The regulatory environment in India is anything but business-friendly. In fact, the country fares rather poorly, as far as ‘ease of doing business’ is concerned. Companies have to complete a lot of compliance work manually, and there is no predefined database that can be used in a comprehensive manner for managing various requirements. Technology has changed many things about how businesses operate in India, and it was only about time that compliance would be digitized. Businesses now have the choice of using compliance tracking tools and automation software, which make it easy to manage statutory and regulatory requirements. In this post, we are discussing further on why and when automation is the answer to compliance management.
When to consider compliance automation?
While automation is definitely a matter of choice, businesses are using technology to simplify compliance, and that’s because the ecosystem in India is convoluted at best.
Your company should definitely consider compliance automation in the following situations –
- If you are having a hard time tracking compliance and legal updates
- If your company has received many notices for non-compliance
- If your company doesn’t have a team in place to handle compliance
- If you are trying to ease compliance
- If your company needs to find a compliance management solution for key personnel
- If you are operating in different states and UTs
- If you are dealing with international clients
- If your company has made and paid for many compliance mistakes
Why does automation of compliance make sense?
First and foremost, businesses in India don’t have an easy way of ensuring compliance. There are more than a thousand Acts, around 58,000 compliances, and over 3,000 filings, and even a company operating a medium level would have to comply with as many as 130 Acts. Government is keeping a keen eye on defaulters, so non-compliance does have serious consequences. Besides the fact that your company will have to deal with penalties, fines and complicated procedures, non-compliance also impacts repute and can also impact operations adversely.
In conclusion
If your company has not been using a software program for compliance, it is time to think of the investment. The best compliance software apps are designed to be flexible and can be easily deployed, which is a big advantage and doesn’t have to impact your IT budgets in an adverse way. Check online now to find more on features and ensure that the software covers all aspects of compliance in India.