Dealing with compliance in the digital economy

Dealing with compliance in the digital economy

Consider these points to keep pace with the changing compliance and business landscape.

With companies transforming digitally, the way they deal with compliance requirements is changing. While banks and pharma sectors already have rigorous compliance requirements, there are new regulatory regimes related to data privacy, such as General Data Protection Regulation (GDPR) by the EU, that require enterprises to protect customer data. Many states in the US are passing various privacy legislations and other countries are coming out with their own as well. With increasing innovations and market disruptions we will see the emergence of new compliance regimes.

Going digital is about totally transforming the way companies do business and manage IT. It’s about getting deeper insights into customers by analysing customer data. Consequently organisations will have access to sensitive data that could compromise consumer privacy. Failure to comply with regulations that could result in data extrusion or loss could result in penalties and financial loss for enterprises. Also, not having a proactive approach to compliance could burden compliance teams, as they will be required to react and resolve a whole range of issues pertaining to compliance. Dealing with compliance requires enterprises to be agile and adopt processes and policies that encourage transparency and better communication between various stakeholders. While compliance in a digitally transforming enterprise can be tricky, it is also an opportunity to respond better to challenges. Here are a few factors enterprises should consider with respect to compliance.

Compliance should be part of the digital transformation strategy
Factor in compliance right at the beginning when you are putting a transformation strategy in place. Identify all the potential risks and have a proactive plan to deal with compliance.

Automate to monitor compliance in real-time
Compliance teams have so far been struggling with manual processes. With analytics and cognitive technologies it is possible for organisations to automate the entire process and monitor compliance in real-time.

Keep pace with the speed of business
A digitally transformed compliance program should help organisations keep pace with changing regulations and compliance requirements. There are technologies that help you keep pace with the changing business landscape.

Spread risk awareness across the enterprise
Proactive identification of new risks requires various teams within your enterprise to be aware of potential risks. It is important that everyone is well informed about risks, starting with the leadership team. Having a transparent system of communication will be of great help.

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