Meeting compliance challenges

Leveraging the value of outsourcing

​Demands on compliance functions are rapidly increasing and so are the risks associated with failing to meet these demands. Due to the extent of compliance demands, many organizations maintain large and growing compliance functions that increase their overall operational costs. The increasing number and complexity of regulations, continuing shortage of talent, and constant pressure from shareholders to reduce operating costs, makes this a good time to consider alternative sourcing strategies.

Mitigating risks

In order to mitigate these risks holistically, companies may have to:

  1. Invest extensively in compliance talent, regulatory experts, training, process excellence, quality, and technology
  2. Seek an outside solution such as outsourcing
  3. Design a program that combines these two approaches (selective outsourcing)

Back to top

Compliance outsourcing

Drivers of compliance outsourcing

Compliance outsourcing is the outsourcing of business functions and processes associated with compliance to a party other than an in-house compliance department—usually to a third-party provider or vendor located domestically or offshore.

Back to top

Drivers of compliance outsourcing

What drives compliance outsourcing?

The decision to outsource may be driven by one or more of the specific challenges that compliance functions currently face, including the following:

  • Coping with talent shortages
  • Sub-optimal compliance processes
  • Investing in technology infrastructure
  • Addressing global compliance needs
  • Increasing operating costs

Back to top

Access to insights

Compliance outsourcing can help organizations to address compliance demands while staying focused on their core business functions and go-to-market strategies. Chief compliance officers, chief financial officers, and chief risk officers should consider the potential value of compliance outsourcing to the organization and how it can address compliance challenges at country-specific and global levels. Specific questions include the following:

  • What is compliance outsourcing?
  • What drives compliance outsourcing?
  • What is the business case for compliance outsourcing?
  • How should organizations approach compliance outsourcing?

Download this paper to discover more insights.

Back to top

Meeting compliance challenges: Leveraging the value of outsourcing
Did you find this useful?