How to implement effective compliance management programmes

Compliance management is crucial for organisations. It is the foundation that determines the future of an organisation because it sets the tone on how the organisation can employ strategies to achieve the financial and expansion goals. What is compliance management? It is the systematic and strategic approach involving activities to mitigate legal and ethical risks while promoting transparency, accountability and good governance. Organizations that demonstrate a commitment to compliance can distinguish themselves in competitive markets. This commitment can be a decisive factor for clients and customers when choosing between competitors, particularly in industries with significant ethical considerations. There are several approaches that can be applied in the implementation of compliance management programs in an organisation.

Identify compliance issues and create a compliance policy

First and foremost an organisation needs to keep track of the compliance that is applicable and essential for the business. This is determined by the industry type of industry, the size of the company and the number of employees etc. It is important to establish the compliance issues currently being faced by the company. There is need to employ efficient means of operating procedures such as incorporating software to keep track of compliance issues and when compliance requirements are updated by the Government or regulatory bodies.

Educate employees

Employees are the most important resource of the organisation. One of the certain ways to enhance compliance management is to design educative programs that enlightens them on policies that are applicable to them. They must also be empowered enough to spot any gaps in the compliance management solution and must bring it to the notice of the higher management, if possible.

Conduct a risk assessment of the compliance management program

In every project there is need to consider the prevalence of potential risks. Future risks expected in compliance should be established, their sources should be determined as well. Risks could be either due to internal policy changes or external shifts in the market or government policy. Mitigation measures should be established, and their successfulness ascertained.

Divide compliance responsibilities

HR team members need to be educated about compliance, if they are not already aware of it, and with the different types of compliance, what they entail and how to keep track of them using a compliance management system. The responsibility for understanding compliance lies with the members of the HR team.

Regularly audit your HR policies

Companies have several policies in place at the workplace. These include leave policies, policies on diversity, and policies regarding work hours. There is need to ensure that these HR policies are compliant with the laws and regulations laid down. Employees and HR personnel also need to be trained routinely on compliance and compliance management systems and programs, and this can happen through assessments or even interactive quizzes and webinars.