In today’s complex regulatory and threat landscape, organizations face increasing pressure to adhere to various regulatory and compliance frameworks.

Ensuring compliance can be a daunting task, especially without a dedicated professional to manage these responsibilities. This is where a compliance manager comes into play.

In this blog, we’ll explore what a compliance manager is, the vital role they perform, why some organizations may not have one in-house, and how Secureframe’s compliance managers can help fill the gap. 

What is a compliance manager?

A compliance manager is a professional responsible for ensuring that an organization adheres to all relevant laws, regulations, industry standards, and internal policies. This role is critical for managing risk, preventing legal issues, and maintaining the integrity and reputation of the organization. 

Compliance managers work across various industries, including finance, healthcare, retail, education, technology, and more, adapting their knowledge to fit the specific regulatory landscape of each sector.

While the role of a compliance manager may differ from organization to organization, it typically encompasses a core set of tasks, including identifying regulatory requirements, developing compliance programs, monitoring organizational adherence, and addressing any violations or gaps.

Ultimately, a compliance manager serves as the organization's safeguard against compliance risks, ensuring that business operations align with legal and ethical requirements. Their expertise not only protects the organization from financial and reputational harm but also strengthens trust with customers, partners, and regulators. By maintaining compliance as a core business priority, they help organizations navigate complex regulatory landscapes while driving sustainable growth.

Let’s take a closer look at the role and responsibilities of a compliance manager.

What does a compliance manager do?

The duties of a compliance manager are extensive and varied, encompassing a wide range of activities aimed at fostering a culture of compliance within the organization.

Key responsibilities typically include:

• Identifying compliance requirements: Compliance managers help identify all applicable laws, regulations, and standards that affect the business and any areas where they fail to meet requirements. This is key to reducing compliance risk and the associated reputational, business, financial, and legal implications that can affect day-to-day business operations. 
• Developing and implementing compliance strategies or programs: Compliance managers create comprehensive strategies or programs to ensure the organization meets all regulatory and framework requirements. This includes drafting policies and procedures, conducting risk assessments and developing remediation plans, and establishing internal controls.
• Monitoring and performing self-assessments: Compliance managers regularly monitor and reviewM internal processes to ensure compliance with laws and regulations. In order to identify any potential risks or issues and work to address them promptly, these professionals may conduct self-assessments or internal audits before a third-party audit.
• Overseeing and managing audits: Compliance managers oversee the entire audit lifecycle, including audits conducted internally or externally, ensuring that the organization is prepared for evaluations and able to demonstrate compliance effectively. This encompasses scheduling, managing resources, documenting results, and ensuring compliance with internal policies and external regulations and standards. Audit management can be challenging without the right experts and tools if your organization complies with multiple framework.
• Liaising with audit firms and regulatory bodies: Compliance managers often serve as the point of contact between their organization and audit firms or regulatory bodies, ensuring timely and accurate reporting and facilitating any necessary communication.
• Handling investigations and remediations: In the event of a compliance issue, ethical violation, or other type of breach, compliance managers may work with organizational leadership to conduct investigations to determine the cause and implement corrective actions to prevent future incidents.
• Training and educating employees: A significant part of a compliance manager’s role is to educate employees on compliance policies and procedures. They may develop and conduct training sessions, create educational materials, and ensure that staff members complete regular training and review and accept policies so they are aware of their responsibilities regarding compliance.
• Reporting to leadership and stakeholders – Compliance managers may be responsible for providing regular reports and updates to executives, board members, and other stakeholders on compliance risks, program effectiveness, and audit outcomes. Ideally, they will help identify and use key compliance metrics and insights to drive strategic decision-making and continuous improvement.

Compliance manager requirements

Certain educational and professional prerequisites are typically required for compliance managers. These qualifications ensure that professionals in this role have the knowledge, skills, and experience necessary to navigate complex regulatory landscapes, implement effective compliance programs, and mitigate risk. The specific requirements may vary by industry, but most organizations seek candidates with a combination of formal education, certifications, and hands-on experience. Let's take a closer look at each below.

