Most large corporations are not sure whether they're in line with federal regulations and some are not taking adequate steps to address compliance regulations, according to a survey released this week.
Seventy-two percent of large corporations are not confident that they are complying with applicable regulations, according to a survey released by ControlPath.
Compliance is also affecting corporate bottom lines, according to the poll. When asked the most challenging aspect of compliance, the cost of managing governance was chosen by 51 percent of respondents.
The survey polled 132 senior executives earlier this month.
A representative from the federal Office of Compliance could not be reached for comment today.
The vast majority of corporations are under numerous federal regulations, with about 70 percent of all respondents using a compartmentalized compliance strategy, according to the survey.
According to the survey's findings, many corporations may be unaware of technological advantages for compliance issues. Forty-five percent of respondents said they want better technology to deal with regulatory issues, but only 27 percent are using some form of compliance management tools.
Forty-eight percent of companies reached said their processes for compliance regulations were entirely automated, while 23 percent said they use manual processes.
Jim Hitela, director of product marketing for ControlPath, said today that compliance only becomes easier for corporations once they automate the process.
"Most companies are still not automated in how they (ensure compliance). They are still treating compliance as kind of individual silos," he said. "We do expect that to change. The initial shock of Sarbanes-Oxley has passed. So some that have to (comply with multiple regulations) are realizing there is some affiance to automating the process."
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