What functions does a compliance committee typically perform?

A compliance committee primarily focuses on ensuring that an organization adheres to legal standards, regulatory requirements, and internal policies. One of its key functions involves analyzing legal requirements and specific risk areas. This process entails reviewing laws and regulations that apply to the organization’s operations, identifying potential compliance risks, and developing strategies to mitigate those risks. This proactive oversight helps preserve the organization’s integrity and reduces the likelihood of legal issues or penalties.

While developing training programs for new employees can be a related activity, it is typically part of the broader compliance strategy rather than a fundamental function of the compliance committee itself. Initiating marketing strategies and conducting employee performance reviews fall outside the compliance committee’s scope, as they do not pertain directly to compliance oversight or regulatory adherence.