How can I develop a corporate compliance program for my GSA Schedule Contract?
Recently, the U.S. government is requiring more GSA contractor transparency than ever before. The success of your GSA Schedule Contract and government sales strategy relies heavily on corporate compliance. If you’re company did not have a corporate compliance program in place prior to be awarded a GSA Schedule Contract, you will definitely need to implement one going forward. This will protect your company against government fines, audits and penalties. An effective corporate compliance program will be centered on:
Corporate Compliance Requirements
- Ensuring that your GSA contract is kept in line with the latest applicable regulations
- Adherence to all reporting requirements
- GSA pricing is kept current and accurate
- Corporate Controls have been established to monitor price reductions to your basis of award customer (BOA)
These requirements touch on the basic needs for effective corporate compliance. However, there are several steps business leaders must take in order develop an efficient corporate compliance program. A common issue is communication, most CEO’s and business leaders do not effectively train employees on GSA pricing requirements. Employees must be properly trained to identify the basis of awards from the Price Reduction Clause (PRC). The training aspect is very instrumental to the success of your corporate compliance program because it ensures that knows about the specifics of the GSA contract and possess knowledge about the discounts they can offer for customers.
In addition to training, GSA contractors should establish and enforce a pricing floor. These pricing floors should be based on the lowest possible price you can offer based on BOA. Another problem is employees do not know who they can buy from their GSA contract. This can be detrimental to your compliance program because it leaves your business with loss opportunities and in turn a loss of revenue. Learn more about compliance risks and how to develop effective corporate compliance in this complimentary webinar.