How Automation can help decipher the Risk and Compliance Conundrum

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There are two types of companies in this world: those that have been breached and know it and those that have been breached and don’t know it.

With the COVID-19 pandemic continuing to be the rise, most companies today have moved to operating out of remote workstations and are focused on serving customers through the digital frontier. On the flip side, this has become a peak period for significant data breaches, identity theft, ransom-wares, phishing attacks, big brother snooping, regulatory abuses, and several other threats.

Did you know? According to INTERPOL, the American region exhibits a sharp increase in phishing and fraud campaigns that leveraged the corona-virus crisis.

Times are changing in a data-driven world. Organizations can’t keep using manual, survey-based approaches and still stay on top of the ever-changing sea of information.

In such a case, automation as an emerging technology has evolved to become one of the best drivers to help keep up with compliance requirements at a global level. As more governments adopt comprehensive privacy regulations and individuals become more aware of their new rights, organizations would have an even greater need for automated compliance solutions to manage massive amounts of big data and what it has to offer.

Here are a few use-cases of how compliance officers can take advantage of automation:

1. Fool-proof Third-party Onboarding

When an organization works with a third-party, the initial stage would be to tag the party as a new vendor. Compliance solutions powered by automation technology cross-checks the new vendor against a set of screening databases. The results are populated into a form which generates a risk score based on the algorithm of answers. Based on the score, if the vendor is on the low-risk side, invoice payments would be processed. However, high-risk vendors will be set up for further due diligence.

2. Efficient Complaint Analysis

Automation can play a strong role in studying large volumes of compliance-related complaints. Organizations can identify emerging trends in complaints more quickly and analyze each issue as an overall percentage of the total number of complaints. Upon hitting a critical threshold, the global compliance solution can trigger alerts to compliance officers that the issue needs to be governed critically on a high priority basis.

3. Continuous Control Monitoring and Testing

Instead of manual tracking and logging mechanism, global compliance automation helps compliance leaders in monitoring controls by pulling relevant data from multiple systems. This can help handle a wide range of transactions between organizations and third parties; the results are gathered and analyzed at a quicker rate, thus allowing organizations to shift from regular testing to continuous data monitoring.

The Bigger Picture

Organizations that adopt automated compliance processes can plot a better route as they navigate the constantly evolving regulatory environment. Further, in the current scenario, passive defenses cannot be a strategic decision by organizations against cyberattacks. Analysis of collective intelligence and leveraging automation and analytics with respect to human behavior & judgement, can help organizations mitigate the risks of possible cyberattacks and steer clear of the costs of counteracting such attacks – in fact, as the famous saying goes: “prevention is better than cure!”

To get deeper insights on how automation and other emerging technologies can help decipher compliance and risk conundrum, book your seat at Rise Above 2020: Global HR Evolution summit here. Use Promo Code: BLOGXRA2020 and get free access to unlimited insights that will help your organization pave the way to a secure ‘compliant’ future.

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