Chief Financial Officers (CFOs) face several pain points in managing digital compliance, reflecting the challenges associated with navigating the complex regulatory landscape in the digital era.
Rapidly evolving technologies and business models lead to frequent changes in regulations and with the increasing reliance on digital data, CFOs are tasked with ensuring robust data security measures to comply with privacy regulations.
Global operations and digital business transactions often involve compliance with regulations from multiple jurisdictions and implementing and integrating digital technologies to streamline financial processes and reporting is a necessity.
CFOs may face challenges related to quality assurance and audit trails. Implementing and maintaining digital compliance measures also requires financial and human resources.
With staff and skills shortages, CFOs may encounter challenges in allocating sufficient resources to stay compliant while managing other financial priorities.
Addressing these pain points requires a proactive and adaptable approach, where CFOs collaborate with other stakeholders, leverage technology wisely, and prioritize ongoing education to stay ahead of regulatory developments.
Where can you start?
Build a compliance roadmap. Developing a comprehensive impact map, with a focus on organizational structure, can be beneficial. Identify, classify, and prioritize regulations and standards that need to be complied with in digital and financial processes.
Model regulatory requirements based on key business dimensions. This step facilitates understanding and defines actionable steps. It identifies responsible parties (Legal Affairs, Compliance, IT & Security, Human Resources, etc.) and constructs a framework for uniform classification of requirements, understanding their implications on business models.
Compare requirements from different regulations and standards, identifying synergies and rationalizing for integrated regulatory compliance. This approach allows business managers to optimally allocate resources.
Utilize graphical and symbolic representation techniques to simplify reading and interpretation of regulations and standards. Requirements are grouped and synthesized, and detail is adapted to the audience.
Assess organizational maturity and create an adaptation plan. Starting with specific regulations or standards, design or acquire tools aligned with required specifications to detect and translate gaps into actions, considering synergies with interventions required by other regulations and standards.
To create an adaptation plan, define “work sites” involving responsible actors (Legal Affairs, Information Systems, Compliance, etc.) Then:
- Implement and coordinate the adaptation plan systematically.
- Design “non-conventional” change management initiatives.
- Design an “integrated” monitoring and control system for regulations and standards.
- Adopt solutions that facilitate the implementation of one or more regulatory compliance models, preferably from an integrated perspective.
- Design or revise the overall organizational governance model for regulations and standards.
Keeping up with all the changes and learning every new governmental platform requires a lot of time, human resources, and, consequently, money. By delegating this task and removing it from your to-do list, you can devote yourself to activities that add value and generate more revenue.
The laws governing the exchange of data at both European and global levels are constantly evolving. Choosing the Comply platform means you no longer have to worry about staying up-to-date with the revisions and changes in invoicing and related tax reporting regulations – it will be done for you by the platform.