As penalties continue to rise for record-keeping failures, a new report from Theta Lake found that almost 98% of financials services leaders it surveyed were dissatisfied with their current archives and voice recording tools.
RegTech leader Theta Lake has released its 2023/24 Digital Communications Governance, Compliance and Security Report, which got the thoughts of over 600 financial services leaders. Now in its fifth year, this one-of-a-kind industry document delivers unmatched insights into the application of modern unified communication tools.
Moreover, it delves into the hurdles faced by companies in a unified communication and collaboration (UCC) powered work setting. It sheds light on current best practices to tackle compliance and security issues.
The significance of digital communications governance stands magnified in today’s time. With the explosion in the use of UCC tools and a shifting regulatory environment, penalties have accumulated to a staggering $2.6bn for record-keeping failures. Gartner’s freshly introduced market segment, Digital Communications Governance (DCG), emphasises the urgency to renew strategies for UCC tool compliance and security, which are now staples in the daily operations of financial service firms.
However, the friction between existing compliance requirements and the limitations of present-day archiving and recording systems is palpable. A whopping 98% of survey respondents expressed their displeasure with current archive and voice recording utilities.
Some pivotal findings from the report indicate:
- The persistent threat of hefty penalties for financial corporations due to overlooked or incorrectly documented communications. This underlines the urgency of digital communications governance at the boardroom level.
- Many firms are turning off essential UCC functions because their older tools fail to adequately capture or make them searchable for risk detection and reporting. This leads to unforeseen problems, like the ongoing use of unchecked channels because staff prefer efficient communication mediums.
- It’s hardly a revelation that communication compliance is now a top-tier agenda item. The crossroads of evolving digital work trends, notably the shift to cloud-based UCC and the adoption of cloud voice enabled for mobile messaging, have met with an unprecedented surge in record-keeping penalties. Remarkably, a vast majority, 77% of firms, are re-evaluating their stance on communication compliance, and another 17% have plans in the pipeline.
Read the full report here.
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