Technology continues to dominate the business productivity, processes, and the daily life of consumers. Compliance standards have evolved to protect data, and preserve privacy. Organizations must monitor infrastructure for violations due to the increased complexity of compliance regulations. Compliance monitoring solutions scan assets to ensure data protection meets standards and business operations meet obligations.
What is the Purpose of Compliance Monitoring?
Compliance monitoring is required by most regulators in the US as well as the UK. The UK Financial Conduct Authority, for example, requires evidence of a compliance monitoring program before they approve an applicant in the financial markets. For most organizations, simple monitoring is not sufficient. They need to have a deep understanding of the requirements and to be able to monitor how data is being processed. Monitoring is essential to monitor the infrastructure as it grows.
Organizations still use the system to avoid heavy fines even though regulations don’t require it. For every violation, regulators impose significant penalties. An organization could be fined millions for every violation. Fines are not the only problem. If business processes are found to be in violation of standards, an organization could face legal action and be required to settle monetary claims.
A team of people is usually used by an organization to monitor procedures and ensure compliance. However, some monitoring can also be done automatically. An organization can use both automated and manual monitoring to ensure data privacy and comply with all regulations.
What is Government Compliance Monitoring?
Monitoring is essential for government agencies to ensure the protection of data. It is common for state-sponsored threats to target government agencies. This can have devastating consequences for the public. Many countries have data protection regulations for government agencies to guard employees and user data against unauthorized access by state-sponsored attacks.
Monitoring government infrastructure is difficult when it’s legacy and contains large amounts of data over many decades. Monitoring government compliance will identify weaknesses and errors in the way employees and officials manage data. Monitoring is performed manually and automatically because government data is often stored in multiple legacy systems. This allows threat actors to gain unauthorized access. It also uncovers instances in which data might be mishandled. This gives internal threats the opportunity to steal data or reveal it to a third party.
Inspections of the public sector are common. compliance tracking ensures that agencies pass the next inspection. The US Environmental Protection Agency (EPA), for example, inspects organizations for their pollution control devices, operating conditions, and material compositions. Interviews include reviewing records, speaking with site representatives, taking photos, and watching site operations. The government compliance monitoring system makes sure that the audit runs smoothly and the agency passes, which avoids heavy fines for non-compliance.
Who is Responsible for Monitoring Compliance?
While the organization should adopt a collaborative approach to monitoring compliance, most users still require guidance. The organization’s compliance monitoring can be handled by an individual within the company or by third-party consultants. Employees and managers must all be involved in the process, regardless of whether it is done internally or by a third party.
Employees need to be taught about compliance and how they can follow regulations. Employees who are well-informed will be accountable to their managers for their compliance. Managers may occasionally audit employees to make sure they adhere to compliance regulations.
Larger companies have a special role in compliance monitoring. This is usually done by a third-party consultant company. This is a critical role in financial institutions, where FINRA (Financial Industry Regulatory Authority), defines the monitoring of its regulatory requirements. The compliance standards change over time, so compliance officers must keep up-to-date with all changes.
A plan will:
- Examine the outline and all automated programs that make mistakes.
- Define who will oversee compliance implementation.
- Determine the frequency of testing.
- All auditing and log control used in testing should be covered.
Priority is given to resources that are most at risk. Financial data, for example, are more at risk than office printers and require greater protection. While the printer should be protected against eavesdropping and other threats, attackers have a greater target in the financial system. Data breaches that are successful against financial systems can also have more serious consequences.
Monitoring also requires reports. Monitoring requires that a compliance officer keep track of all issues via automated scans. If necessary, they can also make adjustments to procedures. A risk assessment team works together with the compliance officer to ensure that all aspects of corporate infrastructure are monitored.
The compliance officer along with his team regularly amends policies because compliance standards are always changing. The organization has a time limit, sometimes years, to apply changes to the policy when regulators make them. The monitoring solutions must be flexible enough that they can change in accordance with new guidelines.