GENERAL INFORMATION

Title: Linking business integrity portfolio monitoring to development impact outcomes

Description: Conduct research (and draft the resulting report) to identify links between business integrity risks¹ and company performance (specifically, that ensures that the company delivers on development impact outcomes) and, therefore, the information impact investors should collect from portfolio companies to manage business integrity risks effectively and protect intended impact.

Application closing date: Tuesday 8 October at 9:00 GMT. However, TI-UK will review applications and interview on a rolling basis and may close the application window sooner.

Approximate start and end date: October 2024 to September 2025.

Location of consultancy: Remote with occasional access to London for meetings.

BACKGROUND

Transparency International UK (TI-UK) is a leading independent anti-corruption organisation in the UK. For more than 25 years we have worked to expose and prevent corruption so that no one in the UK and where the UK has influence has to suffer its consequences. We are part of the Transparency International global movement made up of more than 100 country chapters around the world sharing one vision: a world in which government, business, civil society and the daily lives of people are free from corruption. By sharing our expertise we believe we can increase understanding of corruption in its various forms, develop effective solutions, and stop corruption taking hold.

TI-UK is embarking on the third phase of a strategically significant business integrity research project seeking to raise the bar on business integrity risk management in impact investing. Our research funder, and TI-UK’s partner throughout this project, is British International Investment (BII).

The first phase of this project sought to achieve a better understanding and importance of strong anti-corruption approaches while assessing investment opportunities, particularly in high corruption risk jurisdictions, and culminated in our ‘Investing with Integrity’ report (July 2022). Through the second phase of the project, we developed guidance for impact investors (‘Investing with Integrity: II’) outlining how to coordinate business integrity and environmental & social due diligence processes in order to conduct more proactive and holistic pre-investment due diligence.

The third phase of the project will focus on portfolio monitoring and create evidence-based recommendations specifying the business integrity information that impact investors should collect in order to manage business integrity risks effectively so that they do not undermine the intended developmental (including social and/or environmental) outcomes of the investment (development impact). These monitoring recommendations will not seek to unify the diverse approaches to portfolio monitoring but rather to offer targeted recommendations for investors interested in managing business integrity risks across the investment lifecycle and drawing links between business integrity risks and development impact outcomes.

TI-UK is seeking a consultant(s) or consultancy firm (the Consultant) to undertake the third phase of this research and draft the research report.

DELIVERABLES

The Consultant will be responsible for the project deliverables which include, but are not limited to:

1. Research methodology

Design a detailed research methodology covering the collection of relevant data, the data analysis methods to be used (specifically, to assess connections, linkages, or trends between business integrity risk and business performance that ensures that the business delivers on development impact outcomes), and how findings will be presented for our audience.

2. Literature review

Review and outline key findings from:

• Research studies exploring links between business integrity data and development impact.
• How the current and forthcoming ESG reporting standards and frameworks approach and impact business integrity risk management.
• Portfolio monitoring/reporting approaches among impact investors where available.

3. Stakeholder consultations

• Contribute to the identification of relevant stakeholders for the consultation process.
• Design the interview questions and a stakeholder survey.
• Conduct stakeholder interviews with support from TI-UK.

4. Data analysis

• Assess connections, linkages, or trends between business integrity and business performance that ensures that the business delivers on development impact outcomes.
• Identify a ‘long list’ of business integrity indicators (or data points) commonly used by impact investors (and/or other categories of investors) and, of these, a ‘short list’ of indicators (or data points) which identify the priority information (in terms of the level of linkage between business integrity risk and business performance) investors should collect (and why) for portfolio monitoring.

5. Report drafting (including case studies) and design

· Draft a report setting out the case for proactive portfolio monitoring and our evidence-based recommendations on the business integrity information and indicators that impact investors (and potentially other investors) should collect and/or use for portfolio monitoring.

• The report should include examples and case studies to explain the selected indicators.
• The report can include annexes to present the evidence gathered, as appropriate.
• Input into the design of the report to ensure it is compelling for our target audience.

Other responsibilities

The Consultant would be expected to:

• Engage in online weekly check-ins with the TI-UK team and to be available to discuss the research methodology and any findings with BII during the course of the project.

TI-UK’s Business Integrity team will manage the delivery of the project and the logistics of setting up interviews and stakeholder consultations and will provide research support throughout the project.

REQUIREMENTS AND EXPERTISE

It is essential the Consultant has:

• Knowledge and understanding of ESG and/or impact investing in the context of emerging markets
• Knowledge and understanding of portfolio monitoring and reporting practices and challenges
• Proven experience in designing and conducting stakeholder interviews and surveys
• Proven experience in qualitative data analysis and the use of relevant tools to identify linkages/ trends between data points
• Proven experience in writing reports and case studies to inform and influence change
• Proven experience in presenting complex data in a compelling way

It is also desirable that they have:

• Research experience linking qualitative and/or quantitative data to business performance and/or development impact outcomes.
• Familiarity with corporate governance, business integrity and/or financial crimes risks/issues and/or metrics

TIMEFRAME

The below is our anticipated timeframe with deliverables.

• Project kick off meeting: as soon as possible in October 2024
• Deliver detailed research methodology: ~5 days from the project starting
• Design stakeholder consultation process: ~14 days from the project starting
• Stakeholder consultations phase 1: October – early December 2024
• Stakeholder consultations phase 2: January – February 2025
• Data analysis and identifying indicators: March 2025
• Draft skeleton report: April 2025
• Draft report and develop case studies: April-July 2025
• First draft of the report: Mary 2025
• Final report for publication: September 2025

SUBMITTING YOUR EXPRESSION OF INTEREST

Please send your application (and any questions) to Chara de Lacey, Head of Business Integrity at TI-UK at [email protected]) including:

• A short description of why you are interested in this project, relevant experience, and initial outline of the research methodology you would use for this research.
• Your CV/the CVs of your consultants
• Two referees – ideally from organisations you have recently worked with
• Links to or attachments of any relevant prior publications or work
• Any constraints on your availability during the duration of the project
• Applicable daily rate in GBP sterling as gross, inclusive of taxes and other charges, and
• The estimated number of days with reference to the project deliverables, other responsibilities, and the above timeframe.

All presentations, documents and reports should be submitted in English, in electronic form, in accordance with agreed deadlines. TI-UK retains the sole rights with respect to all distribution, dissemination, and publication of deliverables.

1. For this project, business integrity risks may include corruption, fraud, money laundering and terrorist financing, sanctions breaches and tax evasion. Effective business integrity risk management requires a consideration of organisational culture, promotion of strong corporate governance, and channels for reporting and discussing business integrity risks.