Go from passive compliance to active enablement with managed services

With legal, reputational, and regulatory risks in constant motion, chief compliance officers (CCOs) are facing higher scrutiny—not only from regulators but also from customers, investors, employees, and senior leadership. In fact, boards of directors are the No. 1 source of compliance pressure.

That’s according to the 2023 KPMG Chief Ethics & Compliance Officer Survey, which found that 73 percent of CCOs are upping their compliance efforts. They expect their top challenges in the next two years to come from new regulatory requirements and data analytics for compliance monitoring and risk management.

To create a tech-enabled, data-driven compliance program, progressive companies are making managed services part of their playbook. Taking teams from passive compliance to active business enablement, leading providers bring the expertise and advanced technology to help companies: 

• Automate compliance processes to sustainably improve speed, accuracy, and data quality—while also reducing cost.
• Use data analytics to monitor real-time business risk. 
• Continually adapt to fast-changing regulations and strategic priorities.
• Use insights from financial-crime compliance data to create a 360-degree view of the customer, informing strategies not only in risk but also in sales and relationship management.
• Use compliance data to support the environmental, social, and governance (ESG) posture.
• And ultimately earn the trust of board members, regulators, customers, and other stakeholders, giving companies the permission to boldly transform—whether it’s opening digital channels or entering new markets.

It’s no wonder that, according to the KPMG and HFS Research Managed Services Outlook 2023-2024, compliance is one of the top three functional areas where executives expect managed services to deliver the most value—both today and in the next two years.

Moreover, as senior leaders give more scrutiny to compliance as a critical function, they’re also becoming more involved in the of use managed services as an alternative delivery model. Nearly 70 percent of Outlook respondents said managed services decisions are made by the C-level or board.

It’s because they increasingly see managed services as a way to drive strategic value in risk and compliance. When backed by the right combination of technology, domain expertise, and advisory capabilities, managed services take processes from transactional to transformational.

Learn more about KPMG Managed Services and the Managed Services Outlook 2023-2024.
For an archive of my past blogs, please visit Going Beyond: Managed Services.