cpdone: is the bpo industry ready for external compliance focus?
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THE COST OF NON COMPLIANCE IS TOO BIG TO IGNORE
To date, what percentage of your firm’s total operating costs is allocated to regulatory compliance (technology, headcount or strategy)?
- KPMG REPORT on the COST of Compliance 2013
- Accenture Compliance Study Report
MONITORING & MAINTAINING OF COMPLIANCE RISK WITHIN ACCEPTABLE LEVELS
BUILDING OF COMPLIANCE RISK MANAGEMENT MODELS AND THEIR PERIODIC VALIDATION
ADDRESSING THE IMPACT OF THE CHANGING REGULATORY ENVIRONMENT
REPORTING OF COMPLIANCE RISK
IMPLEMENTATION OF COMPLIANCE RISK MANAGEMENT MODELS ACROSS BUSINESS LINES
ASPECTS OF COMPLIANCE RISK MANAGEMENT THAT WILL DRIVE THE GREATEST DEMAND FOR INCREASED COMPLIANCE RESOURCES IN THE COMING YEARS (GLOBAL)
DEMAND DRIVERS FOR COMPLIANCE RESOURCES
- Accenture Compliance Study Report
COMPANIES SEEM UNCERTAIN ABOUT THE TYPE OF RISK FUNCTION THEY HAVE CREATED
5.
44.
17.
13.
Successful Implementation
Implementation is difficult
Beginning implementation
Current structure/processesmeet our needs
44%
Source: IntegTree (2014) www.IntegTree.com Why Invest in Ethics & Compliance Programs Dr. Nitish Singh & Thomas J. Bussen (J.D./MBA) - http://www.slideshare.net/NitishSinghPhD/why-comply
COST OF NON-COMPLIANCE
US DOJ COLLECTED IN 2011 ANTI TRUST FINES$1BILLION
BIOMET FINED IN 2012 BY DOJ FOR FALSE RECORD KEEPING AND BRIBERY.
$23 MILLION
MAXWELL TECHNOLOGIES IN 2011 PAID IN PENALTY FOR FCPA VIOLATIONS
$8 MILLION
AMOUNT JOHNSON & JOHNSON WAS ORDERED TO PAY IN PENALTIES
$1.1 BILLION
EU FINED MICROSOFT FOR NON-COMPLIANCE WITH 2004 ANTITRUST ORDER
$1.35 BILLION
The Privacy Act applies to all acts or practices within
Australia in respect of personal information about individuals wherever those individuals may reside.
Accordingly, personal information of persons outside Australia that is held on servers located within Australia is regulated by the Act. The Act extends to any use outside Australia or
disclosure from Australia of personal information that has been
collected within Australia.
This introduces the concept of Extraterritoriality
Data protection and Privacy is a pressing issue for:
1. United States
2. United Kingdom
3. Australia
4. Singapore
EMPLOYEES EMPLOYEESEMPLOYEES EMPLOYEES
••
•
THE RESULT
The Board and the Regulator’s voice is lost because of the
disconnect between, Vision, Content and Delivery.
PROBLEMS BUSINESSES ARE FACING
Board’s visibility to the activity is BLOCKED
Management is CHALLENGED TO SWIFTLY ROLLOUT THE INITIATIVE
Compliance Training Content is OUTDATED and TIRESOME
MESSAGEDOES NOT MEET
VISIONGAPS
GOAL
THE CHALLENGE OF SUCCESSFULLY ROLLING OUT COMPLIANCE INITIATIVES
Employees
Received mixed messages and are uninterested and left in doubt
ACCESSIBILITY VIA WEB & ACROSS ALL PLATFORMS
DATA ANALYTICS
EFFECTIVE
MESSAGE DELIVERY
POLICY DISBURSEMENT TO WHOLE OFORGANIZATION
VISIBILITY
WHAT THE EXECUTIVE REALLY WANTS TO SEE
ONE
PLACE
TO FIND
IT ALL
THE POSITIVE COMPLIANCE CYCLE
BOARD’s message is shared
Compliance Goal is aligned to the message
Roll out is quick, effective and reliable
Accessible online and on mobile to reach all members regardless of location
Reporting and Tracking is accurate and in real time
Board to Frontline message is consistent and understanding is aligned This should
be a continuous
cycle
Automated notifications
and alerts on SMS / email.
Be alerted in real time as
risk increases.
MEASURED DELIVERY
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The alerts summary gives the breakdown of your
business alert status across the whole organization
Age structure: 0-14
years: 33.7% (male 18,493,668/female 17,753,359)
15-24 years: 19%
(male 10,416,358 / female
10,044,724)
25-54 years: 37% (male
20,031,638 / female
19,796,545)
Phillennials comprise only ¼ of Philippine population but are already 50%+ of working age
Filipinos (Rough estimates from Geobase population data)
PHILLENIALS: PHILIPPINE MILLENIALS
6%
5%
12%
33%
24%
20%
0% 10% 20% 30% 40%
> 100
> 80 - 100
>60 - 80
>40-60
20-40
< 20