Each business, regardless of size or industry, operates within a pre-established framework composed of regulations and schemes.
But navigating this framework can be tricky—regulations are constantly changing and interacting with one another, and just a single instance of noncompliance can ruin your business. To help map and navigate your business’ regulatory risks, follow these four tips:
- Research your industry’s unique regulatory risks. For example, do you manage sensitive data? Does your work involve contracts with the government?
- Review the incentives, training and goals that your business has set to evaluate whether or not they encourage unwanted risk-taking or compromise an acceptable level of compliance.
- Establish an early warning system to alert key individuals of security breaches, investigations, low or unsatisfactory performance and actions that may damage public image, and then provide solutions for how to effectively handle each situation.
- In the event that your business suffers a security breach, develop a risk management plan that outlines what actions need to be taken, which authorities are to be contacted, and what information to pass on to customers and employees.