What should I know as a Chief Compliance Officer to make my Compliance Program Succeed? 👨🏫 👩🏫
What should I know as a Chief Compliance Officer to make my Compliance Program Succeed? 👨🏫 👩🏫
According to Deloitte and Compliance Week, only 70% of firms even try to measure the effectiveness of their compliance programs. And of those that do, only a third are either confident or very confident that they are using the right metrics #compliance (Source: HBR Article)
Measuring the effectiveness of the compliance program is much talked about not only in India but many other countries such as the US, and the UK.
In recent times, RBI (India’s Apex Bank) has further strengthened the Compliance Function in Banks and NBFCs by providing clear mandates, expectations, and guidance. If you take a close look at the recent RBI’s penal action it primarily hovers around non-compliance to KYC/AML, Fair Practices Code, Governance Mechanisms, and Lending Practices.
#india #banks #compliance #complianceofficer #complianceprogram
Here are the 5 key pointers (refer to the picture) which are prominent in India for a Compliance Function, especially for the role of the CCO in the Financial Services
My key 5 takeaways are :
1) Specific compliance policy contours are clearly defined
2) Clarity on the role, appointment, removal, and eligibility criteria of CCO
3) Fit & Proper process for CCO
4) CCO’s reporting lines and the principle of independence
5) Last but not least – like CROs, CCOs can’t dual hat roles except for MLROs.
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