Educational background

Most compliance managers hold a bachelor’s degree in a related field such as law, finance, business administration, or risk management. These disciplines provide foundational knowledge in regulatory requirements, corporate governance, financial controls, and ethical decision-making—key components of a compliance manager’s role. Some organizations may also accept degrees in fields such as cybersecurity or healthcare administration, depending on the industry.

While a bachelor’s degree is typically the minimum requirement, some employers prefer candidates with an advanced degree, such as a Master of Business Administration (MBA) or a Juris Doctor (JD). A master's degree can offer deeper insights into strategic risk management and leadership, while a law degree provides expertise in legal frameworks and regulatory compliance. Advanced education can be particularly beneficial for professionals looking to transition into senior compliance roles or specialize in highly regulated industries such as finance, healthcare, or technology.

Professional certifications

Earning a compliance-related certification can significantly enhance a compliance manager’s credentials and demonstrate specialized expertise in the field. Several widely recognized certifications exist, each catering to different aspects of compliance, ethics, and risk management. For example, the Certified Compliance and Ethics Professional (CCEP) is designed for professionals focused on corporate compliance and ethical practices, while the Certified Regulatory Compliance Manager (CRCM) is ideal for those working in financial services.

Other valuable certifications include the Certified Information Privacy Professional (CIPP) for those dealing with data privacy laws like GDPR and CPRA, the Certified Information Systems Auditor (CISA) for compliance managers overseeing IT security and audit processes, and the Certified Anti-Money Laundering Specialist (CAMS) for professionals in financial crime compliance. These certifications not only validate a compliance manager’s expertise but also demonstrate a commitment to ongoing professional development, which is crucial in a rapidly evolving regulatory environment.

Experience

Practical experience is essential for success as a compliance manager. Most organizations seek candidates with several years of experience in compliance, risk management, internal audit, legal, or regulatory roles. Experience in these areas helps professionals develop the skills needed to assess compliance risks, create effective policies, conduct audits, and manage regulatory reporting requirements.

Industry-specific experience is also highly valued. Compliance managers working in finance, healthcare, technology, or manufacturing must understand the unique regulatory challenges of their sector. For example, a compliance manager in healthcare must be well-versed in HIPAA regulations, while those in financial services must understand anti-money laundering (AML) laws and banking compliance frameworks. Hands-on experience within an industry provides valuable insights that help compliance managers tailor compliance programs to meet specific regulatory expectations and business needs.

Why some organizations don’t have a compliance manager

Despite the crucial role a compliance manager plays, some organizations may not hire one. Let’s look at a few possible reasons why. 

1. Budget constraints

The cost of maintaining an in-house compliance manager—including salary, training, and certification expenses—can be prohibitive. Organizations with limited budgets may prioritize other roles that are perceived as more directly related to revenue generation or operational efficiency. 

Organizations that don’t have a role responsible for compliance are forced to put off compliance or manage it on a reactive, as-needed basis rather than proactively. As a result, this short-term cost-saving measure can lead to higher costs in the long run due to potential fines, legal fees, and reputational damage resulting from compliance failures.

2. Responsibilities are distributed across multiple roles

Some organizations, especially smaller ones, may not have the resources or understand the need to hire a dedicated compliance manager and choose to distribute compliance responsibilities across multiple roles within the organization instead. Compliance tasks might be handled by the legal team, the IT department, and/or HR professionals, for example, and the CTO or another executive may be charged with coordinating these teams and efforts. 

While this approach can seem cost-effective, it often leads to fragmented compliance management, where no single person has a comprehensive understanding of the entire compliance landscape. It also tends to mean that compliance is under prioritized as the employees involved are stretched thin across multiple priorities and responsibilities. 

This lack of expertise, resources, and coordination can result in inconsistent compliance practices, increased risk of compliance breaches, and challenges in maintaining up-to-date knowledge of changing laws and regulations.

Outsourcing the role of compliance manager

Instead of hiring a compliance manager in-house, organizations can choose to outsource the role through various options. This approach can be especially beneficial for small to mid-sized businesses or organizations with limited resources and time to dedicate to compliance.

Below are three common ways to outsource the compliance manager role, along with the pros and cons of each option.

