Written by Duane Tinker (aka the Toothcop)
Certainly! Compliance programs are an essential part of corporate governance, yet several myths surround them. Here is a rundown of seven common misconceptions:
Myth 1: Compliance Programs Are Only for Large Corporations
Fact: Individual dental offices and small to the largest of DSOs can benefit from a structured compliance program. While the scope and scale may differ, the basic need for compliance exists in every practice and organization to mitigate risk and adhere to laws and regulations.
Myth 2: Compliance Is Just About Following the Law
Fact: While adhering to laws is a primary function of compliance programs, they also often include best practices, ethical guidelines, and company policies that may go above and beyond legal requirements.
Myth 3: Having a Compliance Program Guarantees No Legal Issues
Fact: A compliance program can significantly reduce the risk of legal issues, but it cannot eliminate them. Human error, oversight, or deliberate misconduct can still result in legal complications.
Myth 4: Compliance Programs Are Costly and Not Worth the Investment
Fact: The long-term benefits outweigh the initial cost of setting up a compliance program, such as avoiding fines, lawsuits, or reputational damage. In many cases, the cost of non-compliance can be much higher than maintaining a compliance program.
Myth 5: Only the Compliance Department Is Responsible for Compliance
Fact: While a compliance department may oversee the program, compliance is everyone's responsibility. Employee training and awareness are essential components of an effective compliance program.
Myth 6: A Generic, Off-the-Shelf Program Is Sufficient
Fact: Each industry and company has specific compliance needs. Tailoring a program to fit these unique requirements is often necessary for it to be effective. What works for one practice or DSO may not work for another practice or other DSO.
Myth 7: Compliance Programs Are Static and Don’t Require Updating
Fact: Laws and regulations change, and business operations evolve. As such, a compliance program should be a dynamic tool regularly updated to reflect these changes.