Compliance Management and Not-For-Profit Law

The provided assignment is a collection of research papers and articles on compliance management and not-for-profit law. The documents cover various topics such as data compliance management, automatic security parameter management, and regulatory impact. The assignment also includes case studies and analyses on charitable tax concessions, knowledge management systems for social services, and accountability in private ancillary funds.

Plan and establish
compliance management
systems

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................4
TASK 1............................................................................................................................................4
1. COMPLIANCE REQUIREMENT.............................................................................................4
A) Internal compliance requirement .........................................................................................4
B) External compliance requirements........................................................................................5
C) Industry compliance requirements.........................................................................................5
2. COMPLIANCE EFFECT ...........................................................................................................5
A) Area effected .........................................................................................................................5
B) Risks......................................................................................................................................5
C) Penalties.................................................................................................................................5
D) Risk Minimization ...............................................................................................................6
3. COMPLIANCE SYSTEM..........................................................................................................6
A) Identification of available system and options.......................................................................6
B) Comparing system in terms of :............................................................................................6
C) Recommending system or procedure....................................................................................7
TASK 2............................................................................................................................................7
Compliance Management System...............................................................................................7
a. Management information system:...........................................................................................7
b &c Component of the compliance management system and documents of each specification
.....................................................................................................................................................8
Personnel.....................................................................................................................................8
a. Personnel requirement.............................................................................................................8
b. suitable personnel....................................................................................................................8
c. key responsibility....................................................................................................................8
Training.......................................................................................................................................9
Process.........................................................................................................................................9
Administration...........................................................................................................................11
b. Target milestone....................................................................................................................11
TASK 3............................................................................................................................................1

EXECUTIVE SUMMARY.............................................................................................................1
ESTABLISHMENT OF SYSTEM .................................................................................................1
MONITORING METHODOLOGY ...............................................................................................3
Results and Analysis........................................................................................................................3
CONCLUSION ...............................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
A Compliance management system is basically an integrated system which consist of
written documents, functions, procedures, controls and tools which supports an enterprise in
complying with legal requirements. It also aids an organization in reducing the harm due to
violations of law. Compliance management system can also be considered to as formal system
which assist an enterprise in maintaining the compliance in all areas of operations. The
compliance system emphasizes on upholding policies as well as provisions which prevents the
firms as well as employees from breaking the legislation as well as regulations.
The report will have focus on identifying the compliance requirement by charitable
organization in Australia. Study also have focus on addressing the laws which are required to be
followed by charitable firm in context of charity care organization. It is basically a public sector
organization which is located in Brisbane. Study will also highlight the effect of the different
legislation on charity business.
TASK 1
1. COMPLIANCE REQUIREMENT
A) Internal compliance requirement
The charity care organization is required to develop the charity compliance program , as
it will assist them in reducing the risk of legal obligations.
There are different types of compliance required which are to be considered by management in
charity care firm. The different types of compliance requirement are internal as well as external,
accreditation guidelines, policies or procedures, legislation and codes of practices. The laws
which are required to be followed (Williamson, Luke and Furneaux, 2018. ).
According to the Australian Charities and Not-for-profits Commission Act 2012, It is
very much essential for charitable organization those who are registered with ACNC to keep
proper record of financial transaction. In addition to this, charity organization are also required to
keep the operational record for at least seven years. As per the privacy act, 1988 charity care
organization is required to take proper actions for destroying the information which is no longer
required.

B) External compliance requirements
The charity care organization is required to comply with the ACNC legislation passed in
2012. The charity care organization is required to comply with the Australian charity and Non-
profit commission act 2012.
C) Industry compliance requirements
Occupational health and safety act : According to this legislation ,Employees companies such as
care charity is required to provide healthy and safe working environment to workers.
Occupational health and safety legislation in Australia lays down the duties of employer as well
as employees related to maintaining the safe working environment (Cordery and Deguchi,
2018.).
2. COMPLIANCE EFFECT
A) Area effected
ACNC legislation mainly effect the way charity organization operates business in
Australia. It is the legislation which governs as well as regulates the way charities organizations
are formed as well as registered. ACNC act also provides the guidelines related to the financial
reporting requirements as well as governance standards. The area s which are effected by
changes in the legislation are finance and other business functions.
B) Risks
If in case charity care fails to comply with laws than in such case it might have to face
the legal obligations as well as high amount of penalties. The failure to comply with the
legislation can have adverse effect on the sustainability of organization. In addition to this there
is privacy risk which is associated with collection as well as distribution of donor information.
C) Penalties
The charity organization if fails to comply with the privacy law need to pay the fine of
224000 $.

