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Compliance issues seem inevitable knowing the complexity of regulations all around the globe! How is a leader supposed to keep a track of all the compliance issues which can make or break the company?

A good leader takes responsibility for governance and compliance, keeps the Board of Directors aware of both. Also, compliance strategies and issues requires management’s intervention to mitigate them. This post will summarize six important components of a successful response to compliance issues.


1. Prepare, Prepare, Prepare

We already know the importance of timely preparation. In order for a leader to successfully tackle a compliance issue, the leader must manage the entire team through extensive preparation process to development the compliance program. It should not be limited to policies and procedures for compliance rules, training, monitoring, auditing, and issue response.

Brace yourself with a powerful leadership team to delegate components of the program, but stay informed and lead the charge. VComply can help the company and its leaders to monitor all the compliance activities online. It helps save time and increase efficiency. Also, one can take proactive measures before its too late!

2. Lead Management through the Plan

As noted above, leadership is key. The leader must be visible and responsible. We know about numerous well incidences and program developments which fail due to lack of execution and visible support. Here, a plan is vitally important. Lead supporting departments such as compliance, information technology, finance and others through the well prepared plan of attack to tackle a compliance issue.

3. Gather the Facts

An initial response assessment phase in your well prepared plan should include gathering the facts. Do not jump the gun to rush a disclosure internally, publically or legally. Know your time regulatory response time frames, if applicable, and properly assess the facts not assumptions. Success in carrying out the plan hinges on gathering the facts.

Whether disclosing to one individual or entity or thousands, you are best served armed with as many facts as possible. Effective communication 101 includes sharing the facts not assumptions. The more facts gathered the more confidence you will have in yourself and the compliance response plan.

4. Be Visible and Accessible

Visibility was also mentioned above. Be not only visible but accessible. In order to lead the charge as noted above, you need to be accessible to the supporting departments and others involved. Even through compliance disasters, you can keep well earned respect by leading the charge not only from behind a desk, phone, or camera but also in person inside your company and outside.


5. Know all Applicable Aspects – Regulatory Agencies, Employees, Customers, Shareholders

During your prepare, prepare, prepare step, you should have a handy reference sheet to review all angles on the assessment, action plan, and communication plan specific to the different aspects of regulatory agencies, employees, customers, and shareholders. All may want information before your plan is executed to provide information. All may want different information given their varying interests. Successfully tackling a compliance issue involves meeting the specific needs of each affected group through the phases of your compliance response plan.

6. Learn from the Good and Bad

As all great leaders have ups and downs in career ventures, all great leaders learn from both the good and bad
lessons. A robust compliance response plan can manage a significant technology weakness. Teams come together, fulfill their responsibilities, and progress to correct the technology if they find any glitches.

After the dust settles, revisit the opportunities to mitigate compliance risks such as your compliance response plan, department budgets or hardware/software maintenance. The budgets for employee education and training should be enough.

Show your internal staff and external individuals or entities, if applicable, that you continue your leadership to implement improvements if need be.

Be confident in your response to compliance issues. Surround yourself with people who have the right mindset towards business to increase your likelihood of success.

Delegate tasks when appropriate but visibly keep ultimate responsibility to your organization for its compliance program. You are sure to succeed!

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