The frequent changes in regulations aimed at effective law enforcement and consumer security across diverse industries ranging from healthcare, finance, insurance, life sciences, pharmaceutical, and utilities has made compliance automation the need of the hour.
In general, compliance means conforming to a rule such as a specification, policy, standard or law. It is the alignment with a set of general policies, where the type of compliance required depends upon the region and currently ruling government, industry and business types, and supporting legislation. For instance, in the financial industry, after the financial crisis of 2008 and failure of banks like Merrill Lynch and Lehman Brothers, several new regulatory measures were instituted to govern the financial services, banking, and private equity industries. A few regulations governing the finance industry are Basel III, Dodd-Frank Act, Volker Rule and FATCA.
In order to achieve compliance, organizations are investing enormous amounts in multifarious systems ranging from COTS (Commercial off the Shelf) IT solutions to expensive ERP software. However, more often than not, these systems have failed to assist organizations with the formidable task of automating the ever-evolving and increasing list of compliance related regulations. Most COTS systems cannot be customized and do not meet the needs of the organization completely, while an expensive team of programmers is required to design a completely custom solution, which is laborious and time consuming to build. By the time, the design completes, it is likely that the regulations have already changed. Many a times, organizations are seen to employ disparate systems to manage each of the numerous regulations. This leads to confusion, inefficient communication across the different arms of the organization and delays. As a result, despite huge investments and several efforts, they continue to struggle with compliance issues.
The solution is a unified business process management system (BPMS). As opposed to non-customizable COTS products, a BPMS can be quickly configured according to the particular organization’s compliance requirements. It includes a zero-code graphical modeling environment enabling technical and non-technical team members to more effectively collaborate on compliance solution design. Its no-training work-social feature promotes communication and coordination across the organization, while its mobile capabilities quickly involve decision makers, eliminating delays. All these reasons make BPMS the intelligent choice to manage compliance.