Just like compliance officers, regulators work within a
range of forces, priorities, and constraints. Understanding those
factors is essential for managing regulatory
relationships.
Given that regulators operate in conjunction with the
enforcement power of the state, there is a natural tendency to see
them as monolithic, all-powerful entities. But the fact is that
regulators operate in the same highly dynamic environment as
compliance officers. Understanding the regulatory perspective is
essential for keeping compliance efforts effective, holistic, and
strategic.
With Transparency Comes Responsibility
In several jurisdictions, regulators are becoming more
transparent and collaborative with industry, sharing priorities,
data, and other key insights. This evolution has been particularly
notable in the United States, where the Securities and Exchange
Commission has been much more active in issuing risk alerts and
deficiency letters. With this increase in
