Companies are still woefully ill-informed about the compliance impact of regulations such as Sarbanes-Oxley (SOX), with many believing they can hand over responsibility by simply outsourcing it, according to new research.
John Lovelock, director general of FAST, said companies must understand the risks involved in outsourcing email and if they still choose to do so, to retain legal counsel and draft a service level agreement (SLA) that covers all the pertinent...
The most critical areas that need specially adapting for offshore outsourcing contracts include proprietary rights, security and confidentiality, legal compliance, fees and payment terms, and auditing.
Outsourcing operations will require the same level of compliance as internal ones and so contracts will need to take into account issues such as improved record keeping and the provision of the most appropriate services.
But it is not just compliance-related outsourcing that is in demand: MiFID is also fuelling outsourcing of non-core business processes, according to PAC, as companies seek to concentrate their in-house resources on more pressing matters as the 1...
All outsourcing companies need to stay on top of compliance issues and new regulations for the industries their clients operate in. Peter Fawcett is a director with outsourcing and shared services advisory firm Alsbridge.