Taking note of the recent scandal involving Canadian Engineering firm SNC Lavalin, dwelling in the problems of the past doesn’t repair a company’s tarnished reputation, as is noted in a recent article in Global BC. The January allegations of $160 Million in bribes to the Gaddafi regime in Libya for land contracts – a deli
berate and obvious betrayal of the ICECB’s fundamental business conduct regulations (pages 14-15 on pdf) – has massively damaged both the consumer and investor side of their reputation.
SNC Lavalin serves as a strong example of how the incentive of unethical business practices shouldn’t supersede the importance of legal profit maximization.Companies following unethical practices, though dependent on scale, can easily find themselves in a similar situation.
In the article, SNC has a simple outlook: “let’s look at the future”, according to Chief Compliance Officer Andreas Pohlmann. The firm effectively starts a new chapter for its organization by being forward-looking. And when it comes to the initial steps of rebuilding their reputation, SNC’s path is easily more potent than attempting to cover up a colossal blemish as it stands.
Click to see the investor-side effect of the scandal
Photo Reference: SNC Lavalin