A search for the chief compliance officer should be based on the following factors

1. A search for the chief compliance officer should be based on the following factors 1. There are many functions that a compliance executiveundertakes. His or her role in the functioning of the company is critical and almost as important as the work that the CEO or CFO undertake. Some of the most important tasks that a compliance executive is entrusted with are as follows: Bridging the gap between the employees and the higher management: A compliance executive is one who knows that is happening with the company in terms of a legal and compliance standpoint at all periods. It is their duty to ensure that the company is working as per the rules and regulations placed by the regulating authority, and as per the correct law. In ensuring this degree of compliance, a compliance executive has to interact with the lower-level employees as well as the higher management – which gives them an effective view of the overall working of the enterprise. Whether the team has a problem with what is going on, or the higher-level management is unsure of some of the work that the employees are doing, both sides of the spectrum feel comfortable with sharing, and interacting with the compliance executive as they can be an unbiased and effective bridge between the two interest grou 2. 3. 4. Understand why compliance is important: One of the non-negotiable aspects while running a company is to do the requisite compliances on time. Not completing certain compliances can even lead to legal consequences. While it may be impossible for a compliance executive to be exactly aware of all the compliance requirements in place, they are usually aware as to where to find the necessary information pertaining to various compliance requirements, and also tend to guide the directors and other executives of the company on how to go about ensuring regulatory compliance effectively. 5. Attempt to reduce the risk of the company: One of the most important reasons that any company hires a compliance executive is to reduce the amount of risk that the company will have to face. By analysing data, examining trends, and by making the necessary compliances, a compliance officer contributes towards minimizing the risks that a company could face in an extremely effective manner. Depending on what sort of risk control mechanisms are required, a compliance officer may take steps and put into place systems to ensure that the risk that the company faces is considerably reduced. 6. Keep abreast of all new developments in the field: Another task that the compliance executive does effectively ensures that if there are any new developments, whether in terms of regulatory requirements, compliance requirements, or disclosure requirements, they keep track of such developments, and ensure that the company incorporates such switchovers as fast and as effectively as possible. Due to all of these reasons, a compliance executive is a must-have employee for the company.