The Basics: Part 1

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By Jan Schramke
Compliance Administrator, EMEA Region

Sometimes the basics are all we need to us help predict outcomes in advance. Perhaps that is why the basics are always a relevant topic. I would love to hear your opinion and learn from you. Perhaps you made different observations or have valuable insights you would like to share. Please do keep in mind that this is an opinion piece.

My career started in the IT service industry and has since then moved to compliance, which is really not any different. Whether compliance is making sure that programs are implemented and business colleagues are made aware of bribery issues, antitrust and third party risks or guidelines, or if an IT platform is being customized, properly implemented and their users trained is not all that different. Yet, there seem to be so many growing pains when it comes to achieving the same goals, except it is in compliance.

Having worked in compliance for several years now, I feel as though I am seeing the same challenges resulting from the same reasons. To take a step back, what is our purpose as compliance professionals? Are we here to protect the company or board from any harm? Certainly. Are we here to interpret laws and regulations, train our business colleagues, and ensure that employees are informed and making better choices in their business activities? Yes, of course. In the grand scheme of things, compliance departments provide a customer service, but what is good customer service anyway?

Simply put, without overcomplicating things too much, it is the understanding of what the customer needs, providing them with a solution in a short amount of time and in a pleasant manner. Why do we need good customer service? It builds trust. In our simple example, there are four things to consider: understanding the client, the solution, the time needed to provide that solution and the manner in which it is presented.

When it comes to the understanding the client, we need to spend more time with our business colleagues. If we hope to create a fitting solution to their challenges, we cannot do that from afar with half the information that was compiled via email exchanges or phone calls. We need to know what makes the business tick; where compliance plays a significant role in the business.

The solution should enable our colleagues to engage in their day-to-day activities. If this does not happen, it can come to incidences where our colleagues end up not knowing what to do with the solution and there are additional questions about what something might mean. Answers could be hidden in technical or legal lingo. Follow-ups like, “So is this a definite ‘no’”, or “Is there some other way I can do this?” should not be surprising. Sometimes the solution is not actually a solution. Rather than giving guidance, we provided an assessment. Here too, it can be too technical and/or too long winded and thus, ultimately useless. Clear answers and clear communication is a must.

The time it takes to respond to a business need can be longer than it should be because of flaws in workflows or customizations or getting stuck in needless details. Sometimes, when a task takes longer than expected, setting the right expectations often avoids damage to the way the compliance department is being perceived.

Lastly, the manner in which to communicate solutions to the business can be a challenge. The role of the enforcer is negatively perceived, especially in compliance, so is the investigator or the nay-sayer. The enforcer is a role that needs to be played when necessary. Yes, we need to enforce the rules and regulations, but ideally, we should be reinforcing the rules and regulations. By learning through genuine interest and gaining intimate knowledge of our business colleagues’ pain points and processes we build a relationship and enter into a dialog of understanding. It is much easier to tailor a solution that will be applied if it is seen as a necessary part of doing business. This means a time investment in the business.

The consequence of having a history of good customer service is that a “No” is accepted much easier. Good customer service builds trust. It ensures loyalty and it ensures compliance. Trust is the building block of a compliance program. What about the compliance department trusting the business? I will share my take on that in part two.

6 COMMENTS

  1. Another “Back to Basics” posting???

    Actually, I like what Jan posted because I do think that it is difficult for some compliance officials to even articulate what they are doing much less know what to do in developing their Effective Compliance Programs (ECPs).

    Now of course I am not saying this applies to everyone, but I recall hearing more times than I could count at the Compliance Institute and also at the Compliance Ethics Institute from folks that shared that they are new to their position and have no clue what they are supposed to do. What makes this also interesting is that the people that placed them in their positions also have no idea.

    My takeaway from the posting that I also remind folks is that sometimes it’s OK to take one step forward and two steps backwards if it helps you see if you are on the right track.

    Thanks for posting Jan…these types of messages never go out of style and are always topical.

  2. “When it comes to the understanding the client, we need to spend more time with our business colleagues. If we hope to create a fitting solution to their challenges, we cannot do that from afar with half the information that was compiled via email exchanges or phone calls.”

    I am not too sure if this is referring to both internal and external customers or if you are stating we need to spend more time with our business colleagues to learn more about our clients and in what capacity.

  3. Your article struck me as a great reminder to compliance professionals at all levels to take great care and time with your internal business colleagues. No one knows everything and often developing strong relationships can shed light on issues, business norms, or creative solutions that would not have otherwise developed. Thank you for this good reminder!

    • Hello Erin,

      Thank you. I agree with you. Building these relationships and speaking to your internal business colleagues has a secondary effect. It is a kind of soft monitoring, re-enforcement and training. All opportunities with great potential.

  4. Hello Richard,

    You are right. I apologize, that part if the article is not that clear. Yes, in general, I mean that we need to be closer to the business and spend more time with them in the field to really understand how what we do impacts them and in turn how we can tailor our solutions and processes to support them. This is not true for all organizations of course. For some that is already the case. It very much depends on what the focus for that compliance department is.

  5. I worked as a nurse worked in LTC and was told to manage “Quality Assurance.” I agree that Compliance has to do with making the customer happy. I personally think the magic formula should be: Compliance = Governmental rules + Customer + staff+ Medical personnel happiness. This would go a long way in any organization.

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