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Risk-based: Effective compliance programs are risk-based, meaning that they prioritize risks based on Compliance professionals use a risk-based approach to design compliance controls and procedures, and Four Types of Regulatory Designs: Macro-Ends (Outcome-Based): This regulatory design sets broad outcome-based Macro-Means (Performance-Based): This regulatory design sets broad performance standards or goals that Act: In this final step, the team takes action based on the results of the previous step.

landscape was also starting to transform as regulators were modernizing their programs to become more risk-based realized that not much had been written about effective compliance and specifically how performance and outcome-based We started at the source of the obligations and worked our way to the outcomes that companies committed framework A proactive model for governance risk and compliance (GRC) Strategies to apply systems & risk-based of measures: effectiveness, performance and conformance to help govern (i.e. steer) towards better outcomes

Increasingly, regulatory and standards bodies are transforming their operations, taking on a more risk-based introduction of regulations and standards that are moving away from prescriptive to performance and risk-based It is not uncommon to find performance-based frameworks including prescriptive "shall" statements related Advancing these goals requires risk-based approaches and the continuous improvement of capabilities to The following are Measures of Success for compliance frameworks that support performance and outcome-based

One of the most significant of these, is incorporating "Risk-based Thinking." Risk-based thinking was introduced to improve (among other things) the effectiveness of how corrective From the standard we know that preventative actions has been replaced with taking a risk-based approach All with the goal of assessing how uncertainty affects achieving program outcomes. Including risk assessments as part of corrective actions is indeed part of risk-based thinking.

and regulatory legislation and standards have shifted over the last decade from a reactive approach, based on prescription and audits, to a proactive approach, based on continuous improvement and the management for quality, safety, environmental, and regulatory systems to help companies adapt to performance and outcome-based represented as goals: Outcomes (Goals): The outcomes of an API RP 1173 will be different for every organization based standards and guidelines can be realized.

However, when it comes to complying with performance and outcome-based commitments where the goal is to achieve zero fatalities, zero explosions, zero violations, and zero defects then you need a risk-based has already occurred and for those looking to improve safety, quality, environmental, or regulatory outcomes

to ensure that residents are safe, and feel safe Hackitt's report calls for an overall shift towards outcome-based can consider the different layers of protection that may be required to make that building safe on a case-by-case basis.

As compliance is now heading towards performance and outcome based standards the way in which systems system level directed by a compliance program focuses on advancing capabilities to advance overall outcomes own right consisting of proactive processes that anticipates, plans, and acts to improve compliance outcomes continuous improvement of processes, technology, and people so as to increase the probability that outcomes governance away from "run to fail" and "set and forget" to one that proactively steers towards better outcomes

in the compliance industry have observed a shift in regulation from prescriptive to performance and outcome-based What is risk-based regulation? Regulatory models What might it mean to be a risk-based regulator? What is Risk-based Regulation? This creates "ends-based" instruments often referred to "performance-based" or "outcome-based" regulation What Might It Mean To Be A "Risk-based Regulator?"

Establishing alignment based on the five principles of program success is a good place to start and will Are we aligned on: Destination: the outcomes, our goals, where we are heading? Plan for Success" kaizen (change for the better) engagement to help you and your team create a risk-based plan for program success: Facilitator led workshop to develop risked-based compliance plan for your program based on the 5 principles of program success.

However, slowing down is not easy and that is one of the reasons why risk-based thinking is hard to do

word ethical with "safety" or "quality" or "environmental" which are more concrete examples of ethical-based chain) will always optimize away from "quality", "safety", or environmental" goals towards non-ethical outcomes In theory and in practice, compliance outcomes cannot be separate objectives overlaid on top of operational Compliance goals must be explicitly specified in the value outcomes we intend to achieve. It's also because they want to ensure they advance the outcomes they want and avoid the ones they don't