D) Risk Minimization
The risk of legal obligation can be minimized by implementing a compliance system at
workplace. The different phases involved in the development of the compliance program are
commitment, implementation, monitoring as well as measuring and continuous improvement.
Commitment: At this phase, in order to ensure all the norms as well as regulations are formed, it
is required by management in an enterprise to implement reward system or strict policies.
Implementations: This is the phase where the management in the organization is required to
address those factors as well a people which can highly influence the implementation of
compliance system (Massingham, Massingham and Pomering, 2018). Management in an
organization should engage all employees in the implementation procedure, as it will assist them
in eliminating the barriers which might occur in employing the compliance management system.
In addition to this, it is required by manager in charity care firm to provide proper training to
employees, a sit will help them in ensuring that all the norms are followed.
Monitoring : Continuous monitoring is very much essential in order to ensure that all the rules as
well as norms are being followed. Establishing the specific standards can be helpful in
measuring the performance.
3. COMPLIANCE SYSTEM
A) Identification of available system and options
There are various software which can be implemented such as Logic gate, I-sight,
Netwrix, Zenefits etc. which can be utilized by charity care organization. All these software are
cost effective and helps in preventing the risk which is associated with failure to comply with
law.
B) Comparing system in terms of :
1. Costs: All the software are easy to installed and involves less costs.
2. Effectiveness : Netwrix, is a security solution that allows administrators to manage
server log files, security events and syslogs across the company network. The solution

alerts administrators in real time on critical events. In addition to this GTS system can be
implemented. The other important benefit of GTS system is that it enables management
to keep track record of all blocked document.
3. Efficiency; Both the system have high efficiency.
4. Feasibility :Netwrix, assists an individual in implementing as well as validating the
following NIST SP 800-53 security controls. It is highly feasible as compliance
solutions. The main benefit of using the GTS system is that it automatically updates the
value.
5. Matching to organization culture: As charity care has innovative culture, it can easily
implement both Zenefits and Netwrix, system at workplace.
C) Recommending system or procedure
The new process which can be implemented by the Charity organization for compliance
management are :
At the initial stage of process, the management in charity care organization are required
to create a business document in the feeder system. During the next phase, The GTS system will
start export or import control procedure automatically. It will also Check whether there is
requirement of import or export license. If in case system will be required then in such situation
the system assigns the appropriate license automatically to the business transaction. The GTS
system performs the check for particular business transactions.
TASK 2
Compliance Management System
Compliance Management system is a comprehensive compliance program that comprised
of documents, functions and process that help a firm to comply with all the legal requirement and
to minimize the harm ti customers because of violation of law.
a. Management information system:
This is favored by the growing organization, as it plays an important role for creating the
competitive company and increases the corporate value as well. Therefore, it Is a computer
system that consist hardware and software which help a firm in its operations and also aid in
management decision-making.

