Unpacking Regulatory Compliance: The Intertwining Challenges and Strategies
As someone who runs an organization, regulatory compliance is not just an option; it's a mandate. Complying with rules and regulations notwithstanding, it isn't as cut and dried as it sounds (otherwise, the world would be full of lawyers and not general managers!). Let's dive in and understand how we can master this delicate balance.
Understanding Regulatory Compliance: The Funny Business
You'd think most of the laws that concern you would be from your own industry. Oddly enough, that's not the case. You'd be damned if you're caught off guard by an obscure law that you didn't know applied to your operations just because it came from a far-reaching sector!
Think of it like this: If you were Tarzan, you wouldn't want to be out there swinging through the vines, only to find out that there's a local city ordinance prohibiting vine-swinging, would you?
Regulatory Compliance: Its Thorns and Roses
Going by the Tarzan analogy, you'd probably be thinking, "Damn, where do I even start with these regulatory vines"? Fret not, though. If there's a thorny road, there's always a blooming pathway right around the corner. Here's where we delve into our 7 golden tactics:
Know the Scope of Application
Not every regulation in the book applies to your business. It's about understanding your industry, its specific needs and dynamics, and then relating it to the laws in place. You don't need to be an expert, but a basic understanding can make a world of difference.
Environmental Assessment
An environmental assessment helps unearth legislative requirements and how they apply to your business operations. Don't forget to include indirect impacts like those from your suppliers and their compliance.
Understanding Consequences
Ignorance may be bliss, but not when compliance penalties come knocking on your door. From financial to reputational damage, non-compliance has its consequences.
Continuous Monitoring
Regulatory bodies update their rules all the time, so continuous monitoring of legislations is needed to stay updated. You wouldn't want to be the cat that got left behind in the rat race, would you?
Create a Compliance Culture
Sprinkle the flavor of compliance into your cultural pie. It's not solely an external function, rather an integral component of your business mission and clarity.
Training and Awareness
Ensuring training and ensuring awareness are like the left and right hands of your compliance strategy. Yes, both are equally important!
Deploy Advanced Tech
The road may be thorny, but the shield of technology can certainly help. Advanced technologies can simplify complex legal language, track regulatory changes, and manage compliance documents all in one place.
References
[1] Klap R, Fingleton J. Environmental compliance in your state. National Environmental Compliance Clearinghouse. 2005.
[2] Greening EU competition law and policy. Cambridge University Press; 2012.
[3] Sullivan, C. (2017). Environmental law for industries. CRC Press.
