DHL GLOBAL TECHNOLOGY CONFERENCE 2015 Breakout Session:
Networks – Mastering the growth in Africa
Dubai, 14–16 April 2015
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What will happen in this session
Agenda
• The growth potential in Africa is highly dependent on
Energy, Logistics and ICT networks companies to lay the
foundation for prosperous development
• Compliance is seen as one of the key challenges in
supplying the necessary infrastructure in Africa
• This session invites representatives from network
equipment providers & mobile operators to discuss
common challenges and to shape potential solutions for
more effective Supply chains
Facilitators
• Sofia Halfmann – Divisional Compliance Officer
• Christian van Lancker – Vice President, Business
Development Technology, Middle East & Africa
• Andreas Johansson – Vice President, Global Account
Closer to the event, we
will provide you with
logos of registered
customers for the
session
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Setting the scene
Introduction to Networks
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Let’s get interactive!
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (1/6)
Networks companies are more
willing than ever before to share
their thoughts on Supply Chain
design & execution.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (2/6)
The Networks sector is in the
forefront of Supply Chain
thinking.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (3/6)
Supply Chains for Africa must
be radically different than
elsewhere in the world.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (4/6)
Networks companies can share
their logistics infrastructure in
Africa.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (5/6)
The African Supply Chain is best
orchestrated by the Operators,
not by the OEMs.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Statement – Do you agree or disagree? (6/6)
Compliance has a big impact on
how my company & my
competition do business in
Africa.
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Consequences of non-compliance
“If you think Compliance is
expensive, try non-compliance” (Paul McNulty, U.S. Deputy Attorney General)
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Incoterms
Compliance Risks
Foreign trade laws Data privacy Dangerous
goods regulations
Labour laws Montreal convention EHST laws Books and records
Anti-Money laundering Tax laws OECD convention Financial reporting
Anti-Discrimination Penal codes Local anti-bribery laws Insider trading
Telecommunication
laws Government acts Anti-trust laws Drug laws
Transportation laws Warsaw convention Customs regulations International
anti-bribery laws
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Corruption perception index (CPI)
Country CPI
United Arab Emirates 69
Qatar 68
Mauritius 52
Bahrain 48
Namibia 48
Oman 47
Ghana 46
Country CPI
Kuwait 43
South Africa 42
Senegal 41
Zambia 38
Morocco 37
Gabon 34
Tanzania 33
Egypt 32
Mozambique 30
Lebanon 28
Madagascar 28
Côte d´Ivoire 27
Kenya 27
Uganda 26
Cameroon 25
Nigeria 25
Angola 23
Dem. Rep. of the Congo 22
Iraq 16
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
©Transparency International, 2014
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What is a Bribe?
Bribery =
• Offering, giving, receiving or soliciting
• Any item of value
• To influence the actions of an official or other person in charge
• To obtain or retain business or get an unfair advantage
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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Network sector
High Risk Areas, due to
• Main contact/business partners are public officials
• Dependence on local licenses, certificates, permissions
• Requirements or necessity to work with local agents, intermediaries
• Similar products offered in a competitive market
• High investments in local infrastructure
• Sensitive technical equipment and foreign expert know-how required
• Equipment needs to be imported and customs cleared
• Specific demands and know-how required for export/import and customs clearance
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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What you can do … (1/3)
• Build your company’s reputation for refusing to make improper payments as a matter of corporate
policy
• Report and seek legal/compliance advice regarding demands for questionable payments
• Perform Third Party Due Diligence Checks on your intermediaries, agents and other business
partners interacting with public officials
• Avoid advance payments or (unreasonably high) commissions depending exclusively on business
transactions
• Demand reasons for delays or denials of business
• Do not reveal that you are under time/business pressure
• Whenever possible, operate as a team consisting of at least two employees who must comply with
strict reporting directives and control mechanisms
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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What you can do … (2/3)
• Ask for the name and position of the demanding officer and request to meet his/her superior
• Consider informing the official’s supervisor of any solicitation
• Request a meeting with the central authority or relevant ministry to request that actions be taken
• When meeting with the official to discuss the demand or denial, request to be accompanied by a
lawyer or compliance officer to reduce the probability of being asked to make a bribe
• Assure internal gifts & hospitality provisions are in place
• Carefully check any request for donation and charitable contribution and the relevant recipients
• Assure use of agreements approved by your legal department for any sponsorship, consultancy or
other service contract
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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What you can do … (3/3)
• Assure fair market value considerations are applied for any sponsorship, consultancy or other service
agreement
• Avoid cash payments whenever possible, using instead checks or electronic transfers
• Do not transfer payments to accounts in tax havens or to unknown account holders
• Never pay for services without an official invoice and/or receipt
• Whenever feasible, replace face-to-face:
– Payment of invoices, duties, fees, taxes, etc., with electronic transfers directly to official bank
accounts of government agencies, service providers or business partners
– Communication required for official approvals with electronic communication and documents
Breakout Session Networks | DHL Technology Conference Dubai | April 14–16 2015
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THANK YOU