Read, Rinse, Repeat
Read, Rinse, Repeat BENEFIT OF COUNSEL
Paying attention to contracts ensures satisfaction for all parties By Christine Seppala
tively. Conducting audits at a local level sets a bad precedent because responses will lack uniformity and may not include appropriate departmental stakeholders that are tasked with managing contractual obligations. It also runs the risk of disclosing information that the customer may have requested but doesn’t have a contractual right to review, or may be exposed to legal risks in receiving and reviewing. If your company has several locations, it may be wise to invest in a compliance officer who will travel from place to place to perform compliance training. Topics covered are usually
Y
specific to a customer’s contract and ou’ve won some business
onboarding, rate card or markup compli-
can include privacy, safety and codes of
with a new customer. It’s an
ance to something more complicated
conduct.
exciting prospect, and as
like policies and procedures or security
you sign the contract, you
control.
Smaller staffing companies without a compliance department can always
might be thinking of your legal obliga-
Failure to meet contractual obliga-
tions as only an afterthought, if at all.
tions can have consequences. Depending
the contract and then perhaps start with
on the nature of the audit and the
an audit of onboarding practices for that
contract away and get to work. But
failure, they can range from a repri-
customer and how it is executed, for
do you really know the terms of your
mand and a request for a response as
instance.
contract? Are you and your delivery team
to how the error will be addressed and
aware of all the promises you’ve made in
fixed, to something more severe, such
customers and becoming thought part-
signing that contract? Do you have the
as delisting, suspension, termination of
ners with them allows one to get a good
right policies and procedures in place
contract or even a lawsuit. If the contract
picture of one’s customer base and their
to satisfy it? Many really don’t know the
is large enough, you might not only lose
respective industries, along with any
terms of their contracts.
the customer; in some cases, you might
trends or policy changes they may be
also lose your business.
facing. You can anticipate ways in which
Your plan may be to simply file the
If there’s one department many
start small. But start somewhere. Read
Building relationships with
staffing firms lack, it’s compliance. To
Strategic Staffing Solutions has a
safeguard against possible negligence,
centralized compliance department that
students of our customers’ industries
consider hiring a compliance officer,
performs dozens of internal audits annu-
allows us to make necessary changes to
or, better still, installing a compliance
ally, based on the greatest concerns of
our process.
department to vet all contracts and serve
our customers and our leadership. We do
as an internal audit function. Attention
this as a best practice, but more impor-
that we read through their contract, ask
to compliance demonstrates a willing-
tantly, we conduct them because ulti-
questions, and make suggestions. It puts
ness to be a responsible partner.
mately it’s easier to respond to external
their mind at ease and we know this is a
audits with the required documenta-
selling feature for us.
Many professionals take a lax approach to contract review and
tion and with a better process in place to
compliance because they feel the risk
start.
of audit is moderately low. However,
Companies that don’t do well with
you can best assist them. We find being
Our customers are often surprised
The investment in resources isn’t inconsequential, but a strong compliance program sets your business up as a
in the staffing industry, compliance
the audit process, on the other hand,
best-practice leader. The investment is
audits are commonplace, ranging from
haven’t centralized their process effec-
worth it. z September 2016 Staffing Industry Review / 11
Paying attention to contracts ensures satisfaction for all parties By Christine Seppala
tively. Conducting audits at a local level sets a bad precedent because responses will lack uniformity and may not include appropriate departmental stakeholders that are tasked with managing contractual obligations. It also runs the risk of disclosing information that the customer may have requested but doesn’t have a contractual right to review, or may be exposed to legal risks in receiving and reviewing. If your company has several locations, it may be wise to invest in a compliance officer who will travel from place to place to perform compliance training. Topics covered are usually
Y
specific to a customer’s contract and ou’ve won some business
onboarding, rate card or markup compli-
can include privacy, safety and codes of
with a new customer. It’s an
ance to something more complicated
conduct.
exciting prospect, and as
like policies and procedures or security
you sign the contract, you
control.
Smaller staffing companies without a compliance department can always
might be thinking of your legal obliga-
Failure to meet contractual obliga-
tions as only an afterthought, if at all.
tions can have consequences. Depending
the contract and then perhaps start with
on the nature of the audit and the
an audit of onboarding practices for that
contract away and get to work. But
failure, they can range from a repri-
customer and how it is executed, for
do you really know the terms of your
mand and a request for a response as
instance.
contract? Are you and your delivery team
to how the error will be addressed and
aware of all the promises you’ve made in
fixed, to something more severe, such
customers and becoming thought part-
signing that contract? Do you have the
as delisting, suspension, termination of
ners with them allows one to get a good
right policies and procedures in place
contract or even a lawsuit. If the contract
picture of one’s customer base and their
to satisfy it? Many really don’t know the
is large enough, you might not only lose
respective industries, along with any
terms of their contracts.
the customer; in some cases, you might
trends or policy changes they may be
also lose your business.
facing. You can anticipate ways in which
Your plan may be to simply file the
If there’s one department many
start small. But start somewhere. Read
Building relationships with
staffing firms lack, it’s compliance. To
Strategic Staffing Solutions has a
safeguard against possible negligence,
centralized compliance department that
students of our customers’ industries
consider hiring a compliance officer,
performs dozens of internal audits annu-
allows us to make necessary changes to
or, better still, installing a compliance
ally, based on the greatest concerns of
our process.
department to vet all contracts and serve
our customers and our leadership. We do
as an internal audit function. Attention
this as a best practice, but more impor-
that we read through their contract, ask
to compliance demonstrates a willing-
tantly, we conduct them because ulti-
questions, and make suggestions. It puts
ness to be a responsible partner.
mately it’s easier to respond to external
their mind at ease and we know this is a
audits with the required documenta-
selling feature for us.
Many professionals take a lax approach to contract review and
tion and with a better process in place to
compliance because they feel the risk
start.
of audit is moderately low. However,
Companies that don’t do well with
you can best assist them. We find being
Our customers are often surprised
The investment in resources isn’t inconsequential, but a strong compliance program sets your business up as a
in the staffing industry, compliance
the audit process, on the other hand,
best-practice leader. The investment is
audits are commonplace, ranging from
haven’t centralized their process effec-
worth it. z September 2016 Staffing Industry Review / 11
