Any legal, social, environmental, and financial guidelines that an organization is obliged to formulate in their business process are carefully articulated to benefit the company, its investors, and the end consumer. Compliance and governance software provides the company’s Board and the Compliance team a birds-eye-view of ongoing business processes and helps them make compliant decisions to enhance those processes while upholding your image and credibility. However, the benefits of such software aren’t limited to its data collection and compliance monitoring functionalities.
Once you integrate a compliance monitoring system like Axar’s InsiderLens into your routine workflow, apart from the basic benefit of ensuring compliance with SEBI’s PIT Regulations, here are some of the additional benefits that you, as a board member, will experience in the future:
Preventing Unforeseen Lawsuits & Penalties:
In some cases, the law-suits and penalties a company has faced may have been caused as a side-effect of a loophole which the board failed to detect and nullify in time.
A compliance monitoring software is devised to eliminate such loopholes in specific processes of an organization by providing a collective perspective of individual processes and allowing prediction of missteps and unreliable outcomes beforehand.
This prevents Directors and the company from facing any incidental fines and penalties and helps you make informed decisions pertaining to every small process involved in your business.
An Auxiliary Level of Security:
Since the actions taken upon the data stored in the centralized digital database of the software are limited to the Designated Personnel (DP’s) or the ‘Insiders’, the software adds upon the security and privacy of the decisions that are made by helping the CO in informing all key executives of the actions taken by the individual insider, especially when they could amount to mistaken violations that could lead to penalties or loss of reputation for the individual or the company itself.
It ensures that the UPSI (unpublished price sensitive information) never reaches unauthorized personnel as the entries with whom UPSI is shared are entered on real time basis and this prevents unwanted mishaps before they could ever happen. By using InsiderLens, you ensure the implementation of the required Structured Digital Database (SDD) within the control of the company, thereby enhancing data confidentiality.
A Boost to Compliance Culture & Brand Reputation:
Companies that have not complied with SEBI regulations are tracked and publicly advised-against by SEBI. (A list of 91 such companies released by SEBI in 2015). On the other hand, companies that comply with their regulations have gained great trust and reputation amongst investors and are always viewed in a positive light.
InsiderLens will help you portray your business as socially and environmentally-conscious, and one that prioritizes the investor’s welfare and rights. To ensure full and proper working of InsiderLens, you will train a large number of executives (DPs) in the organisation on Trading related good processes and practices. Also, by helping DPs enter their personal data themselves, the system helps them get habituated to appropriate and timely disclosure of information. This will increase their appreciation of the reasoning behind these regulations and other related ones, so as to enhance the compliance culture of the entire company.
If your company is looking for a software company that can help you develop an efficient compliance management software in India to streamline your business per SEBI regulations, then Axar Digital is the universal solution. With our state-of-the-art secretarial compliance management software – ‘LegiLens’ – we have also developed the most adept corporate governance software in Indiatoday,called ‘BoardEye’. The two combined together form Board Information System (BiS) – to help you achieve total control over all your board processes in real-time without defaulting any SEBI regulations in the future. In this quarter we are also releasing our Board and Directors’ Evaluation software, as an add on to BiS. Ask for a demo of our software solutions to experience their futuristic functionalities today!
InsiderLens being an integrated software helps the Companies in not only tracking the movement of UPSI but also in making timely disclosures to the stock exchange and SEBI. This software, by comparing the Benpos statement and declared shareholding, keeps track of shareholding movements of the promoters and designated persons. It further helps in tracking disclosures which are triggered under Regulation 7, for example, continual disclosure of a trades exceeding value Rs 10 lakh in a quarter.
An additional revolution is by way of storage of disclosures received electronically, which helps in eliminating the need for physical disclosures at the corporate level.