1. Hiring an external consultant

An external compliance consultant is an independent professional or a firm specializing in compliance. They provide advisory services on a contract basis, helping organizations design and implement compliance programs, conduct audits, and address specific compliance challenges.

Pros

• Specialized knowledge: External consultants often have specialized knowledge and experience in a specific industry or with a specific regulatory framework. This expertise can make them ideal guides for navigating the compliance process, particularly for organizations who haven’t completed the process before.
• Flexibility: Consultants can be hired on a short-term or project basis, allowing organizations to scale their compliance efforts up or down as needed without the long-term commitment of a full-time employee.
• Cost-effective for short-term needs: For organizations with specific, short-term compliance needs, such as preparing for a particular audit like SOC 2 Type I, hiring a consultant can be more cost-effective than hiring and retaining an in-house compliance manager.

Cons

• Limited availability: Since consultants often juggle multiple clients, they may not be available to provide support or respond to compliance issues as quickly as you want.
• Lack of familiarity with your culture and environment: External consultants may not have a deep understanding of the organization’s culture, environment, internal processes, or specific business needs, which can impact the effectiveness of their compliance strategies.
• Higher costs for long-term engagements: The cost of a consultant can be exorbitant, especially for ongoing, long-term compliance needs. For example, preparing for and completing an ISO 27001 audit can take between six to twelve months. Maintaining this certification also requires ongoing monitoring, regular internal audits, annual surveillance audits, and a recertification audit every three years. Hiring and retaining an ISO 27001 consultant for such an extensive period may actually exceed the cost of hiring an in-house compliance manager. 

Why Secureframe’s compliance managers are unparalleled

Having a dedicated compliance manager is not just a luxury but a necessity in today’s regulatory environment. They play a crucial role in safeguarding an organization’s integrity and ensuring adherence to various regulations and standards. For organizations without the resources to hire a full-time compliance manager, Secureframe offers a valuable alternative. 

Alpine IQ CEO Nicholas Paschal said, “Secureframe is probably one of our most valuable vendors. They act like a complete in-house security team. Compared to anyone else in the market, from traditional audit firms to other software companies, you’re going to save a lot more time, team resources, and money using Secureframe. I’ve already recommended it to my peers. There isn’t a better solution out there for achieving and maintaining compliance.”

At Secureframe, we understand that navigating the complexities of compliance can be overwhelming for many organizations. That’s why our team of experienced compliance managers are dedicated to guiding customers through every step of their compliance journey. Secureframe’s compliance managers provide:

• Personalized guidance: They work closely with customers to understand their unique compliance needs and tailor solutions accordingly. This personalized approach ensures that each customer receives the support they need to achieve and maintain compliance.
• Expert knowledge and resources: Our compliance managers bring extensive experience and knowledge of various regulatory frameworks, including SOC 2, ISO 27001, GDPR, HIPAA, and more. They leverage this expertise to help customers build robust compliance programs.
• Continuous support: Compliance doesn’t end with certification or an audit. Secureframe’s compliance managers provide ongoing support, helping customers stay up-to-date with changing regulations and ensuring continuous compliance through regular monitoring and audits.
• Unmatched framework support: The Secureframe platform is built and maintained by our team of compliance managers, enabling us to support 40 frameworks out of the box, with more continually being added. Any regulatory changes or framework updates are also promptly reflected in the platform, helping our customers maintain continuous compliance. For example, they mapped as many applicable controls as possible from PCI DSS 3.2.1 to PCI DSS 4.0 in the platform so customers could see an accurate difference between their work in the old report versus the new report and avoid wasting time repeating the same activities and delaying their new report.  

To learn how our compliance managers help customers navigate the complexities of compliance, read our customer stories. Or, if you want to understand how we provide the support and tools you need to achieve your compliance goals with confidence, schedule a demo. 

About the UserEvidence Survey

The data about Secureframe users was obtained through an online survey conducted by UserEvidence in February 2024. The survey included responses from 44 Secureframe users (the majority of whom were manager-level or above) across the information technology, consumer discretionary, industrials, financial, and healthcare industries.