When it comes to compliance risk, board members know the drill all too well. Every six months or so, they receive a new report indicating that everything is mostly under control. So it’s no wonder they’re surprised when a compliance issue blows up – and it’s no wonder they’re asking tougher questions of compliance executives with every passing quarter.
As regulatory oversight continues to grow, the challenge of dealing with compliance risk will only become more pressing. It’s not just an item on the agenda – compliance is its own agenda these days. Given the pace and scale of change, both compliance executives and boards are increasingly concerned that old, reactive ways of managing compliance may cause them to fall behind the competition — or leave them exposed to new regulatory and reputational risks.
If your organization is looking to increase its Risk Intelligence quotient through full-spectrum compliance, three broad areas will command your attention: Environment, execution, and evaluation.