b &c Component of the compliance management system and documents of each specification
There are three element of the compliance management system such as:
Policies and procedures: It should be drafted in such a way that a new employee in
Charity Care can start a new job in a particular department in order to understand their own job
functions and responsibilities (Ciervo and et.al., 2019). Therefore, when the organization is
drafting a policies, it is quite necessary to be careful such that the written policies are not too
burdensome. The documents which required is keep adhering the laws o Australian government.
Training: It must be provided in proper and regular basis and even the training must be
updated with current and accurate operation on the product and services of a charity care. Further
, the training session should also be up to date with all the internal policies and procedures
Monitoring: The manager should keep monitor the process and verify whether it leads to
timely corrective actions and the monitoring should also addresses the deficiencies that are
identify in internal and external audits. Therefore, the monitoring procedure identify the
opportunities to improve the steps to strengthen CMS (Rickey, 2019).
Personnel
a. Personnel requirement
Charity-Care CEO
Chief Compliance officer
Line Manager
Employees
b. suitable personnel
Charity care CEO is one of the important personnel, the are the only person who make
policies and take important decision. Further they also monitor the entire system of the company
and assign different roles and responsibilities of their employees as well. Further, they also
provide training sessions to their employees for their better performance
c. key responsibility
Charity-Care CEO
 They are responsible for all the policies and procedure of a company.
 Support the Board and enabling good governance.
 Ensure that the firm is in good operational shape and includes the fund-raising
and finance.

 Build cultural framework.
Chief Compliance officer
 They make sure that the company is conducting a business in full compliance
 Also make sure that the international laws and regulations are pertain within an
industry (Kundu and et.al., 2019).
Line Manager:
 They are responsible for managing the employees and resources in move of
achieving the specific functional and organisational goals.
 They monitor individual and team metrics whether the employees are do work
with full efficiency.
Employees:
 They are only help the manager and Chief compliance officer to complete the
CMS.
Ciervo, J., Shen, and et.al., 2019
Training
A training should be designed for the Charity care in order to improve the compliance
management system that is core element of the management system. Therefore, the manager of
the company should not only monitor but to manage the compliance of the organization as well.
Hence, proper training for the Board, management and staff is quite essential in order to maintain
an effective compliance program (Zhang and et.al., 2019). Further, an effective compliance
training program in Charity Care should also be frequently updated with current and accurate
information regarding products and service and business operations. It also make sure that the
training is emerging issue in public domain as well and provide exact information with the
consumer protection laws and some internal policies.
Computer based and e-learning training are the best methods training method which is
suitable for the staff because it is easy to use and wide rage of employees can easily attend the
sessions.
Process
Complaints management system is a process that how the firm handles, manage and
respond the customer compliant such that the system are put into place to track and trend the data

which is captured by compliant management system. An effective communication will help for
developing a compliance management culture.
In order to determine the compliance breaches, the process is as mention below:
 Initial Identification and notification: Staff should notify the supervisor or line
manager about breaching any law so that they can take action further.
 Breach Containment: In this, the supervisor should take immediate action and they
should not destroy the evidence which may be valuable that help to determine the cause.
 Breach Assessment: In this evaluating the risk level with the appropriate laws and this
stage also involved all the relevant members as well to determine the effectively of the
laws (Perry, 2018).
 Implementation of corrective action: The action will be implemented in this stage by
the manager or chief compliance manager.
In order to meeting compliance reporting requirements, the process is as mention
below
 Meet with the divisional leaders in order to make sure the policies and procedures are
feasible
 next is to identify the best format of the policy.
 Then make the policy and procedure easily accessible to the employees.
 Set the deadlines for each policy and procedure to be acknowledge.
 Identify the best way to measure the understanding the employees have policies and
procedure.
Procedures for internal and external liaison processes:
 raising the employees and contractors awareness of the need to maintain the good
neighbour relations (Ferris, 2015).
 Inform the employees and other members about the consequences for a company for
failing any relation.
 Establish the system for gathering the perception of employees and knowledge
 then develop the communication plan for a company.
Performance Indicators:

Individual Compliance: It means that the every individual of the company should
compliance with the laws and regulation of the firm. Such that they keep adhering the laws
prescribe by the firm.
Training numbers: At least Charity Care should provide weekly training to their
employees for analysing the performance level.
Number of complaints: All the complain regarding employees and customers should be
reviewed in a day and address them properly (Ciervo, and et.al., 2019).
Administration
Budget
Particulars Amount ($)
Human Resource (Total) 75
Developing 25
Implementation 15
Reviewing and Maintaining 35
Financial resource 350
Total 425
b. Target milestone
Activities Week 1 Week 2 Week 3 Week 4 Week 5 Week 6
Selection
of topic for
investigatio
n
aim and
objectives
Informatio
n
Gathering

