Industry perspectives on the state of compliance today and effective strategies for managing compliance risk within the changing regulatory landscape
Insights from the 2023 Global compliance risk benchmarking survey
In today’s fast-paced and interconnected world of global business, a robust and comprehensive compliance program is not merely a choice, but a critical imperative for any organization. Drawing on the opinions of 201 senior decision-makers from more than 30 countries, White & Case LLP and KPMG LLP’s “2023 Global compliance risk benchmarking survey” offers powerful insights into compliance practices across industries worldwide and strategies employed by companies to manage their compliance risks—from anti-corruption risk assessments, third-party management and employee risk awareness to environmental, social and governance (ESG) practices and cybersecurity.
Among the key findings are the importance of regular anti-corruption risk assessments and robust third-party management practices—essential components for creating a culture of compliance and transparency. Use of data analytics is gaining momentum in compliance programs, though many companies are still in the developmental stage. Testing anti-corruption programs for effectiveness is crucial, as is consistent measurement of hotline awareness and effectiveness, along with addressing employee concerns about hotline integrity. ESG has increasingly become an area of focus, but our respondents reveal a lack of consistency in addressing ESG risks.
This inconsistency in approach can hinder the effective implementation of organization-wide policies and procedures and lead to uncertainty among employees. Clearer guidance and communication are essential in navigating the complexities of ESG and ensuring successful integration into business practices. Looking ahead, cybersecurity takes center stage as the top compliance priority for the next 12 months, as safeguarding sensitive data and proactively addressing digital threats become more important than ever.
By proactively addressing these compliance challenges, organizations can ensure ethical business practices, mitigate risks and safeguard their reputation in an increasingly complex regulatory environment. We hope you will find our “2023 Global compliance risk benchmarking survey” an insightful read.
July 17, 2023 Published by KPMG. (Download PDF Report)