ITPEC IP October 2023 Question 77

Which of the following is a corporate activity of compliance promotion?

Explanation

A code of conduct and manual for following the law, with ethics education — compliance promotion means making employees obey laws and corporate ethics.

Compliance is observing laws, regulations and social norms. Companies promote it by setting a code of conduct based on corporate ethics, writing a conduct manual, educating employees until they understand the rules, and adding consultation and whistle-blowing channels. Option (d) describes the first steps of that. The other options share information to improve business results.

Answer (d)

Why not others:

  • •(a) — sharing sales know-how, customer and negotiation information in the sales department describes SFA (sales force automation)
  • •(b) — sharing customer and purchase history across all customer-facing departments to raise satisfaction describes CRM
  • •(c) — sharing schedules, documents, messages and room bookings within groups describes groupware

Key rule: Compliance promotion is about rules and people (a code of conduct, manuals, education, reporting channels), not about information systems that raise sales or efficiency.

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