Business Case & News

Digitising risk and compliance

Much of our life has gone digital, so why aren’t we digitising risk and compliance?

We can sometimes take for granted how much of our lives have been digitised. For example my morning routine often sees me prepare multiple lunch boxes and breakfasts while listening to my favourite radio station on my DAB radio. I then read the morning news and catch up on Linkedin updates on my smart phone while eating breakfast. Once at work I open my email and unified communication tools and my dispersed team begin to collaborate. The team begin work by reviewing the data collected from multiple sources such as customer requests, trends and performance against KPIs . To sum up, our personal and professional lives have been digitised. So why aren’t we digitising risk and compliance?

The truth is the need hasn’t really existed till now, the “old ways” were sufficient. Auditors carrying out traditional audits proved processes existed and were probably being followed. Until now this was typically enough to prove compliance to clause in standards, governance or business objectives.

So what has changed?

In today’s world of compliance, the ticked box approach is not enough. Senior Managers and Certification Regime (SMCR) expects senior managers and business leaders to understand the corporate culture of their businesses. After all, its the culture of the organisation that generates the opportunities and creates the risks, not the written down processes.

Managers are expected to identify compliance and conduct risks as they emerge from the corporate culture before they became a reality. However, “old ways” are not capable of achieving this. They are backward looking, they focus on what has happened, not what could happen.

The risk and compliance digital revolution

Digitising risk and compliance solutions is a growing priority for many businesses. However, these solutions must fulfil a number of requirements. Firstly solutions need to enable mass auditing of both internal and external stakeholders. Customers, suppliers and other external parties are often over looked, but who else is likely to be less bias? Secondly, hidden scoring algorithms enable qualitative data to be quantified. We need to remove the bias of value judgements and simply focus on the experiences.

Reporting needs to insightful and accessible in real time. Senior managers require simpler and more effective reporting using dashboards which measure results against multiple reporting groups, business objectives & compliance requirements. It is their responsibility to recognise risks and opportunities before they emerge. The utopia is to carry out fewer audits that prove compliance across a range of reporting groups, reducing time and costs.

To this end we have developed RS Vista. Its an enhanced audit and assessment method and via a cloud-based platform that measures corporate culture.  It uses blockchain technology to audit the crowd to remove value judgments and report data across a range of reporting groups. Therefore making visible what is often invisible so that risks can be managed.

About the author: Ian Rosam from HPO Risk Solutions is an experienced sales professional working in and leading sales teams. Focused on helping organisations digitise risk & compliance by leveraging the power of cloud, block chain and AI tools to optimise business and compliance performance.