Michael Volkov – Corruption, Crime & Compliance – December 2, 2015
These are heady days for Chief Compliance Officers. Over the last 20 years, the CCO has moved from the backwater of corporate offices to the front and center of the power structure.
We now have debates over the independence of the CCO from the legal function, the reporting obligations and the relationship between the CCO and the board.
There is no question that CCOs have gained in the corporate structure. But CCOs have to be careful on two important fronts – they cannot overpromise on results, and they have to deliver in tangible ways on the business side of the equation. If CCOs mess up big time, or if they fail to communicate realistic expectations, CCOs will quickly suffer the budget ax and retribution from the board and CEOs in response to any major legal violation or reputational issue.