The duplication problem
Too often, organisations find themselves subject to resulting in huge inefficiencies and higher compliance costs. This is what’s known as regulatory overlap, and it can overwhelm compliance teams. For instance, if more than one shares jurisdiction over a particular set of regulatory issues, they may issue duplicate regulatory instructions. This results in businesses spending unnecessary time and resources, managing duplicate controls to demonstrate their compliance.
Therefore, the challenge lies in being able to avoid spending valuable resources on duplicate regulations while still ensuring across-the-board compliance. Many businesses ensure compliance using ‘controls’, which are a defined set of practices and procedures that can be automatically deployed in accordance with regulatory requirements. A ‘controls framework’ is usually employed to orchestrate compliance and mitigate risks and fines as a business runs its day to day operations. This requires a great deal of in-house talent and in-depth knowledge of the field in which the business operates, so defining how regulations should integrate with controls and manage objectives can be incredibly challenging – not to mention expensive.