Compliance Management refers to the process that ensures that an organization is following the prescribed rules and regulations in their jurisdiction.
Regardless of the nature or size of an organization, operating within the relevant legislation through compliance management is key to avoiding claims and reputational damage, as well as building satisfaction among staff members. While compliance audits are useful and in many cases necessary, they provide only a snapshot of how compliance is handled within a company. Compliance management addresses a company’s ongoing compliance requirements, going beyond just completing training or reading a manual. It needs to be fully incorporated into the culture of a company, and implemented within every department.
Compliance management is part of sound business practice and a way to achieve business excellence. Read below to learn a few ways a culture of compliance can be of value to your organization.
Avoiding Legal Ramifications
With the many different regulations and rules surrounding the running of an organization, it is of the utmost importance that a culture of compliance be established in order to avoid any potential legal ramifications of non-compliance. With proper management and monitoring by the Compliance department, the organization can ensure they are adhering to the legislation applicable to them and steer clear of infringement accusations.
Building A Positive Reputation
Compliance management helps an organization build a reputable image in the public eye. By ensuring that they are complying with the rules and regulations in their jurisdiction, the organization can better uphold a positive image and remain untouched by the effects of negative attention or media that can be attracted by lawsuits or claims against the company. In this way, compliance can help an organization build customer trust and loyalty, establishing themselves as a responsible and credible organization that customers interact with positively.
Inspiring Higher Productivity
A culture of compliance can create a more positive workplace environment, leading to higher productivity among staff members. Through complying with internal policies such as bullying prevention policies and human resource policies, staff members can feel safer within an organization, and more confident in the fact that they are valued and important to the company, leading to a better attitude toward working and the organization in general.
In conclusion, it is important to ensure that compliance is a foremost priority when running an organization. Through proper compliance management, a company can avoid legal ramifications and reputational damage, and build a positive work environment, leading to future success.
Business image created by Katemangostar – Freepik.com
Esther Chen is currently employed by Gedcor as a Junior Technical Writer. She is pursuing her BFA in Creative Writing at the University of British Columbia.