February 12, 2022
Compliance
What is Compliance Management?
Paula Cartney

Compliance management is the continuing process of monitoring and evaluating an organization to ensure that all internal and external rules and regulations are followed. 

Compliance management can vary depending on the workplace, governing body, or by events or circumstances that prompt reactionary policies that an organization must abide by.

Managing compliance has become increasingly important in recent years to increased risks of cyber threats and world events that have resulted in changing levels of compliance across countless sectors of the economy. 

Why is it Important to Manage Compliance?

Compliance management is vital to maintaining health, safety, and civil standards in the United States.

Restaurants, for example, are required to comply with food and occupational health standards in order to ensure that food and drinks are prepared and served in a way that reduces the risk of foodborne illnesses. 

Improper management of compliance measures carries consequences. For instance, failure to abide by government policies and mandates, such as driving with an expired license, can result in fines or legal issues. 

Hospitals, nursing homes, and assisted living centers may have broader compliance measures due to high levels of interaction with vulnerable populations. 

Learn more about Health and Safety Standards in the United States by visiting The United States Department of Labor’s website here. 

Is It required?

Businesses and organizations in the United States must follow a specified list of regulations. These can be limited or far-reaching depending on a number of factors including type of service offered, possible risks, or governmental status. 

Compliance Measures in the United States

The following is a partial list of the most widely known compliance measures in the United States. 

  • The Fair Labor Standards Acts (FLSA) has stringent guidelines in regards to wage and hour laws. Its policies govern the amount of hours worked, minimum wage, overtime hours, meal breaks, and child labor. 
  • The Family and Medical Leave Act (FMLA) was created to provide workers with a better balance between their personal and work lives. For example, the act states that eligible employees are entitled to unpaid leave for specified family and medical reasons without fear of losing their employment. 

Any organization with 50 or more staff must comply with guidelines put into place by the FMLA. 

  • Discrimination in the workplace is illegal in the United States. Institutions must comply with Title VIII of the Civil Rights Act of 1964. The policy prohibits the discrimination of persons based on race, color, sex, or national origin. 

What Does A Compliance Manager Do?

Compliance managers play an important role within an organization. 

These managers are responsible for reading and interpreting new legislation and rules imposed by the authorities who govern them. They work to ensure processes are implemented to comply with new and existing procedures and thus help reduce the risk to the institution of lawsuits, fines and audit failures as a result of non-compliance.

Compliance managers are also known as compliance officers in many professions. The duties of these positions are typically very similar.

What is a Chief Compliance Officer (CCO?) 

A chief compliance officer (commonly known as a compliance manager), is the individual in charge of ensuring all policies, whether internally or externally mandated, are adhered to within an organization. 

They are primarily responsible for establishing and maintaining safety standards that reflect the compliance measures and policies in which they are required to follow. 

Why Compliance Management?

Compliance management reduces the risk of fines, liabilities, lawsuits, or other work-related injuries. Small or large organizations are able to streamline their management system while reducing the possibility of encountering legal problems. 

In the United States, abiding to compliance measures improves occupational health and safety and can greatly reduce the risk of accidents or death in the workplace. 

Ensuring compliance measures are followed can also greatly reduce the likelihood of encountering a cyberattack or other digital threats. 

Risk Management 

Risk management is the action of evaluating, assessing, and acting upon possible threats to an organization’s finances, well-being, reputation, or earnings. 

Compliance measurement is a form of risk management as it greatly decreases the possibility of fines, lawsuits, and reputational damage within an organization. 

Benefits of Compliance Management in Senior Living

The Compliance Program Guide for Nursing Homes identifies the following benefits of a well-functioning compliance management program:

  • the formulation of effective internal controls to ensure compliance with statutes, regulations and rules
  • a concrete demonstration to employees and the community at large of the nursing facility’s commitment to responsible corporate conduct 
  • the ability to obtain an accurate assessment of employee and contractor behavior 
  • an increased likelihood of identifying and preventing unlawful and unethical behavior 
  • the ability to quickly react to employees’ operational compliance concerns and effectively target resources to address those concerns 
  • an improvement in the quality, efficiency, and consistency of providing services

Digital Compliance Management 

Compliance management has been traditionally maintained through manual filing systems. While safeguarding hard copy systems is important to the vitality of any institution, they create countless productivity barriers. 

