Implementing Compliance Programs in a Consensus Culture

David Birk, SVP General Counsel , Blackbelt Compliance, USA

Growth of “Mandatory” Compliance Requirements Since the publication of the US Federal Sentencing Guidelines in 1991, there has been a growing belief that compliance programs for public companies are “mandatory.” Boards of Directors, Audit Committees, regulators and shareholder activist groups have been making it clear that management is charged with the adoption and maintenance of adequate compliance systems and controls. This clarity of purpose around compliance gained momentum following the tragic incident in the US on September 11, 2001. Since that time there has been added awareness in the US of the globalization of the nation’s economy and growing concern about protection of borders and sensitive technology. This has given rise to increased regulation of people and data, not only in the US but around the world. There has also been an insistence by an expanding number of governments that rules of economic fairness be adopted and enforced, and hence, a mounting emphasis on efforts to combat corruption and to mandate further transparency and disclosure of business tactics. This sensitivity has been heightened with respect to emerging markets such as the so-called BRIC countries (Brazil, Russia, India and China).

David R. Birk is the recently retired Senior Vice President & General Counsel of Avnet, Inc., a Fortune 150 global company which distributes and adds value to electronic components and computer products. He was General Counsel of Avnet for 23 years and was an attorney for Avnet for a total of 32 years. He also served for periods of time as Avnet’s Corporate Secretary and Chief of Staff. David was the chief architect of Avnet’s Shared Services design and implementation; and he lived in Europe on assignment for Avnet from 2003 to 2005. He has certifications in organizational change management and project management. David is currently managing director of Black Belt Compliance, LLC., a consulting firm that assists public companies with design and implementation of compliance programs. He can be contacted by email at dbirk@blackbelt-compliance.com.

Avnet is one of the largest distributors of electronic components, including connectors and semiconductors, technology solutions, computer products and embedded technology. Black Belt Compliance is a consulting firm focused on coaching and assisting leadership teams in public companies in connection with implementation of compliance programs.