How can a company demonstrate it has taken steps to meet compliance requirements?

A company can effectively demonstrate that it has taken steps to meet compliance requirements by establishing a system for periodic evaluation and reporting. Such a system showcases a proactive approach to compliance, indicating that the organization regularly assesses its adherence to regulatory standards and internal policies. This involves routine audits and reviews that help identify gaps in compliance, ensuring corrective actions can be implemented swiftly. Through transparent reporting, stakeholders can view the company’s commitment to maintaining compliance, thereby enhancing trust and accountability.

The other options reflect actions that would not contribute to a robust compliance framework. Ignoring employee misconduct undermines a culture of accountability and may expose the company to legal risks. Minimizing training efforts suggests a lack of investment in educating employees about compliance, which is essential for fostering an ethical workplace. Allowing only top-level management to be involved in compliance can lead to a disconnect with frontline employees, who are often the first to encounter compliance issues. A truly effective compliance program requires participation and awareness throughout the organization, not just from upper management.