Analysis
of
information
Budget
Drawing
conclusion

TASK 3
EXECUTIVE SUMMARY
Compliance management system is the best practice program designed to keep on the
right track of fair lending regulations. In other words, it helps to control the overall organization
management tool to manage the working effectiveness into more appropriate manner (Coyne,
and et.al., 2016). An effective CMS help organization to minimize the risk and also helpful to
address the risk relevant to the organization while meeting the multiple regulatory requirements.
Present implementing plan has been based on to build the effective compliance management
system. Further it described about the establishment system in order to implement the overall
system growth. Apart from that, it also helps to describe the monitoring process which required
to take the process more seriously and ensuring the individual performance towards achieving
the goals. At the end of the plan described about the results and findings of the plan weather it is
achieved or not as per the set aims and objectives.
ESTABLISHMENT OF SYSTEM
Compliance management system is the tool that helps to reducing the risk and maintained
the effective management growth within the organization (DeCenzo, Robbins and Verhulst,
2016). By applying the systematic technique helps Charity care to keep all information or data in
effective manner. Compliance management system includes three components are Board and
management oversight, compliance program and compliance audit.
Board Oversight : The Board oversight is ultimately accountable for developing and
administrate ring a CMA that ensures compliance with federal consumer protection laws and
regulations. This would help to continue the process which contained the effective roles and
responsibility management goals. In order to maintained the effective results it requires proper
maintenance by adopting clear policy statement. In order to perform this Compliance Officer is
responsible to take care the administration compliance program.
Compliance Program : Financial institution should generally establish a formal written
compliance program. In this Process Charity Care should have required to present the
documentation that will serve as a training and reference tool for all employees. By applying the
effective management helps to reduce the regulatory violations, cost effective, and helps to run
smooth business step (Kerzner and Kerzner, 2017). This includes policies and procedures,
training and consumer complaint response.

Compliance audit : this ensure weather company adhere all policies and procedures or
not in order to maintained the proper management goals. Audit helps to secure the management
or ongoing compliance and identify accomplice risk conditions.
CMS Roles and Responsibilities for all personal
CMS program different personal or responsible person who liable to perform the roles
and responsibilities in order to build the effective working task performance. The role of
compliance manager is to follow up the plans as per the according better environmental goals
according to the plan and objectives. This manager responsible to ensure weather company
adhere all national or international laws or not. Here below explaining the key responsibilities of
personal management.
Senior Management :
Chief Compliance officer : Chief Compliance officer is responsible to develops
compliance policies and procedure. Ensure weather all employees getting proper training or not.
Also, providing the proper information to the clients with proper response.
Compliance Management Team : Compliance management team is responsible to
follows the code of conduct provided by the Charity Care. To access the all areas of the Charity
Care operations (Liu and et.a., 2017).
Line Manager : Line manager responsible to take follow up from the employees weather
the action implemented or not.
Employees : Employees are the last level of hierarchy management of CMS which
responsible to accomplish the instruction given by the top management in proper manner.
Personnels Duties Method of
communication
KPI Reporting to
Chief
Compliance
officer
To develop
policies and
procedures
E-mails, written
oral, oral
communication.
- No one
Compliance
management
team
To implement and
ensure to delegate
task to other
departments and
E-mails, written
oral, oral
communication.
Scorecard, Oral
survey
Chief Compliance
officer
2

