DEFINITION of 'Compliance Program'
The internal programs and policy decisions made by a company in order to meet the standards set by government laws and regulations. A company will often have a compliance team that examines the rules set forth by government bodies like the Securities and Exchange Commission (SEC). The compliance team then creates a compliance program that assures the company is following the rules. The compliance officer is responsible for ensuring the program is effectively implemented throughout the company.
BREAKING DOWN 'Compliance Program'
Compliance programs have grown in importance as the regulations within many industries have increased. Overlapping regulatory agencies, financial reforms and many other factors have made compliance a full-time job for all publicly-traded companies.