Compliance risks companies face in this era and how to avoid them
Based on my experience within the global business environment, the major risks impacting enterprises are antitrust, bribery & corruption, environmental issues, money laundering, cyber crime and trade restrictions.
A good method behind tracking and monitoring risks are built from five steps; I see these steps as pillars to build up a robust and effective system to monitor and prevent risks. They are as follows:
- Using forensic data analytic tools
- Having an anti-corruption due diligence process in place
- Having an effective escalation mechanism in place to minimise the damage being done
- Creating a tailored and “tracked” training program for the employees
- Allocating budget support for internal audit and compliance functions
How effective enterprise risk management can identify risks before they become a major issue
In order for risk management to be effective, the enterprises need to embed and develop the combination of the following elements:
- Strengthen the culture of compliance and of “doing business with integrity”, starting from the top leadership. Boards and management need to regularly refresh their views of risk drivers for the business.
- Push the introduction of leading technologies to conduct investigations and forensic auditing.
How lawyers prevent such risks from occurring
Legal advisers can work alongside clients to assess the company compliance risks framework, identify gaps, detect potential risks and suggest action plans to ensure the business maintains its long-term competitive advantage. I do think there are many ways for us to help our clients in being better prepared to face emerging threats. As professionals, for example, we can contribute to influential conferences, seminars and leading magazines on the changing nature of the challenges to business integrity and company reputation. We are experienced in providing specialised support for our clients in developing and enhancing the right compliance framework tailored to the needs of their businesses.
CONTACT:
“FdA Law Firm” - Legal Services in Business Law
Founder: Fausto De Angelis
Via Rinaldo Arconati n° 51
21100 Varese (Italy)
Tel: + 39 335 6402404
https://www.linkedin.com/company/studio-legale-avv-fausto-de-angelis/
Fausto De Angelis, is the Founding Partner of “FdA Law Firm” – Legal Services in Business Law. He has 25 years of background and experience as an international corporate lawyer both “in-house” with large corporations and in private practice. Currently his firm carries out legal and corporate consultancy for large companies and SMEs.
He graduated in Law from "La Sapienza" University in Rome and completed post-graduate studies in Business Law at Harvard Law School and in General Management and Strategy at SDA Bocconi.
The focus of his advisory is on business contract law, compliance, corporate M&A, labour and trade union law, and business crisis management.
He is also a legal consultant to Trade Associations and Export development bodies.
