Compliance professionals are often misunderstood as “road blockers” in technology, when in reality they are a vital cog in the industry.
When we think of jobs in the tech industry, we often think of more traditional tech roles like software developer, cybersecurity analyst, data engineer, and more.
But there are several other elements of business that are often overlooked but critical to the operation of any great tech company, particularly risk and compliance.
Over the past decade, many tech giants have become the most valuable companies in the world. In 2021, Meta, then known as Facebookreached $1,000,000 in value while Microsoft has grown into a $2,000,000,000 business. Apple has crossed the $3 billion mark early 2022.
Along with this growing value, tech companies also face significant regulation, especially when it comes to innovation. It’s not just pure tech companies that need to think about this. Banks and financial firms are also becoming technology companies, making compliance professionals more important than ever.
Clausematch is a regtech company that enables heavily regulated organizations to meet compliance obligations using an AI-powered platform. Its founder and CEO, Evgeny Likhoded, spoke to SiliconRepublic.com about the importance of compliance in enabling these companies to grow and develop.
‘To work in compliance, you also need good communication skills’
– EVGENY LIKHODED
“The role of compliance has evolved. The CCO is now much more frequently involved in corporate strategy. Compliance officers sit on the board and participate in strategic decision-making,” he said.
“The contribution of compliance professionals is often not sufficiently appreciated within companies. Meanwhile, it is precisely compliance professionals who protect businesses and enable their growth. Regardless of structure and location, a mature compliance function should have a “seat at the table” to influence decisions. »
In February this year, Clausematch launched a new rewards campaign to show appreciation to those in compliance. The campaign brought together more than 50 applications from various companies and Likhoded said it was important to break down the misconceptions that compliance professionals are “road blockers” and start giving them the respect they deserve. deserve.
Work in compliance
Along with misconceptions about the work they do, compliance professionals face their own challenges. Just like many technology professionals who must keep up with the latest technology trends, those who work in compliance must keep up with the massive volume of regulatory changes.
And over the years, the industry has also had to streamline its own processes and embrace technology. Prior to founding Clausematch, Likhoded worked in compliance departments at financial services and energy companies.
“A lot of questions from regulators were stored in Word documents. Processes were chaotic because each department of a large bank does its own job and works in silos,” he said.
“In 2012, the global banks said: we can’t use the cloud, we’re not going to use the cloud. We have to have everything there. In 2016, every bank had a cloud strategy. Since then, we’ve seen compliance departments adopt technology at a very rapid pace, especially over the past two years when people started working from home, internal communication and internal collaboration on day-to-day changes has been suffocated. »
Compliance may not look like a traditional technology role, but the evolution of the industry has made certain technical skills more important than ever. For example, data analysis and technology literacy skills are often crucial.
“Compliant people increasingly need new skills to work effectively with the use of innovative software and AI,” Likhoded said.
“To work in compliance, you also need good communication skills to know how to translate your expertise into information accessible to all levels of the company.”
In addition to knowing the laws and regulations in the specific areas, Likhoded is important for those working in the industry to understand how technology and software can help compliance departments be more agile.
“Compliance officers of the not-too-distant future will fully understand how to apply technology in their role and how AI is already transforming their function,” he said.
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