Compliance and risk management are critical for businesses as it can lead to financial forfeiture, material loss and legal penalties in the event of failure to comply with industry regulations, government policies, and laws. The consequences can range from bad public sentiment, revenue loss to penalties reaching millions of dollars. This puts huge pressure on organizations to look for efficient ways to keep track of such policies and changes to them.
Keeping track of all such regulatory changes can be a hectic task when attempted via the traditional methods. Employing people to do this can add up to be a significant amount of cost and is not efficient and reliable enough either. It takes a considerable amount of time and effort to monitor court records, sanction lists, watch lists and other repositories to ensure compliance. There is a high chance that changes in policies could go unnoticed as there is still a human element involved.