Why your organisation should have a whistleblower service

A whistleblower service is a hotline or reporting system that helps employees report misconduct or unlawful activity or behaviour in the workplace. The whistleblower service can be managed internally by the organisation or externally by a third party.

Why implement a whistleblower service?

When a whistleblower service is in place, employees and other stakeholders in the organisations can inform management about suspected or actual wrongdoing. This means the organisation has a better chance of staying one step ahead to prevent a situation from escalating before it gets out of control.

Having a whistleblower solution for employees to report malpractice indicates that an organisation stands for transparency, security, and responsibility. It also brings several benefits to an organisation.

Risks that a whistleblower service can bring to an organisation’s attention include:

• Fraud or financial crime
• Bribery or corruption
• Environmental damage
• Leakage of sensitive information
• Serious misconduct
• Security flaws

Three main reasons why your company should have a whistleblower service:

1. To minimise potential costs

Fraud and financial crime cause great financial damage to organisations every year. Investment in a whistleblower service could actually minimise much larger costs due to fraud or financial crime. If you discover irregularities at an early stage, it could help you avoid financial damage while protecting your reputation and brand.

2. For better control and transparency

A well-functioning whistleblower service with clear guidelines minimises risks that can seriously harm your company or organisation. You get control of the situation and can always be one step ahead. At the same time, you show your employees and other stakeholders that you are an open and transparent company.

3. To protect your employees and stakeholders

When an external whistleblower service handles reports, you protect your employees and create increased trust in the management. By handling the matter outside the organisation, bias, self-control and attempts to silence can be prevented. The whistleblower should be guaranteed anonymity and feel protected throughout the process.

In conclusion

Having a whistleblower service is not only a legal requirement in many countries, but also a strategic choice for organisations. It helps mitigate potential financial risks, enhances control and transparency, and protects employees and stakeholders. Implementing a whistleblower service is an investment in the long-term success and sustainability of the organisation, ensuring a culture of integirty and responsible business practices.

Would you like to learn more about safe internal reporting channels? Please book a free demo with one of our Territory Managers to learn more about our secure whistleblower solution and how to comply with the Whistleblower Law.