Compliance

The task of compliance management is to ensure that all processes within a company or institution comply with the law and regulations, i.e. to create a corporate culture of moral and legal integrity. So-called "compliance officers", "managers" or "assistants" are employed to check this.

The term "compliance" originally comes from the English language and means "adherence" or "observance". In detail, it is usually primarily about legal compliance, i.e. the extent to which a company operates within the framework of relevant laws, for example. This is not only important in order to avoid fines or other criminal consequences, but also to positively influence the public image in terms of PR and marketing.
By setting up a compliance management system, violations of the law are not only prevented, but guidelines and measures are also developed to ensure that they are dealt with appropriately in exceptional cases. The training of employees in terms of legally compliant conduct and working methods can also fall within the area of responsibility of compliance managers. Specific areas that are of particular concern to compliance officers in Europe today are, for example, the prevention of corruption and money laundering or compliance with the European General Data Protection Regulation (GDPR), which came into force in 2018 and is about ensuring the appropriate processing of personal data, including customer information.

Investment in visibility and stability

However, compliance does not only refer to government regulations, but also to internal guidelines. When such issues are addressed under compliance, for example, the enforcement of equal treatment principles or behavioral guidelines towards competing parties can play a role. One advantage of this is the possibility of developing a transparent, fair corporate culture, as compliance with these rules is checked and demanded from all persons involved. Compliance thus anchors legal and moral values and principles. This requires an investment of time and money, which at first glance may seem to inhibit development, but in the long term can have a positive effect on the integrity, external impact and financial stability of a company. It is therefore particularly important to strike a balance between profit maximization and compliance, which means that compliance managers need to be strong communicators and assertive.

Compliance officers can also play an advisory role in the development of new products or strategies. This field of activity is therefore particularly interesting for university graduates who are not necessarily fully qualified lawyers, but still have a legal background.