The Compliance Problem

The Problem at its Core:
Organizations Are Struggling AND Failing to Establish Adequate Compliance Operational Risk Management Programs

Over the past several years, the regulatory rigors have increased exponentially on Financial Services organizations. As a result of the Financial Crisis beginning in 2008, Regulators have set the bar higher with increased focus and expectations surrounding the overall Compliance expertise and project risk management within organizations, as well as the resources allocated to support Compliance Risk Management programs.

The new view is that Compliance Risk Management programs can no longer just be “adequate”. The expectation is that organizations commit the appropriate talent and resources to risk management solutions and to establish and maintain a “strong” culture of compliance, ethics and risk management.

Given the fact that many organizations are still relying on antiquated technology point solutions and to a large extent, manual processes, it’s a significant challenge for Management to get its arms around the appropriate strategies to address the going forward needs of the organization. Additionally, given the tactical day-to-day burden of running a company in its normal course, it is extremely difficult to find and dedicate the appropriate resources to undertake and fully implement long-term strategic initiatives and operational risk management solutions.

Risk Compliance Professionals

Based on the inefficiencies created through the use of bifurcated and disparate technology platforms, inconsistent policies and procedures and manual nature of many compliance activities, up to 80% of a Compliance Risk Professional’s day can be spent “hunting and gathering” for information / data. Organizations are utilizing highly qualified / skilled human capital to essentially act as “Aggregators”. Compliance Risk Professionals have less time to focus on project risk management tasks such as:

  • Identifying internal and external relevant risks and escalating appropriately throughout the organization
  • Keeping up with risk compliance, Industry trends / best practices and providing appropriate insight to management
  • Relationship building throughout the organization – establishing trust and respect
  • Influencing outcomes specific to business risk decisions

At Compliance Risk Concepts, we provide clients with the critical skills and expertise required to establish, maintain and enhance a balanced and effective compliance operational risk management program. We help organizations demonstrate a commitment to a strong risk management culture. Contact us for more information on how we can help your organization.

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