What is CCO?
CCO is the acronym for the position of Chief Compliance Officer. A person holding this position is in-charge of ensuring that the organization he/she represents is abiding by the rules and regulations as determined by government and other authorities. It is also the responsibility of the CCO to ensure that internal policies and guidelines are also being implemented and followed by each member of the organization. In many cases, it is also the CCO who will initiate reviews of existing organization rules and request for research in terms of updated laws, regulations, and updates on industry standards.
Many organizations have the need to have competent compliance officers with the leadership of a CCO or Chief Compliance Officer. Organizations in the healthcare industry for example are heavily regulated and all policies must be implemented according to industry standards. Any lapse in terms of compliance to various regulations could mean penalties imposed on a particular business. Compliance issues to an organization could also mean revocation of business permits and licenses. Organizations also do not want bad press regarding compliance concerns with government and regulation authorities as these could affect the overall business in terms of value and reputation. With the CCO, all aspects regarding compliance to regulations and standards will be monitored and implemented to avoid problems down the road. The strict implementation of internal policies is also given importance to ensure that all activities of a healthcare business for example are able to follow expected guidelines.
Chief Compliance Officers or CCOs are also involved in investigating an organization’s problems with regards to compliance. Knowing all too well the necessary procedures for compliance with regulation authorities, CCOs are also equipped with the right knowledge and tools in determining which part of the organization may be at fault in terms of compliance issues. By knowing which activity or practice is causing the compliance issue, a CCO can then implement the necessary review or revision of an existing policy to be updated and relevant to current industry guidelines and standards.