Tailoring Compliance Risk and the Compliance Function for Non-Financial Organizations (a Step Further and Beyond the Basel's Proposal for Banks)

Documento de Trabajo 325

19 Pages Posted: 28 Jun 2007

Date Written: August 2006

Abstract

This paper contends that compliance risk and the compliance function are powerful devices to enhance corporate governance not only in banks but in any other organization as well. Firstly, it reviews the contribution made by the Bank for International Settlements (BIS), which pertains to financial institutions only. Next, it upholds that compliance risk actually matters in any corporate governance environment. Afterwards, it deals with how the compliance function can be shaped so as to grant, on the one hand, its own independence and, on the other, clear-cut patterns of accountability behavior. Subsequently, it points out that there are some drawbacks in the BIS' choice of governance principles. Lastly, it brings forth a set of governance principles for both compliance risk and the compliance function in financial and non-financial organizations alike.

Keywords: compliance risk, compliance function, accountability, corporate governance, banks governance, accountability

JEL Classification: G30, G34, G39

Suggested Citation

Apreda, Rodolfo, Tailoring Compliance Risk and the Compliance Function for Non-Financial Organizations (a Step Further and Beyond the Basel's Proposal for Banks) (August 2006). Documento de Trabajo 325, Available at SSRN: https://ssrn.com/abstract=997123 or http://dx.doi.org/10.2139/ssrn.997123

Rodolfo Apreda (Contact Author)

University of CEMA ( email )

Department of Finance Room 612
Buenos Aires, C1054AAP
Argentina
5411 6314 3000 (Phone)
5411 4803 0429 (Fax)

Do you have negative results from your research you’d like to share?

Paper statistics

Downloads
183
Abstract Views
1,032
Rank
297,507
PlumX Metrics