Relationship and Resource Management in Operations
This text explains in practical terms the importance of the business relationships with internal and external counterparts while demonstrating how things can go wrong and what causes the situation.
TABLE OF CONTENTS Relationship and Resource Management in Operations
Chapter 7: Compliance and Audit
In the previous chapter we considered the relationship that Operations teams have with regulators. Part of that relationship is managed through compliance and also the audit function. The relationship with both compliance and audit needs to be good so that the overall risk control and regulatory compliance is strong. Compliance and audit both have specific roles to play and so the way in which Operations interacts with each of them is important.
To some degree and in most organizations both compliance and audit are looked on with a mix of suspicion and fear. Neither, of course, is valid unless either the individual or team knows that they are not following procedures or are undertaking illegal activity. To understand the relationship issues we need to look at the roles of compliance and audit.
Compliance
A compliance function has two principal areas of responsibility:
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To create, implement and maintain suitable internal rules and procedures to ensure observance of any relevant regulations
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To monitor activities on a regular basis and in all areas of the organization to ensure that business is conducted in accordance with the regulations
Within these areas of responsibility there are many roles, including overseeing crime prevention within the organization by monitoring internal controls. Compliance s brief is a wide one covering everything from dealing and trading to marketing and awareness of the rules and regulations to which business is subjected. Compliance may be dealing with different procedures and processes in different business areas and needs to consider the internal controls...
Copyright David Loader 2002 under license agreement with Books24x7
