28 June, 2006

Second Wave of Promoting Ethical Business in Indonesia

Since 1998, Indonesia Business Links focus on how to attract private sector to alert and eager to talking about how doing business ethically in Indonesia. This initiative was roll on very fast in line with the political will from Government of Indonesia (GoI) to combating corruption in this country. On this phase, involvement of private sector more tend to as partner of government official through socialization of Law No. 20/2001 amandement to Law no. 31/1999 on Corruption Eradication. Based on that law and the experiences, we learned that they have three type of relation between state apparatus or civil servant with private sector or public :

1. Extortion or Exploitation of Power, Article 12
2. Bribery controlled by Article 5,6 and Article 11
3. Gratification stated by Article 12b, 12c and Article 13

Until this stage, we succeed to invite more than 450 participant, came to big seventh cities in Indonesia and about 10 prominent resources from private sector share their experiences and enlighten to audience about how they implement doing business ethically. We learned about what is the Code of Conduct from BP, we know about what was Anti Corruption Unit in BRR did, how the General Manager of Plaza Surabaya hotel look that they have a “niche market” while they campaign that they do not accept the mark up invoice to their customer. Wide spectrum and point of view from various background when they talked the same thing is very clear messages that corruption is not good at all.
Next to 2007 year, the second wave will come to private sector itself, not as a partner of government official or state apparatus. Commision of Eradication Corruption (Komisi Pemberantasan Korupsi) will investigate directly to the corporation which have indication do the corruption practices. In many occasion KPK , stated that next year they will focus and move on to to private sector. Some preparation should do before go to this step, we need more comprehensive Law to accommodate this obsession, because recent Law only regulate to the civil servant or state apparatus. IBL, persistent and committed hand in hand with KPK to enter this wave. One of the point of view, how we, as private sector can do is implementing Code of Conduct (CoC) internally. Specific effort will invested by IBL to make a guideline how to make and implement CoC with making appropriate & culturally sensitive decision. We strongly believe that through this initiative, companies can collectively contribute to the creation of enabling environment for business as we are able to continue outreaching more audiences and geographical coverage in Indonesia.

Last but not least, we are pleased to learn private sector interest on our initiative in campaigning ways to conduct this mission through the second wave of Promoting Ethical Business in Indonesia.

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