The benefits of being compliant are numerous, and all have a positive effect on an organisation. Compliance allows a company to run more efficiently and effectively in its day-to-day operations.
This is according to Amir Lubashevsky, executive director of Magix, who says businesses that are listed entities are regarded favourably by shareholders. This is because they know board members are running the company seriously and have their fingers on the pulse of the business. “They know that their investments are secure,” he adds.
Speaking on the benefits of implementing a compliance software solution, Lubashevsky says software can work faster than people and be in many places at the same time.
“Long gone are the days when business processes were checked manually; almost all businesses run on an IT backbone and the software solution sits on the network, monitors, alerts, records, and becomes an integral part of the company and its networks' day-to-day activity.”
He adds that the way businesses view compliance depends largely on the industry they are in and their corporate culture. “Financial services companies are usually good with compliance, as they deal with these issues at a local and international level. Some other companies view compliance as a necessary evil, not because they don't want to do it, but because it is a detailed process requiring extra resources.
”Companies also realise that compliance is not a once-off software program they buy off the shelf. It is an ongoing investment that is a critical must-have, not a nice-to-have.”
Lubashevsky explains that companies have this view because of what is required of them, including an audit of their systems and processes, and the need to have a strategy and process mapped out.
“In addition, companies require an implementation and testing phase and are then faced with consistent and continuous updating, testing, monitoring and suchlike. “It is a critical business process requiring commitment and focus,” he notes.
Meeting challenges
According to Lubashevsky, compliance software solutions bring numerous challenges to businesses. He says some companies have to change their business processes and operating procedures to become more compliant. This can involve retraining staff members who need to learn about the new processes and, as a result, a process of change management.
“Some companies, due to their complexity, will have to go through a fairly long assessment, design and implementation phase, some require less time.”
In terms of technical managers, he says the challenges they face become a mindset issue. According to Lubashevsky, they have to accept that all processes are now automated and as IT managers they are involved in a critical management function that is driven at board level. “Many IT managers still adopt a 'cheaper is better' attitude when the cheapest solution may not be what the company needs.”
However, Lubashevsky says streamlined and well-defined business processes will free up staff to work on other tasks, saving the company money in the long run. “Most importantly, they will be better run and able to deal with corporate incidences rapidly, with all the necessary processes and policies in place,“ he concludes.
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