Solving the Regulatory Compliance Risk Challenges
Companies today battle to find the right balance between the amount of effort to manage regulatory compliance and an acceptable level of regulatory risk that can be absorbed. There is a constant pressure from business managers to limit the ever-growing overhead associated with compliance efforts and there is an ever-growing set of requirements from all the legislation, standards and policies that the regulatory compliance resources in the company are tasked to ensure compliance with.
An overwhelming number of variables
This ongoing struggle between these two camps to find a happy medium is a healthy one as long as there is sufficient information on which to base the final decisions they make about the level of risk that is to be entertained. Too often this is not the case because the structures that regulatory compliance is dependent on are unable to deal with the volume of requirements applicable and the sheer number of change variables at play when risk-assessing the impact of each requirement. Looking at the impact on records, systems, people and processes of every requirement across your entire regulatory universe can be quite overwhelming.
Then there are the added complexities such as:
- The number of regulatory compliance resources that need to be engaged to cover every function in the organisation and how to optimally coordinate their efforts where the most risk exists;
- All the legislation, standards and policies in each of these areas that are applicable and ensuring that the relevant users have access to, and display a suitable level of competence with, them;
- Keeping these reference documents up to date and ensuring proper training for the applicable staff and third parties;
- Making sure there is some form of change control across the company to link specific regulatory requirements to the systems, processes, people and the underlying records impacted so that there is informed and systemic organisational change when required where new requirements are introduced or updated; and
- Providing suitable interpretations for practical situations in the company for all legislation so that every staff member and third party is “singing off the same hymn sheet”.
Increasing cost-complexity-risk paradigm
These, and other regulatory risk challenges that companies have to deal with today, we refer to as the increasing cost-complexity-risk paradigm and is what TP-RCS sets out to resolve by harnessing technology and finding smart ways of managing the risk.
TP-RCS is a solution that comprises 5 separate modules that, when combined, provide everything a company needs to manage its regulatory risk, from initial identification of the risk, through rectification action, to ongoing monitoring of control measures for ensuring effectiveness and sustained mitigation.
It reverses the increasing cost-complexity-risk paradigm through automation of many of the functions carried out in ongoing compliance efforts across the organisation. At the same time, it increases the accuracy and speed with which decision-making can take place regarding regulatory risks through increased visibility on specific requirements in legislation, standards and policies where the key risks reside.
Request a brochure
A brochure is available and can be requested by completing the Request form. A brief description of TP-RCS is provided below and describes the set of 5 modules that are each designed to deal with a specific component of the regulatory compliance process.
All legislation, policies and standards (we call regulations) that the company must comply with in one place with easy access, updating and search engine capabilities. Includes a register of key information, risk, accountability, and the set of business requirements for each regulation.
Two pre-configured sets of questions to analyse regulatory requirements, with the choice of a high level assessment or detailed analysis depending on the level of granularity required. Provides a compliance risk baseline for driving changes supported by full integrated reporting and change control.
Resolution of practical interpretation issues raised during analysis. The output is a Register of Rulings that is the company’s bible for how to interpret a regulation, with a log of inputs that led to each ruling providing a record of due diligence if challenged.
The output from analysis is used to create, track and report on Management Action Plans to fix gaps where the risk warrants corrective action. Also provides for Target Operating Model work breakdown details and application of Critical Success Factors for planning and prioritisation.
Registration of Governance Controllers (GCs) using the Three Lines of Assurance compliance model or equivalent, with pre-defined Automated Standard Compliance Procedures and templates that drive a Plan-Action-Review-Attest program, with automated tracking and reporting for each GC.
Request a call back
Should you wish to find out more about this or any of our other Regulatory Risk Services or Solutions, request a call back from one of our team by completing the Request form.