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Crisis Management- What is Your Communications Plan?
In the past I have commented on crisis management and the tools needed to handle such crisis in today’s business environment. Failure to properly handle a crisis may lead to the business closing its doors as in the picture to the left. Of course what companies are finding out is that international crisis are harder to handle than domestic ones. Why? In today’s world, many companies do business internationally. (more…)
Dawn Raids can be stressful…… In Korea, as in other countries, competition or anti-trust authorities are very active. In fact, Korea’ s competition authority- the Korean Fair Trade Commission ( “KFTC”) has become more aggressive during the last few years than it used to be. In order for companies to manage the legal risk of an anti-trust investigation, such as in Korea, the managers of companies that are potential targets should know how to handle themselves during a “Dawn Raid”. A Dawn Raid is when competition authorities show up at the office or offices of a targeted company and seek to look at or take documents that are relevant to the investigation. Even of course computers, etc. Office managers or factory managers need to be prepared to handle Dawn Raids as so should in-house counsel.
What should you or your employees do in case of a “Dawn Raid”? Here are a few tips in case you are the subject of a Dawn Raid in Korea by the KFTC:
On the arrival of officials from the KFTC
1. What you should do
2. You should then:
3. Don’t
During the investigation
1. Don’t
2. Do
Though Dawn Raids maybe very stressful, it is important to be courteous as well as cautious. Remember, this maybe the first step in an anti-trust investigation, but it is a key step and should be handled in a very professional manner.
International Negotiations-Negotiate At Your Own Risk
As more and more companies are entering the international marketplace in search of new territories and markets for their products and services, it is becoming apparent that culture and communication is having a direct impact on business negotiations due to the international aspect of the transactions. International business transactions are in turn effected by negotiations between the international parties which are in turn effected by culture and communications. After all, it is about culture isnt it? But failure to appreciate the culture and background of your counterpart can actually lead to disaster. When conducting international negotiations you must try and understand your counterpart, which when dealing with two distinct and different cultures maybe difficult.
Companies entering into new markets must in essence be mindful of:
In reality, international business and associated risks are to a certain extent dictated by international business communications and culture. International negotiations are much more complex than domestic negotiations by the fact they involve different cultures, different languages and perhaps different views of the world. Culture will determine how companies and their negotiators look at negotiations. Certain societies will have a greater risk tolerance than others. Some cultures will look at the future differently or will value compromise differently. Some cultures promote problem solving while others promote individualistic goals with little concern for the other side. Negotiating with other cultures can lead to a clash of values, disagreements over the meaning of words, confusion over inaction or action, and of course failed negotiations. There are a number of factors which make international negotiations as well as international business more challenging such as :
Understanding the culture of your counterpart becomes important. If you understand the culture of someone you negotiate with you have a better chance of succeeding. Understanding a different culture means you will communicate more effectively than if you had no idea as to the culture of the person sitting across the table form you. If you are to negotiate effectively with people from different cultures and perhaps different countries a number of steps should be taken:
Successful negotiations normally involve a decision amongst the parties to search for an agreement instead of fighting. Parties must be able to manage tangibles such as price and terms as well as intangibles such as the underlying motivation to negotiate. How does one view negotiation itself? Usually, different cultures view negotiations as well as success differently. So the challenges to successful international negotiations are apparent. One has to understand the multiple influences of culture and communications on the international negotiation process and update that understanding regularly as circumstances change. Remember, culture is not static but is always changing. Remember- when conducting international negotiations you do so at your own risk. However, if conducted properly, it can be a very effective risk management tool.
In the past an often-overlooked area of risk management was data privacy or data protection. Many companies did not even associate data privacy with risk. However, as more and more countries begin to regulate the use of data by companies, and as more and more companies are experiencing data theft or hacking, data privacy has emerged as one of the hot topics of legal risk management. More and more countries are enacting tougher regulations when it comes to personal data. South Korea is an example, as due to its credit card hacking scandal, it recently amended its data privacy protection laws to be more rigorous and comprehensive. (more…)
Controlling risk......In the legal risk management world, 2015 can either be a prosperous,stable and secure year or a year filled with litigation, investigations, claims, fines and lost profits. It primarily depends on what actions a company's management ( the BD, Upper Management, Legal,Compliance and Risk Management) takes with regards to risk. (more…)
Do You Know Your Department's Processes?
One of the major issues facing companies from a compliance and risk management standpoint is the failure of companies to adequately map out the company processes as well as the scope and duties of its employees. Over time, many employees naturally add to or change or modify their roles and responsibilities. (more…)
