This is just another example of the current growing pains corporations are experiencing as we move further into the ‘Internet of Things’.
A lot of corporations have introduced the additional “C” level position for “Technology”. The “Chief Technology Officer” is responsible not only for the electronic tools the company uses to produce goods and services but interact with its customers and partners.
As local, state and federal governments begin to apply additional regulations reflective of current technologies it is becoming more-and-more the responsibility of the legal department to maintain a constant watch on the governance and compliance pulse of the company. If you haven’t bumped into the acronym of “GRC” (Governance, Regulation and Compliance) you soon will.
This is where the two (dare I use the phrase) ‘silos’ of the company begin to converge; and not for the better, something will fall through the cracks.
My view from the cheep seats….
Companies who trade directly in the world of finance have in their offices individuals who report to their government oversight organizations. These individuals monitor the company’s activities and provide on-the-spot oversight. Same too do companies who provide food sold to and consumed by the citizens of the US. These USDA officials report to a government oversight body, but provide (again) on-the-spot correction directives.
Corporate boards need to set-up the same idea in their corporations. Someone who is going to perform government compliance (at all oversight levels) activities and provide on-the-spot corrective directions in real time. This person reports to the corporate board; because he / she needs to be able to interact with the CTO and Legal departments without fear of reprisals.
Important: Either the corporate boards begin to do this or we may find ourselves in the very near future having a government representative sitting in product development, account processing, and all aspects of our companies including human resources, etc., etc., etc.
So congratulations to Ms. Black on her new appointment. Taking on the Legal department and trying to make sure you are in compliance with every state in the country, and every country you do business is going to be a very daunting endeavor.
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