Top Compliance Issues for 2022

2020 and 2021 brought unforeseen challenges for organizations of all kinds, prompting many to take stock of their governance, risk, and compliance (GRC) management practices. Moving forward, leadership teams must take a proactive approach to addressing compliance risks and developing policies that support effective governance.

3 Compliance Challenges to Prepare for in 2022

As executives and compliance professionals alike consider how to make risk-based decisions about managing uncertainty, let’s look at a few areas that will continue to pose challenges into next year.

1. Remote Work and Return-to-Work Policies

Workforce dynamics during the coronavirus pandemic; ongoing health, safety, and security considerations; and looking ahead to a post-COVID workplace continue to influence the compliance and risk management landscape.

One of the greatest risks associated with the work-from-home environment is IT security. When employees don’t follow security protocols or their personal networks or devices are compromised, organizations face increased risk exposure. Tessian’s Back to Work Security Behaviors Report found that 40% of employees plan to bring their personal devices back into the office for work purposes, while 54% of IT decision-makers are worried that remote workers will bring infected devices and malware into the office.

To limit this risk, organizations must provide cybersecurity training for employees both inside and outside of the office. Effective IT risk management processes and accessible policies also support compliance with security requirements and best practices.

Related Reading | Assessing Work-From-Home Risks >

2. Consumer Data Management

Consumer data privacy is a growing focus for regulators, and many states are introducing legislation to govern data usage and advertising practices, complicating compliance management for many U.S. firms.

Organizations need to have effective and efficient means of data management and analysis to determine customer behaviors and improve satisfaction. Guarding against the increasing risk of data breaches and the potential for reputational damage is also key for strengthening your compliance posture. Policies and procedures need to be in place to protect consumer data and allow for proper risk management.

Related Reading | How Are You Managing Data Privacy? Navigating CCPA Compliance >

3. Anti-Money Laundering (AML) Regulation

AML compliance requirements are constantly evolving, and financial institutions need to be prepared to adapt. Flexible processes and tools help compliance teams mitigate potential risks, avoid noncompliance penalties, and formulate and enforce organizational policies for AML compliance and reporting.

Related Reading | How GRC Can Improve Compliance with AML Regulations >

A Call to Action

The COVID-19 pandemic and resulting changes to operational, risk, and compliance landscapes were a wake-up call for many organizations. To address this level of uncertainty, businesses need effective GRC management practices — those that fail to develop and mature their GRC program so at their own peril.

Be an advocate for better risk and compliance management by helping executives at your organization understand the benefits of investing in GRC technology.