Compliance is a fact of life whether you are:
- dealing with worldwide standards on accounting or internal controls regulation (such as NZ IFRS or Sarbanes-Oxley)
- converting from local standards to global standards
- complying with industry specific accounting regulations (such as Basel in the financial services sector).
What are the common problems I may face when tackling this issue?
Many companies view compliance as an unwanted distraction and, while a company may have many compliance commitments to meet over several years, each is treated as a separate project.
Insufficient thought is given to the regulatory calendar as a whole and different teams are assembled each time. Companies frequently fail to set sensible timescales. This ad hoc approach means that costs can escalate.
So what should I do?
- Take a long-term view of your company’s compliance regulations.
- Stop focusing solely on the next reporting date in the diary.
- Identify resourcing requirements for all projects further in advance than you currently do.
- Identify synergies between compliance programs.
Making your processes more efficient should benefit your company.
Managing the regulatory environment is about bringing a greater degree of planning and coordination to a process traditionally treated as a distraction from core business activities.
How can KPMG help?
KPMG professionals can help by working through the detail of individual pieces of regulation, as well as bringing our country and industry-specific knowledge to bear. In conjunction with your in-house team, we can help you revise data collation systems, adapt processes and address resourcing issues. Once these matters are addressed, the calendar of compliance commitments can be managed more smoothly and more cost-efficiently.
KPMG New Zealand’s professionals can advise you on:
- complying with internal controls regulations such as Sarbanes-Oxley
- first time adoption of NZ IFRS
- implementing NZ IFRS and an enterprise risk management system to prepare for a public listing or during post-merger-integration
- complying with industry specific regulations such as Basel and other supplementary disclosures in the financial sector
- coping with breaches of rules and regulations
- seeking maximised convergence efforts and cost savings while complying with regulation.