Organizations today are challenged to address a confluence of regulatory and business changes that are putting new demands on compliance. The pace of regulatory change, convergence in global regulation, and competition from new market entrants that is driving increased consumer and technology demands have created a complex environment for compliance leaders across all industries. While financial services firms have notably faced a new wave of regulation since the 2007–2008 financial crisis, organizations in other industries have also felt the impact of a proliferation of new rules that affect nearly every part of their operations and influence their strategic decisions. Adding to this challenge is the risk of reputational damage and significant financial penalties that frequently accompany compliance failures.
KPMG LLP (KPMG) has developed a proprietary compliance program framework that consists of eight program components, with culture and accountability at the core. The KPMG framework integrates the U.S. Federal Sentencing Guidelines suggestions for compliance programs as a foundation and goes beyond those concepts to incorporate regulatory requirements and guidance from cross-industry regulators and leading compliance initiatives.