Transparency International Defence & Security would like to announce the initial phase of the 2019 edition of the Defence Companies Anti-Corruption Index (DCI).

Update: Following a thorough review of the company feedback, we will now begin the assessments in May 2019 to account for company reporting periods.

What is the Defence Companies Anti-Corruption Index (DCI)?

The DCI sets standards for transparency, accountability and anti-corruption programmes in the defence sector. By analysing what companies are publicly committing to in terms of their openness, policies and procedures, we seek to drive reform in the sector, reducing corruption and its impact. The DCI will assess 145 of the world’s leading defence companies across 39 countries. The Index was first published in 2012 with a second edition in 2015, and the latest edition is set to be published in 2019.

The upcoming index will apply a revised methodology and will include some key differences from previous editions. The draft Questionnaire and Model Answer document can be found here.

The 2015 DCI can be found here.

How will the 2019 Index be different?

After a comprehensive review, the new DCI assessment has evolved and should be read alongside our recent report ‘Out of the Shadows: Promoting Openness and Accountability in the Global Defence Industry’ – which provides greater insight into the theory behind our methodology. Based on consultations with anti-corruption and defence experts, TI DS have identified ten key areas where higher anti-corruption standards and improved disclosure can reduce the opportunity for corruption.

In one the most significant changes to the methodology, TI DS will this year base the research only on what companies choose to make publicly available. The decision to exclude internal information from the evaluation reflects our increased focus on transparency, public disclosure of information, incident response and the practical implementation of anti-bribery and corruption programmes.

How have companies been selected?

Companies for the 2019 DCI have been selected on the basis that:

• The company features in the 2016 edition of SIPRI’s Top 100 Arms-Producing and Military Services companies.
• The company features in the 2016 edition of Defence Industry Weekly’s Top 100 defence companies.
• The company is the largest national defence company headquartered in a country exporting at least £10 million, as identified by SIPRI.

To see the list of companies selected for assessment in 2019, click here.

How will data on companies be collected?

Our assessment of a company’s individual anti-bribery and corruption record is based entirely on publicly available information. In particular, we will review the company’s website, including any available reports, for evidence of robust anti-corruption systems, as well as any functioning hyperlinks to other relevant online materials. In reviewing your company’s materials, we will assess the completeness and accessibility of the information, in particular:

• The amount of information a company publishes about its internal anti-corruption programmes, incident response systems and interactions with third parties;
• Evidence that these systems are used by employees and made available to all employees;
• Evidence that the company monitors and reviews its anti-bribery and corruption processes.

Researchers from TI DS will conduct assessments of each company’s public information starting in May 2019, giving companies an opportunity to make any alterations to their publicly available information before the research process begins. The initial results will be shared with your company, after which you will have the opportunity to review the initial findings and suggest any corrections. The final assessments will be published on our website.

Where can I find the assessment criteria?

A draft version of the 2019 Questionnaire and Model Answer document is available here. Companies, governments, and civil society alike were invited to provide feedback on the methodology. To view an anonymised version of this feedback, click here. 

We are currently reviewing this feedback and aim to publish a final version of the Question and Model Answer document by early February 2019.

Our recent report ‘Out of the Shadows: Promoting Openness and Accountability in the Global Defence Industry’ provides greater insight into the theory behind the changes to the 2019 methodology.

What is the timeline for the Index?

The draft questions and model answers for the 2019 assessments are now available at www.ti-defence.org/dci.

We are currently reviewing the feedback received from companies, industry bodies and subject-matter experts and we will aim to publish a final version of the Question and Model Answer document early February 2019. Research will begin in May 2019 once companies have had some time to make improvements, should they wish to.

What do companies have to do next?

We are currently reviewing the feedback received from companies, industry bodies and subject-matter experts and we will aim to publish a final version of the Question and Model Answer document early February 2019. Research will begin in May 2019 once companies have had some time to make improvements, should they wish to.

Will we have an opportunity to give feedback on the methodology before the assessments start?

Yes – companies, industry groups and experts were able to provide feedback during a dedicated consultation period in November 2018. A document containing the entirety of this feedback in the form that it was submitted, with company names anonymised, is now available here.

Feedback is welcome from all users of the index including governments, civil society, journalists and companies.

Resources

• DRAFT Question and Answer Document 2019
• Full List of Companies Selected for Assessment in 2019
• Company Feedback, November 2018
• Report: ‘Out of the Shadows: Promoting Openness and Accountability in the Global Defence Industry’
• Past editions: Defence Companies Anti-Corruption Index 2015