The Procurement Glossary » Anti-Bribery & Corruption (ABC)

Anti-Bribery & Corruption (ABC)

Compliance & Risk

Also known as: ABC

Definition

Policies and controls to prevent giving or receiving bribes and other corrupt inducements in the buying process.

Explanation

ABC compliance guards a high-risk area: supplier relationships involving money and favours. It covers gifts and hospitality limits, third-party due diligence, and clear consequences, backed by laws with heavy penalties.

Example

ABC policy caps supplier gifts and requires declaring any hospitality over RM200.

Related terms

• Conflict of Interest — A situation where personal interests could improperly influence a procurement decision.
• Supplier Code of Conduct — A statement of the ethical, labour, safety and environmental standards a buyer expects its suppliers to uphold.
• Due Diligence — The investigation of a supplier's legitimacy, capability, financial health and compliance before engaging it.
• Regulatory Compliance — Adherence to the laws and regulations that apply to buying, importing and operating in a given market.

Frequently Asked Questions

What is Anti-Bribery & Corruption (ABC)?

Policies and controls to prevent giving or receiving bribes and other corrupt inducements in the buying process. ABC compliance guards a high-risk area: supplier relationships involving money and favours. It covers gifts and hospitality limits, third-party due diligence, and clear consequences, backed by laws with heavy penalties.

Can you give an example of Anti-Bribery & Corruption (ABC)?

ABC policy caps supplier gifts and requires declaring any hospitality over RM200.

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