Are You Short Changing Your Company?

Recently I entered a debate about the purpose of a company. I stated it was to actualize the goals of the business owner. The gentleman stated that it was to solve a problem that society had. I said solving a problem is the theme in which the business is built not the purpose of the company. The same is true with compliance governance. How does a company create a profit center compliance program? The answer is the same way you build a company.

Most companies that have less than 50 employees treat compliance as another task within someone’s job simply because it is viewed as a necessary evil and does nothing to elevate the company’s value or bottom line. So IT, HR, owner, or staff people are asked to perform compliance tasks. They have no methodology of how to create value and return on investment simply because it is not recognized as a business strategy built into the business model. It is not a view point taught, mastered, or understood well.

Many companies do not require a full time compliance officer. But having a person whose sole responsibility is compliance is better than incorporating it into someone’s job function. Renting a compliance officer, so to speak, allows the company to do what it does best and allows a compliance officer the ability to see the organization from a 10,000 foot perspective. Not just daily activities. It’s an important skill for profitable results.

Working in collaboration with the owner and employees independently encourages compliance programs that not only meets state and federal expectations, but provides greater value in return for the invested effort. The value must contribute to actualizing the goals of the business owner as well as meeting regulatory requirements to stay in business. Are you short changing your compliance efforts thus short changing your company?