Should you have a conflict-of-interest subject matter expert on your C&E team?
As the compliance and ethics (C&E) field develops so does the need to acquire/maintain relevant subject matter expertise for key areas such as corruption, competition law, privacy, anti-harassment/discrimination, trade or government business, among many others.
Should companies have subject matter experts (SMEs) for conflict of interest (COIs)?
In my view, not all programs need to have this sort of position. But those with relatively high COI risks – both in terms of the likelihood and impact of a violation, as well as challenges in deploying effective compliance measures – – should consider establishing one.
The role is not likely to require the full-time attention of the appointed employee, i.e., it can be an additional responsibility for an individual already in the C&E (or law) department. Note too that the role should be documented and reinforced by inclusion in the individual’s job description and performance criteria, among other things.
The role should also be addressed in governance documentation, such as the C&E program charter. Among other things, such documentation can help create clout for the position. This is particularly important given that COIs, more than many other risk areas, tend to involve high-level employees.
The SME approach can help keep track of pertinent COI laws, regulations. rules and other bodies of knowledge – e.g., behavioral ethics insights regarding the limits of disclosure as a mitigation device or the use of moral hazard analysis to identify incentives for non-compliance.
The SME can also help ensure that the:
- Risk assessments adequately address COI risks. Among other things, procedures (e.g., certifications), disclosure, training, communications, and other C&E measures must be fit for purpose.
- Audit function understands the need to include COI-related risks when setting audit priorities.
The subject matter expert can also help resolve individual COI issues – e.g., when to permit COIs, what type of management measures should accompany approved COIs) when they arise.
COI SMEs can also serve as a repository of internal or external COI precedents and maintain a database of relevant third-party COI policy information, e.g., gift, entertainment, travel, and charitable contributions policies of major customers)
Finally, COI SMEs can be tasked with focusing on culture: Are COI standards truly followed or are there double standards? And what is the sense at the company of “organizational justice?”
Source(s):
Should you have a conflict-of-interest subject matter expert on your C&E team? - Conflict of Interest Blog. (2025, April 17). Conflict of Interest Blog - Conflict of Interest Blog. https://conflictofinterestblog.com/2025/04/should-you-have-a-conflict-of-interest-subject-matter-expert-on-your-ce-team.html