What is Compliance?

𝐓𝐡𝐢𝐬 𝐢𝐧𝐜𝐥𝐮𝐝𝐞𝐬 𝐭𝐡𝐞 4 '𝐑𝐬', 𝐰𝐡𝐢𝐜𝐡 𝐚𝐫𝐞:

❗ Risk reduction
❗ Relationship
❗ Reliability
❗ Regulatory adherence

Those points that lead to positive results for the organisation includes:

✔ Achieving their goals
✔ Long term sustainability
✔ Maximising profitability
✔ Improved brand image

There are many organisations, from financial institutions to banking, from small businesses to big institutions, all of which require compliance for the safety of financial stability and to prevent the possibility of bankruptcy or collapse.

Believe it or not, saving money with compliance is a real thing, as the cost of non-compliance is significantly higher than the cost of compliance, according to Ponemon Institute:

𝐓𝐡𝐞 𝐚𝐯𝐞𝐫𝐚𝐠𝐞 𝐜𝐨𝐬𝐭 𝐨𝐟 𝐧𝐨𝐧𝐜𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 𝐢𝐬 $14.82 𝐦𝐢𝐥𝐥𝐢𝐨𝐧.
𝐓𝐡𝐞 𝐜𝐨𝐬𝐭 𝐨𝐟 𝐜𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 𝐚𝐦𝐨𝐮𝐧𝐭𝐬 𝐭𝐨 $5.47 𝐦𝐢𝐥𝐥𝐢𝐨𝐧.

Let's see some of the examples that suffered reputation damage as a result of non-compliance:

𝐒𝐢𝐞𝐦𝐞𝐧𝐬 faced a massive corruption scandal and a record fine of $1.6 billion due to foreign bribery, the largest fine and penalty of its kind in modern corporate history.

𝐓𝐃 𝐁𝐚𝐧𝐤 𝐢𝐧 𝐂𝐚𝐧𝐚𝐝𝐚 faced the largest monetary penalty ever recorded in Canada, expected to exceed USD 7.4 million.

𝐆𝐨𝐥𝐝𝐦𝐚𝐧 𝐒𝐚𝐜𝐡𝐬 settled a corruption scandal by paying over $3 billion.

Compliance goes beyond doing the right thing; it is the right investment for your organisation.

❇ Create stability and safety for the organisation.
❇ Encourage organisations to think critically about 'WHY' and 'HOW'
❇ Enhances consistency
❇ Build transparency and accountability.
❇ Reduce unforced errors.
❇ Reduced to the risk of legal action

Compliance is not just a legal requirement but also a fundamental responsibility towards your community and stakeholders.

𝐓𝐡𝐞 𝐚𝐝𝐯𝐚𝐧𝐭𝐚𝐠𝐞𝐬 𝐨𝐟 𝐜𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞:

➡ Better credibility
➡ Better competitive advantage
➡ Better productivity and efficiency
➡ Information security
➡ Think of it as a long-term goal and act accordingly.