Digital compliance management is the act of digitizing records electronically as a way to increase workplace efficiency and protect valuable data and information. An automated compliance management system requires few to no staff to monitor and maintain. The systems generally function through an easy-to-use app or integrated software that can be used across the entire organization. 

This technology is growing increasingly popular amongst hospitals, nursing homes, and other institutions that employ professionals who must maintain up to date certifications and training hours. The software reduces the need for manual paperwork and file checking. 

Compliance Management Mobile Apps

Many compliance management systems offer easy-to-use apps that can be downloaded from the Google Play or Apple Store. The programs can be uniquely tailored to fit the needs of an organization or institution, and can be used by all members of staff.  

Keep in mind that system developers often offer digital support and after-care for their products, which will save on maintenance and upkeep costs down the road.

Digital workforce apps offer a hands-off solution to problems associated with the manual organization of files and information. 

What Happens When You Don’t Digitize Compliance Management

Failure to digitize compliance management procedures can have negative effects on an institution and can impact the following:

Speed

Manual filing systems can slow down productivity. They also contribute to increased staff hours as a result of requiring manual labor. 

Digital compliance management uses artificial intelligence to send automatic updates when there is a possible breach of compliance, or if a staff’s credentials are in need of renewing. The technology reduces the need for a compliance manager, thus freeing up allocation and time. 

Price 

For most organizations, staff and personnel are the most expensive expenditure. 

Opting to digitize compliance management can reduce both direct and indirect staff costs by integrating automation into the management process. 

Errors and Mistakes 

Hard copy filing systems are susceptible to inaccuracies. Integrated workplace technology creates less opportunities for errors and mistakes. Embedded cameras and scan tools make digitizing files easy and efficient. 

Records stored digitally can then be easily sent and emailed across the organization. 

Digital Compliance to Ensure Credentials of Nurses and Medical Staff 

Digital management of compliance records can be especially beneficial in the healthcare industry. Compliance apps cut down on staff and labor time by automating the compliance management process, which in turn allows employees more time to focus on caring for their patients.

Hospitals, nursing homes, long-term care facilities, outpatient care facilities, and hospice employee personnel who work with vulnerable segments of the population can all benefit from digital compliance management. 

These organizations must adhere to more stringent compliance measures that can often be time and labor intensive.

This is because doctors, nurses, therapists, and other medical personnel must renew and update training credentials and licenses on a more frequent basis than professionals in other industries. 

Solution to Managing Temporary and Per-Diem Employees (Nursing, Pediatrics)

The amount of temporary and per-diem employees is constantly changing in the health care and senior living industries. 

Digital compliance management provides a quick and easy solution to managing credentials of staff and personnel who are employed on a temporary basis. The software greatly reduces the amount of organization and data checking required as a result of employing interim staff. 

Price of Compliant Management Software

Management software (sometimes known as regulatory management software) costs will vary greatly depending on the developer, needs, and scope of the project. 

Some applications can be purchased cheaply as monthly subscriptions, but may offer limited functionality. They are also more vulnerable to software crashes and bugs. 

Other applications can cost tens of thousands of dollars depending on the level of customization and types of solutions offered. 

Outsourcing or offshoring app and software development has become increasingly popular in recent years, but can be a risky expenditure as a result of time zone differences and language barriers. 

Need Help?

Kevala’s compliance management solution is easy to implement and affordable. Once you’re using our digital compliance manager, you’ll wonder what you did before the switch. Talk to one of our account experts today and schedule a demo to see the power of Kevala.



About the author
Paula Cartney