Today, if a company must run in a correct, safe, and reliable manner, then it is very important to have strong coordination between its legal team and compliance team. Think about it – both teams are like two wheels of the same vehicle; if even one is weak, then the journey will become difficult.

Many times, it is seen in the office that the legal and compliance teams are locked in their respective rooms and confine themselves to their work. The result? Many a time, the same information or work is repeated at both places, and sometimes important things are left out. This is the reason why building a strong partnership between these two teams has now become the need of the hour.

 Why is partnership important?

•       The compliance team checks every day whether every rule and law is being followed in the company or not.
•       The legal team is the one that protects the company firmly – whether it is a legal investigation, a dispute, or understanding a law.
•       When these two come together, the risks for the company automatically reduce. Also, everyone is confident that any mistake will be caught quickly.

 Understand in simple language: Easy ways to have a strong partnership

1.  First of all, clearly define responsibilities

Sometimes it happens that a file is being looked after by the legal team as well as the compliance team, which creates confusion. To avoid this, adopt a small trick –

Make a mutual agreement beforehand as to which team has which work.

Adopt the ‘RACI Matrix’ in your own way – this is just a table, in which it is written – who is responsible, who is accountable, who is the advisor, and who has to give the information.

2. Make sure to talk once every week

Think, if you do not see your neighbour every day, how will you get along? Similarly, these two teams should also decide that they will definitely meet once a month/week.

Hold small meetings to share updates, new rules, and challenges.

Create a shared group – WhatsApp, Teams, Slack – whatever is convenient in your company.

Share documents in one place (like Google Drive or company portal).

3. Bring together a collective thinking in understanding risks

Many times, one team thinks, ‘What if we break these rules and get into legal trouble?’, and the other team thinks, ‘What is ethically correct?’ Discuss these differences openly. Sit together and understand which issues need to be taken seriously.

Make a list of risks together – and decide which ones need immediate resolution and which ones later.

4.  Create policies and training together

Policies are not just paper documents; they are the backbone of your company. Whether it is an anti-corruption policy or a conflict-of-interest policy, legal and compliance should decide the language together.

Prepare the training together – the language should not be too heavy, nor should it be so light that the meaning is not conveyed.

5. Show teamwork in an investigation

When there is an allegation, complaint, or investigation, both teams should work together. The compliance team should find out the evidence.The legal team should ensure that no rights or confidentiality are violated.

Decide the entire investigation together like a script – who will go first, who will go later.

6.  Use technology properly

Nowadays, it is difficult to work without technology. Cloud systems, document sharing, case tracking tools – take advantage of these.

Choose a software in which both teams can log in together, make updates, and search for old cases.

7. Above all – a culture of mutual trust

Rules, meetings, reports – after seeing and hearing these, everyone should feel that legal and compliance are really with each other. Sometimes do light team activities, celebrate achievements together.

Try to truly understand each other – not just to meet targets, but as members of the same family.

Conclusion

The true potential of a company is seen when its legal and compliance teams speak in one voice, move in the same direction. This not only ensures compliance with rules, but also creates an image of the company that everyone says – “Honesty and responsibility are paramount here.”

Strong partnerships are not a big deal, start with small steps, try it – hopefully soon your company will also become an example for others!

References

1. Society of Corporate Compliance and Ethics (SCCE) – “The Role of Compliance in Corporate Governance”
   URL: https://www.corporatecompliance.org
2. The Association of Corporate Counsel (ACC) – “Bridging the Gap Between Legal and Compliance”
   URL: https://www.acc.com
3. Deloitte Insights – “The synergy of legal and compliance: A path to better risk management”
   URL: https://www2.deloitte.com
4. PwC Report – “Compliance and Ethics: A Collaborative Risk Management Approach”
   URL: https://www.pwc.com
5. NAVEX Global – “Building Effective Compliance and Legal Team Partnerships”
   URL: https://www.navex.com