Zero tolerance is the only way to prevent corruption and ruin the company from within. A zero-tolerance policy also ensures the company’s integrity and reputation. As one of the leading trading and distribution companies in Indonesia, PT Kimia Farma Trading & Distribution (KFTD) employs its own zero-tolerance policy to counter corruption and bribery.
Zero-Tolerance Policies
As of today, KFTD as a part of Kimia Farma Group has implemented several corruption and bribery prevention measures. All of these measures center around the implementation of the company’s Code of Corporate Governance (COCG), which in turn reflects the company’s Good Corporate Governance (GCG) practices. However, their zero-tolerance policies have three core components.
1. Guidelines for Receiving and Giving Gratuities
According to the Guidelines for Receiving and Giving Gratuities (Pedoman Pengelolaan Penerimaan dan Pemberian Gratifikasi), all gratuities—either tangible (gift/merchandise) or intangible (wedding invitation, etc.)—must be reported to the corresponding unit (Unit Pengendali Gratifikasi) when their value surpassed a certain amount. Following an investigation after the report was filed, the receiving party may or may not be required to return the gratuities.
2. Whistle Blowing System (WBS)
This system allows someone to file anonymous reports by mail or online if they witness suspicious activities within KFTD business operations. An appointed team will run an investigation based on the accompanying evidence and, if needed, take witnesses’ accounts. If proven guilty, sanctions will be invoked against the defendant according to the severity of the misconduct; otherwise, the case will be dismissed.
3. Anti-Bribery Management System
This system encapsulates KFTD’s commitment to creating a bribery-free corporate culture and the company’s vow to practice GCG principles in its operations. This Anti-Bribery Management System mentions in great detail the responsibility and rights attached to each role inside the company and how said responsibility should be fulfilled. As a management system, this system is the backbone of how KFTD as a business entity should be managed.
These three core components laid the foundation for KFTD to build its zero-tolerance policies against corruption and maintain its integrity as Indonesia’s leading pharmaceutical trading and distribution company.