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Compliance Key Performance Indicators (KPIs)

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Organizations should track various compliance key performance indicators (KPIs) to ensure their compliance policies are effective. This comprehensive guide covers directional KPIs, specific KPIs, and essential compliance KPIs that organizations should prioritize.

Directional KPIs

Directional KPIs show the direction of travel of your processes, helping you decide when to rethink and adjust procedures.

  • Mean Time to Issue Discovery
  • Mean Time to Issue Resolution
  • Compliance Expense per Issue

Specific KPIs

Specific goals allow for a more effective response. For example:

  • Increase internal audits completed on time by 10%

Most Important Compliance KPIs to Track

The following compliance KPIs are essential for any organization:

  • Total Regulatory Compliance Expense
  • Risk Severity Gap
  • Composite Risk Index
  • HR Regulatory Compliance Expense
  • Compliance Training Expense
  • Compliance Training Headcount
  • Number of Misconduct Reports

FAQs

Common questions about compliance KPIs and how to measure them include:

  • How to measure compliance rate?
  • What makes a good compliance function?

Conclusion

Continually improving compliance efforts is crucial to prevent financial loss, reputational damage, and reduced staff morale.

ComplyLog: Streamlining Compliance Processes

ComplyLog offers a suite of tools to help organizations stay compliant with key pieces of legislation and streamline processes:

  • IntegrityLog: Fulfilling EU Whistleblowing Directive requirements
  • InsiderLog: Automating insider list management as per MAR
  • TradeLog: Simplifying employee personal trading

Request a free demo by clicking on the links above.

References and Further Reading

Additional resources for compliance professionals include:

  1. Company Code of Conduct Examples
  2. Benefits of a Code of Ethics
  3. How to Create a Compliance Communication Strategy
  4. How to Measure the Effectiveness of Whistleblowing
  5. How to Write a Conflict of Interest Policy + Template

By following these compliance KPIs and leveraging ComplyLog’s tools, organizations can ensure they are meeting regulatory requirements and maintaining a strong compliance culture.