How do compliance programs typically measure success?

Compliance programs are designed primarily to ensure that an organization adheres to relevant laws, regulations, and industry standards. Measuring success through regulatory adherence is essential because it reflects the effectiveness of the compliance initiatives put in place. This assessment often involves tracking compliance with internal policies as well as external legal obligations.

Successful compliance programs demonstrate that employees understand and follow compliance requirements, thereby minimizing risks associated with non-compliance, such as legal penalties, reputational damage, or operational disruptions. Regular audits, assessments, and monitoring processes are typically employed to evaluate this adherence. Thus, focusing on regulatory adherence not only signifies compliance effectiveness but also serves as a crucial benchmark for the overall health of the compliance culture within the organization.