Benchmark your spend on compliance

Large enterprises are spending between 0.7% of revenue and 0.05% of revenue on regulatory compliance (Figure 1).

Figure 1: Spend on regulatory compliance among large enterprises

Source: IT Policy Compliance Group, 2007

Based on spend data collected across 1,144 firms, those with the fewest compliance deficiencies and the least loss or theft of sensitive data are actually spending less on regulatory compliance than are others: 44 percent less on average.

For example, firms with $5 billion in revenue are spending, on average, $16.6 million annually on regulatory compliance.  By contrast, the leaders among these firms are spending about $9.5 million annually.

Guidance recommendations

Becoming a leader pays off with fewer deficiencies to correct and significantly lower financial risk and loss from the loss or theft of sensitve data. In addtion, becoming a leader pays off by spendling less on regulatory compliance.

Consider:

·       Benchmarking your spend against the rest of the industry

·       Learning what your firms can do to spend less - and improve results

© IT Policy Compliance Group, 2007