Sound policies and procedures: the basis of a sound compliance program
Abstract
Purpose
The purpose of this paper is to: emphasize the importance of sound policies and procedures to support a sound compliance program; define the relationships among rules, policies, and procedures; and recommend a detailed, step‐by‐step approach for implementing a strong rules, policies, and procedures infrastructure.
Design/methodology/approach
The paper discusses the nature of rules, policies, and procedures and how they relate to one another, and recommends an approach to implementing a strong rules, policies, and procedures infrastructure broken down into four phases: discovery, rationalization, implementation, and ongoing maintenance.
Findings
The study finds that financial services organizations need to take steps for creating, controlling and distributing the right policies and procedures to the right audience based on the right interpretation of laws, regulations and guidance à propos to their businesses. In large complex firms today, the ongoing maintenance of rules, policies, and procedures cannot exist without the assistance of an automated solution.
Originality/value
The paper provides practical advice from experienced systems consultants.
Keywords
Citation
Wolosz, L. (2007), "Sound policies and procedures: the basis of a sound compliance program", Journal of Investment Compliance, Vol. 8 No. 4, pp. 7-11. https://doi.org/10.1108/15285810710839471
Publisher
:Emerald Group Publishing Limited
Copyright © 2007, Emerald Group Publishing Limited