[May 14, 2013]

Global Benchmark Survey Finds Compliance Increasing as a Strategic Priority for Enterprises, but Few Using Quantitative Measures of Success

SAI Global Compliance, a leading provider of governance, risk and compliance (GRC) products, services and technology, today announced the results of its second annual Global Compliance Benchmarking Survey. The survey, which gathered responses from 236 organizations representing more than 20 industries worldwide, was conducted jointly with Baker & McKenzie, a leading global law firm. The annual benchmark survey provides a platform for compliance officers to compare their global challenges, priorities and practices with those of their peers. This year's survey found that while respondents cited a variety of strategic drivers necessitating investments in compliance, many are not yet using automated systems or quantitative metrics to gauge the success of their programs. Key findings include:

• Protecting the brand and reputation was most often cited as the primary driver of compliance, by 77 percent of the survey respondents. Concurrently, employee training was most commonly cited as a high or top compliance priority by 80 percent of respondents. The results, however, also indicated that many companies continue to rely on qualitative results to estimate success. For example, more than half of respondents rely on soft statistics such as training completion rates and hotline data as proxy for training effectiveness. Less than 30 percent use direct metrics such as employee exit interviews or quantitative assessments to gauge the impact of training efforts in terms of awareness, attitudes and behavior changes.
• On the topic of the greatest challenges to compliance effectiveness, nearly half of the respondents indicated that they manage policies across the organization, but coordination is difficult. This challenge is likely related to the fact that only 13 percent of participants advised that they maintain policies in a policy management system.
• Similarly, the majority (82 percent) of respondents indicated that their organizations conduct assessments related to compliance and ethics risks. However, only 11 percent are using automated technology to facilitate the risk assessments.

"In our global compliance and ethics benchmark survey this year, we're encouraged to see advancement and improvement in key areas including budget, adequacy ofstaffing and third-party risk management. At the same time, we continue to see areas that exhibit significant opportunities for improvement," said Tim Whipple, president, SAI (News - Alert) Global Compliance. "In particular, the use of technology to facilitate key GRC functions and aid in producing quantitative measures of effectiveness seems to be underleveraged by many organizations. As regulatory scrutiny continues to pose increasing organizational risks, the benefits of establishing a GRC system of record are likely to become more broadly apparent."

"Evaluating the effectiveness of your company's compliance program is absolutely essential in the current hyper-enforcement environment. Benchmarking information is a critical component in this process. With this benchmarking report and results, SAI Global and Baker & McKenzie hope to assist legal and compliance professionals in dealing with the challenges of building and maintaining a comprehensive compliance program. As displayed through recent governmental enforcement actions, risk-based proactive compliance programs help protect companies from compliance failures and in subsequent governmental inquires," said Stephen Martin, managing director, Baker & McKenzie Compliance Consulting. "More importantly, strong compliance programs help companies reduce risk while driving increased profitability. It is critical for organizations, though appropriate benchmarking, internal and external resources, assistance and technology to continually review, evaluate and enhance their company's compliance programs to meet Baker & McKenzie's Five Essential Elements of an Effective Compliance Program: Leadership; Risk Assessment; Standards and Controls; Training and Communications and Auditing Monitoring and Response."

Copies of the 2013 Global Compliance and Ethics Benchmarking Survey will be available at the SAI Global table at Compliance Week 2013, Compliance Week's 8^thannual conference which will run May 20 - May 22 at the Mayflower Hotel in Washington, D.C. The survey is also available for download at: http://compliance.saiglobal.com/community/2013-Global-Benchmarking-Survey

About SAI Global Compliance

SAI Global Compliance provides a full range of governance, risk and compliance (GRC) software applications, learning and awareness solutions and advisory services. With over twenty-five years' experience and offices worldwide, we combine deep expertise with practical technology solutions to help thousands of organizations reduce risk, enhance compliance, streamline governance and make better decisions. For more information about our solutions and services, visit www.saiglobal.com/compliance

About Baker and McKenzie

Founded in 1949, Baker & McKenzie advises many of the world's most dynamic and successful business organizations through more than 4,000 locally qualified lawyers and 6,000 professional staff in 72 offices in 45 countries. The Firm is known for its global perspective, deep understanding of the local language and culture of business, uncompromising commitment to excellence, and world-class fluency in its client service. Global revenues for the fiscal year ended June 30, 2012, were US$2.313 billion. Eduardo Leite is Chairman of the Executive Committee. http://www.bakermckenzie.com

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