Regulatory Compliance Management in Banks

Regulatory Compliance Approach

A regulatory compliance approach is a way of ensuring that an organization follows the laws, policies, and regulations that apply to its operations and objectives. A regulatory compliance approach helps an organization to avoid legal penalties, fines, or sanctions for non-compliance, as well as to enhance its reputation, trust, and efficiency among customers, stakeholders, and regulators. A regulatory compliance approach also fosters a culture of ethics, integrity, and accountability within the organization.

A regulatory compliance approach consists of several steps that an organization needs to implement and maintain. These steps are:

a. IDENTIFY the relevant laws, policies, and regulations that apply to the organization’s operations and objectives.

b. DEVELOP and document policies, procedures, and controls to ensure compliance.

c. EDUCATE and train the employees and managers on the compliance requirements and expectations.

d. MONITOR and audit the compliance performance and activities regularly and report any issues or incidents.

e. REVIEW and update the compliance approach periodically and adapt to any changes or new requirements.