Donna Boehme – January 9, 2019
I think it can be said, General Electric has had a Terrible, Horrible, No Good, Very Bad 18 months.
But unlike GM, VW, Wells Fargo, CBS and many others ahead of it, this one could have been predicted decades ago. That’s how long the company and its clueless management have been married to its disastrous Compliance 1.0 “DIY Compliance” model. The model where Compliance is regarded as nothing more than a captive subset of the Legal Department and a “process integrator,” to quote one very myopic and uninformed General Counsel/Statesman!
Because, when management believes that its Legal wizards of smart can “do” compliance armed with nothing more than a J.D. and a dream, it is missing the critical management tool and leader to guide it in today’s modern corporate environment where culture, reputation, ethical leadership and accountability need a very different SME – Compliance SME earned in the trenches!
Compliance Thought leaders have often wondered out loud how long the GE Compliance 1.0 Meltdown could be disguised, but getting booted off the Dow + ongoing DOJ+SEC investigations look to be just the tip of the spear. Should we have expected any different outcome for the INVENTOR of the failed Compliance 1.0 model??