set aims and
objectives.
Line Manager Set objectives,
ensure proper
working,
monitoring, and
provide guidance
E-mails, written
oral, oral
communication.
Scorecard, Oral
survey
Compliance
management team
leader
Employees Ensure to perform
the given task.
E-mails, written
oral, oral
communication.
Oral Questioning Line Manager
MONITORING METHODOLOGY
Establish performance standards : This is the first phase of monitoring in which CMS
manager responsible to set the prior performance objective before moving to the next phase.
Manager built an objective that to ensure the ethical environment within Charity Care, make sure
employee performance and monitoring the process to evaluate the results (Moynihan and Kroll,
2016). The performance objective of CMS is to implement the financial management and payroll
system to better working.
Monitor and Evaluate performance : In this next second phase, manager ensure
weather company adopting all policies and procedure or not such as risk management policy,
expenses policy, work H&S policy, financial handling policy in within Charity care in order to
achieve aims and objectives.
Take corrective action : This step ensure weather working system going smoothly or
not. To ensure or controlling and on employees properly.
Results and Analysis
Review is the process where manager check how much plan would be successful or
compare the actual or desired performance in order to measure the results (Zhang, Boukamp, F.
and Teizer, 2015). Analysis the results can be done by different methods such as by preparing
timeline, compare the organization with other organizations. Such methods are given below:
Comparing performance with
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-Past performance
-Internal standards
-Industry standards
-Best Practice Standards
Bench-marking
CONCLUSION
As per the above discussion it has been defined the concept of Compliance management
system in which it describes the importance of CMS and its value in the operation management
of Charity care. This overall study based on CMS system that how this technique helps to
achieve the overall task goals. Report presented the laws and regulation regarding the CMS in
order to protect the risk and penalties. Further, in the next task it described about the personal
specification and about training requirement in CMS. In the last task of the assignment covered
the monitoring and following session.
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REFERENCES
Books and Journals:
Ciervo, J., Shen, and et.al., 2019. A new risk and issue management system to improve
productivity, quality, and compliance in clinical trials. JAMIA Open.
Coyne, I., and et.al., 2016. An exploration of clinical practice in sites with and without clinical
nurse or midwife specialists or advanced nurse practitioners, in Ireland. BMC health
services research. 16(1). p.151.
DeCenzo, D. A., Robbins, S. P. and Verhulst, S. L., 2016. Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
Ferris, J. M., Red Hat Inc, 2015. Data compliance management associated with cloud migration
events. U.S. Patent 9,052,939.
Kerzner, H. and Kerzner, H. R., 2017. Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Kundu, A. and et.al., 2019. Automatic security parameter management and renewal. U.S. Patent
Application 10/243,936.
Liu, J. J. and et.a., 2017. Payments by US pharmaceutical and medical device manufacturers to
US medical journal editors: retrospective observational study. bmj, 359, p.j4619.
Moynihan, D. P. and Kroll, A., 2016. Performance management routines that work? An early
assessment of the GPRA Modernization Act. Public Administration Review. 76(2). pp.314-
323.
Perry, B., 2018. Compliance management system and method for an integrated computing
system. U.S. Patent Application 10/135,874.
Rickey, B. E., Dgd Systems Inc, 2019. Automated workflow management system for application
and data retirement. U.S. Patent Application 10/242,122.
Zhang, B. and et.al., 2019. A quantitative safety regulation compliance level evaluation
method. Safety science. 112. pp.81-89.
Zhang, S., Boukamp, F. and Teizer, J., 2015. Ontology-based semantic modeling of construction
safety knowledge: Towards automated safety planning for job hazard analysis
(JHA). Automation in Construction. 52. pp.29-41.
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Martin, F., 2018. The major tax concessions granted to charities in Australia, New
Zealand, England, the United States of America and Hong Kong: what lessons can
we learn?. In Research Handbook on Not-For-Profit Law. Edward Elgar Publishing.
Massingham, P., Massingham, R. and Pomering, A., 2018. Designing a knowledge
management system for social services not-for-profit organisations. International
Journal of Knowledge Management (IJKM), 14(3), pp.69-81.
Cordery, C. and Deguchi, M., 2018. Charity registration and reporting: a cross-
jurisdictional and theoretical analysis of regulatory impact. Public Management
Review, 20(9), pp.1332-1352.
Williamson, A., Luke, B. and Furneaux, C., 2018. Why be accountable? Exploring
voluntary accountability of Australian private ancillary funds. Australian Journal of
Public Administration, 77(3), pp.375-391.
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