- Compliance Program
- Significance of Compliance Program
Significance of Compliance Program
Compliance Program, CP
For corporations, a compliance program is a set of norms and principles ensuring the autonomous observance of all laws and regulations pertaining to fair trade and makes it possible to eliminate in advance risks associated with violations of relevant laws and regulations.
Since becoming the first company in the pharmaceutical industry to adopt a compliance program in 2007, Ildong Pharmaceutical has declared its commitment to ethical, transparent, and trusted management practices, received the Trusted Management Award six years running, and remained unwaveringly committed to earning and maintaining the trust of its customers.
The company may not engage in any activity
that is compensatory in nature or considered
excessive in comparison to social norms
and must disclose with absolute
transparency all its activities.
- 7 Elements
- Element 1 CEO’s Declaration of Commitment to Compliance and Introduction of Compliance Policy The CEO is required to communicate to all employees the company’s commitment to compliance with all laws and regulations concerning fair trade and the company’s compliance policy through an official declaration or in writing.
- Element 2 Appointment of Compliance Manager The board of directors is required to appoint a compliance manager and announce said manager to all employees.
- Element 3 Production and Distribution of a Compliance Manual Compliance Manager is to produce a compliance manual and distribute it to, at the very least, personnel in high-risk departments such as purchasing and sales.
- Element 4 Sustained and Systematic Compliance Training Minimum two hours of compliance training, including online video training, must be provided to personnel in high-risk departments such as purchasing and sales every six months.
- Element 5 Monitoring via an Internal Supervision System A compliance-monitoring system must be set in place and a compliance supervision and audit report must be submitted to and approved by the board of directors or the company’s executives at least once a year.
- Element 6 Punishment against Non-Compliance A separate set of rules defining punishments appropriate to the severity of each type of compliance violation must be established and enforced.
- Element 7 Documentation A system for creating, storing, and managing documentation concerning compliance must be set in place.
This is Vice President Cho Seok-je, and I am Ildong Pharmaceutical’s compliance manager.
Ildong Pharmaceutical has for long time now been working hard to develop and supply superb pharmaceuticals under the vision of serving as an elite organization contributing to the health and happiness of humankind. However, just as important as manufacturing products of the highest quality is to us is respecting the law, doing business the ethical way, and walking the righteous path.
As I am sure you are already aware, a compliance program is a set of norms and principles all members of the organization must uphold and practice in order to ensure full compliance with all relevant laws and regulations and is today an essential and irreplaceable component of a company’s survival and success.
Ildong Pharmaceutical, in recognizing the importance of compliance, introduced our very own compliance program as a show of the company’s commitment to ethical management in July 2007 and have since remained focused on melding compliance into the very core of our corporate culture.
The company’s organizational structure was amended in July 2014 to place the compliance unit directly under the control of the CEO and give it even greater independence. That same month, we also held a ceremony in which the CEO declared his personal commitment to compliance and all employees read out loud, signed, and submitted compliance pledges.
We have also established new regulations and revised existing ones to present a clear code of compliance conduct to our employees and introduced monitoring and training programs to make the necessary changes and improvements to our standard operating procedures at risk of noncompliance.
“Compliance is a requirement and not a choice,” our CEO once said, and we will continue to share this belief and strive to uphold the three compliance principles. We will rigorously hold those who violate the company’s code of conduct or any of the relevant laws or regulations fully accountable by taking punitive actions while rewarding those who practice, defend, and promote our rules and policies on compliance in order to incorporate compliance as an essential part of our culture.
Ildong Pharmaceutical’s continued growth and success rest in the hands of individual employees, our recognition of the importance of ethics and compliance, and our willingness to make the right decision each and every time. Thank you.
Vice President Cho Seok-je, Compliance Manager