Coffee Breaksponsored by

Next Up – The Evolving Role of the Compliance Officer @ 11:15

Milliman is among the world's largest providers of

actuarial and related products and services. Our

mission is to help our clients protect the health and

financial well-being of people everywhere.

Please get in touch if we can help you with your

compliance needs, including our Solvency II and

Outsourcing compliance [email protected]

Milliman

[email protected]

The Evolving Role of the Compliance Officer

Cameron MarrIndependent Non-Executive Director

Lorraine BlayneyChief Risk Officer Northern Trust – Ireland

Edel MurphyVodafone

Rose KennedyDirector Risk Advisory, Regulatory Risk at Deloitte

CPD Code: 2019-2495

Inclusion & Diversity

Jason SherlockDirector of DevelopmentDCU

CPD Code: 2019-2495

ACOI Conference – November 2019

‘Diversity & Inclusion’

Diversity and Inclusion

Jason Sherlock, Director of Development,

DCU Educational Trust

DCU – Transforming lives and

societies

DCU by numbers

17,000+ students – Ireland’s fastest

growing university

22% students are international with

110 nationalities

80,000+ alumni

92% graduates in employment / further study after 6 months

70% students complete INTRA work

placement / study abroad

1,258 Access students

5 faculties

20%

22%

10%

21%

21%

6%Science & Health

Humanities & Social Sciences

Engineering & Computing

DCU Institute of Education

DCU Business School

DCU Connected / Other

Talent, Discovery & Transformation

Strategic Plan 2017 - 2022

Mission:

To transform lives and

societies through

education, research, innovation, and

engagement.

6 key themes

Talent

Discovery

Creativity

Society

Technology

Sustainability

DCU Educational Trust

• Registered charity to advance development of DCU

• Passionate about the power of higher education to transform lives and society

• Building meaningful partnerships with DCU’s supporters for today and for the future

Equal opportunity for talented youth

DCU Access Programme

The educational divide

64%

of second level students transfer to higher education nationally

26%

of lower socio- economic groups transfer to higher education

1 in 3

have a third level qualification nationally

8%

have a third level qualification in some North Dublin neighbourhoods close to DCU

“Just six of my secondary

school classmates went

to university, most of the

rest went straight to

work.”

George – Physics and Biomedical Science 2019

“Growing up in

Ballybough, I didn’t

know anybody who had

gone to college and I

had no idea what to

expect.”

Robynn Walker, BA in Irish and

Human Development 2018

DCU Access Programme

• Makes education attainable to students from disadvantaged socio-economic backgrounds

• Operating for 29 years

• 10,000 primary and secondary DEIS students participate in Access DCU initiatives each year

Life cycle of engagement

Primary Schools

Programme of

Engagement

Junior Cycle

U & University

Senior Cycle

DCU TY

Senior Cycle

5th & 6th Year

U First Programme

DCU Access Scholars

Post Entry Support:

entry to graduation

HEAR / Access Entry Routes

• 10% of first year places on all DCU undergraduate courses allocated for reduced points entry to students entering through the HEAR/DCU Access routes.

• 70% of first year DCU Access students enter with a reduced points offer.

Post-entry supports

Financial

• Access Scholarship

• Budgeting advice

Academic

• Additional tuition

• Advocacy

Personal

• One-to-ones

• Referral to other services

Professional

• Internships

• Mentoring

“At the start of the year, I was

working in a supermarket five nights

per week until 11pm, in addition to

my college work, and I was

exhausted.

Thanks to my Access scholarship, I

have been able to reduce my

working hours and concentrate on

my studies.”

Eromonsele Clements, BSc in Mechatronic Engineering, 2nd year

Access students excel

• 93% complete studies

• 53% go on to Master’s level or higher

• 96% seeking employment find it

• 97% graduates achieved higher honours degree in 2018

DCU Access to the Workplace

Programme

Access to the Workplace

• Summer work placements for 2nd year DCU Access students in established workplaces

• Assists students without the social capital and connections of their peers, to compete on a level playing field in the workplace

2019 Pilot Programme

• “Work Readiness” modules provided by DCU Careers Service and external partners including Workday and PwC

• 50 DCU Access students placed in over 38 leading Irish companies in 2019

Evaluation results

25

• Participating students interviewed

22

• Participating companies interviewed

91%

• Companies said programmemet or exceeded expectations

100%

• Students would recommend the programmeto others

72%

• Students said participation had increased their motivation levels in relation to their degree and career

100%

• Companies plan to offer a placement again next year

What our 2019 participants said

https://youtu.be/CMoxCRnGxak



Access to the Workplace –

2020 Launch Event27th November 2019 | 10.30 – 12.30

The U, DCU Glasnevin Campus

• Anne O’Leary, CEO, Vodafone Ireland:

Fireside chat on ethical and business case

for diversity and inclusion

• Findings from independent evaluation of

Access to the Workplace 2019 pilot

Register at:

www.shapingthefuture.dcu.ie/attw2020

http://www.shapingthefuture.dcu.ie/attw2020

Thank you to our Sponsors

& our Exhibitors

Lunchsponsored by

Next Up – Financial Crime & Data Protection Workshops @ 14:00

welcome to the acoi 2019 annual conference

Documents