Blog post

Post Pandemic Plausible Directions – Regulatory Tightening is Increasing

By Marty Resnick | July 06, 2020 | 0 Comments

plausible directionsContinuous ForesightTrendspotting

We recently published a report that was a cross Research and Advisory initiative at Gartner. Analysts from many different industries, coverage areas, and teams participated in this list, that to be fair was published in early May. So it does not take into account some recent events and disruptions.

I wanted to spend the next several days sharing each one and would appreciate any feedback. The entire report  is  available Top 10 Plausible Directions Resulting from COVID-19

A webinar on this topic could also be found here.

Keep in mind, COVID-19 will have short- and long-term implications for all organizations. There are many opposing trends and parallel scenarios. These posts will explore each one.

The next plausible direction is Regulatory Tightening is Increasing

 

Description

The increase in the volume or enforcement of laws, rules and regulations:  Regulatory agencies will release emergency regulations, guidance documents, and press releases responding to the coronavirus.  COVID-19 lessons learned will result in new regulations and compliance initiatives around pandemic preparedness, scenario planning, third party and supply chain business continuity planning and testing, workplace safety and data privacy in a pandemic environment.

Signals

  • Increase in regulatory inquiries
  • Regulatory agencies and government officials propose new or additional rules and regulations
  • Adverse event occurs impacting clients and customers (fraud, scandal, lawsuits) that current regulations should’ve prevented

Short-Term Impacts

  • Time-intensive to reprioritize compliance strategies, conduct gap assessments and create remediation workflows
  • Cost-intensive to build or redesign compliance processes and tools
  • Requires additional resource capacity and training
  • Stock-market volatility as regulations are implemented

Long-Term Impacts

  • Greater accountability and transparency of corporate and individual activities
  • Strengthens processes and controls
  • Provides consumer/client protections
  • Strengthens preparedness and response to adverse events
  • Enables dynamic and competitive market forces
  • Often shifts cost of compliance to the consumer

Recommended Response

  • Participate in calls for input on draft regulations
  • Keep regulatory agencies updated on compliance status, actions plans and areas of concern
  • Share compliance best practices with industry peers

Just a reminder –

The entire report  is  available Top 10 Plausible Directions Resulting from COVID-19

A webinar on this topic could also be found here.

 

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