Companies Must Plan Ahead for Effective Ethics and Compliance Training
In today’s fast-paced business environment, ethics and compliance training is a critical component of any organization’s success. However, many companies are failing to plan effectively for these efforts, leading to inefficiencies and inadequate results.
The Importance of Planning Ahead
A recent report from NAVEX highlights the importance of developing a multiyear budget and program plan for ethics and compliance training. Without such a plan, organizations risk falling short on their goals and failing to address key risks that could impact their reputation and bottom line.
A Defined Multiyear Budget: Essential for Success
According to the report, a defined multiyear budget is essential for delivering results and maintaining a recurring investment in training programs. This approach allows companies to:
- Prioritize topics and audiences
- Determine timing and frequency of communications
- Balance depth and duration against resource limitations
Identifying and Prioritizing Risks
The report stresses the importance of identifying and prioritizing risks facing an organization, which can include:
- Regulatory or compliance risks
- Employee behaviors
- Actions not defined by laws or standards
A thorough risk assessment should involve:
- Research
- Benchmarking reports
- Subject-matter experts
- Business leaders
- Legal obligations related to training
Investing in a Professional Risk Assessment
The NAVEX report also recommends investing in a professional risk assessment conducted by a consultant or attorney to help identify the drivers of risk and develop a risk profile unique to each organization.
Creating an Effective Multiyear Education Plan
To create an effective multiyear education plan, companies should consider the following key elements:
- Identify and Prioritize Risks and Learning Objectives
- Determine what needs to be taught and why
- Identify the groups that need to be educated about each topic
- Determine Communication Timing
- Optimize limited training hours for maximum impact
- Deploy Training Effectively
- Determine how often training will be deployed on a particular topic
- Balance Depth and Duration against Resource Limitations
- Ensure training is effective without overwhelming employees
- Centralize Management through a Single Resource
- Simplify management and reduce administrative burdens
By following these best practices, organizations can create a comprehensive ethics and compliance training program that addresses their unique risks and needs, ultimately protecting their reputation, people, and bottom line.