Fairwords Weekly: Compliance Program Impact, Compliance Budget Strategy, and Regulatory Role in Resilience
December 15, 2022
“Compliance starts at the top. Cultivating a culture of compliance requires senior leaders to commit to compliance and communicate the duty to report, sending a clear message that compliance matters. ”
— Laura Martin, Partner, Katten Muchin Rosenman LLP
Explore a list of helpful questions to evaluate the impact and effectiveness of your compliance program under Department of Justice (DOJ) guidelines. Listen to a thoughtful discussion and recommendations on the strategic side of compliance budgets, and learn how company leaders recognize and respect the regulatory role in business resilience.
Betsey Wade, the Chief Compliance & Ethics Officer at Signature Healthcare, says a compliance budget is much more than the numbers—it should reflect the organization’s priorities and risk profile. The budget is also a focus point for the US Department of Justice when examining a compliance program during an investigation. Their guidance for prosecutors asks if there are sufficient resources and if they are allocated on a “risk-tailored” basis. So, what is the right budget to have? To determine that answer, Wade recommends compliance teams do a risk assessment and determine what mitigation efforts will be needed. In addition, benchmark against other organizations to learn what they are spending and doing. Listen to the full podcast to hear more from Wade about the strategic side of compliance budgets.
According to Deloitte’s 2022 Global Resilience Survey report, executives responsible for resilience recognize and respect regulators’ role in resilience. However, they also understand that the events that frequently occur and the potential threats they pose are too significant and widespread for any organization to address. Two-thirds (67%) of respondents say their organizations have been affected by regulatory involvement in resilience, while 31% have not. According to the report, in the context of resilience, organizations see regulation positively because it helps to clarify priorities by setting forth specific areas of focus, objective goals, and clear reporting requirements. Overall, over 90% of organizations affected by regulatory change report that the impact on resilience has been very or somewhat positive. Learn more about the report findings.