Five focal areas for investment.
Stakeholders across the organization are increasingly seeking greater compliance effectiveness, efficiency, cost cutting, and agility in compliance activities to further compete in the expanding digital and automated world.
Organizations are being reinforced this way to continuously improve their compliance activities, because in the future, integration and automation of compliance activities is an imperative. To prepare for tomorrow, organizations must invest today.
When positioning your organization for the future, keep in mind the following five areas for investment:
Regulators are increasingly spotlighting the need for operational integration within a compliance risk management program, meaning that compliance needs to be integrated in business processes and into people’s performance of their job duties on a day-to-day basis.
When approaching the governance of managing compliance efforts, a more centralized, or a hybrid approach, strengthens the organization’s overall compliance risk management control environment.
The effectiveness of compliance increases when there is integration across an enterprise and successful automation of processes. Compliance leaders are turning toward intelligent automation as an answer for slimming down compliance costs, and becoming more nimble and agile in an ever-increasingly competitive world. When intelligent automation is on the table to support possible compliance activities, some important considerations must be made:
Automating compliance activities can also help augment resource allocation and realize greater accuracy by implementing repetitive tasks into the automation.
For more information, read the publication on intelligent automation and internal audit.
Regulators increasingly expect organization to implement performance management and compensation programs to encourage prudent risk-taking. In fact, identified by the KPMG CCO Survey, 55% of CCOs identified “enhancing accountability and compliance responsibilities” as a top 3 priority in 2017.
It is essential that disciplinary and incentive protocols be consistently applied to high-level employees. To do so sends a message that seniority and success do not exempt anyone from following the rules.
Regulatory guidelines and expectations released in 2017 set forth specific focal areas that compliance leaders should ensure are covered in their risk assessments.
For more information, read the publication on Harnessing data and analytics to transform compliance.
Compliance efforts by organizations need to continuously evolve to ensure the control environment remains firm while risk trends appear, risks emerge, and regulatory expectations shift.
Compliance and business leaders must continuously improve their compliance activities in pursuit of greater effectiveness, efficiency, agility, and resiliency. Because by continuously improving, organizations can methodically position their organizations for the future.
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