The Future of Compliance: Integrating Tech, Behavior, and Ethics 🧠🦾

Want to know how leading compliance professionals are actually using AI in their programs today? This candid conversation between compliance innovators Hemma Lomax and Christian Hunt gets straight to the practical realities of integrating AI and behavioral science into modern compliance programs. Moving beyond theoretical discussions, they share real examples of how to leverage new technologies while building more effective, human-centered compliance functions that enable rather than restrict business growth.

This episode of The Ethicsverse explored the intersection of artificial intelligence, behavioral science, and risk management in modern compliance programs. The discussion centered on how compliance professionals can leverage new technologies while maintaining human-centric approaches, the importance of reframing compliance’s role from enforcer to enabler, and strategies for building more effective, user-friendly compliance programs. The speakers emphasized the need for compliance professionals to embrace technological change while focusing on practical, behavioral based solutions that align with business objectives.

Meet The Ethics Experts:

• Hemma R. Lomax, Founder & CEO, Chief Compliance Coach, COMPAAS 360
• Christian Hunt, Founder, Human Risk Limited
• Nick Gallo, Chief Servant & Co-CEO, Ethico

Embracing AI in Compliance

• Current applications of AI in compliance include policy readability analysis, translation services, and automated Q&A systems.
• The technology should be viewed as a collaborative tool rather than a replacement for human judgment. Organizations must balance innovation with responsible implementation, focusing on clear guardrails rather than blanket restrictions.
• The reluctance to adopt AI mirrors historical resistance to technological change, but compliance professionals have an opportunity to shape its responsible implementation.

The Evolution of Compliance’s Role

• Traditional compliance approaches focused on rule enforcement are becoming obsolete. Modern compliance functions must transition from being perceived as organizational brake pads to enablers of responsible business growth.
• This shift requires developing new skill sets, including behavioral science understanding, data analysis capabilities, and creative problem-solving abilities.
• Success in this new era demands a service-oriented mindset that prioritizes business partnership over pure enforcement.

Behavioral Science as a Strategic Tool

• Understanding human behavior is crucial for effective compliance programs. Rather than relying solely on rules and policies, successful programs incorporate behavioral science principles to influence decision-making positively.
• This includes recognizing that employees will find workarounds for impractical policies and designing systems that work with, rather than against, natural human tendencies.
• The focus should be on making compliance intuitive and user-friendly rather than purely restrictive.

Measuring Program Effectiveness

• Traditional compliance metrics often focus on activities rather than outcomes.
• A more effective approach involves developing metrics that measure actual behavioral change and risk reduction. Programs should be evaluated based on their ability to drive desired outcomes rather than just tracking completion rates or policy violations.
• This requires a more sophisticated understanding of data analytics and a willingness to experiment with new measurement approaches.

Employee Experience Design

• Successful compliance programs prioritize the employee experience, recognizing that user-friendly systems are more likely to be followed.
• This involves gathering feedback, testing processes, and continuously iterating based on user input. Programs should be designed with empathy for the end-user, considering how policies and procedures impact day-to-day work activities.
• The goal is to make compliance intuitive and seamless rather than burdensome.

Testing and Validation Approaches

• Companies like Novartis and GSK have demonstrated the importance of testing behavioral science interventions through controlled trials.
• These organizations have successfully measured the impact of different messaging strategies on training completion and information retention, showing that empirical validation of behavioral approaches is both possible and valuable for improving program effectiveness.
• The key to successful testing lies in starting with small, low-risk experiments before implementing major program changes, allowing organizations to gather data and refine their approaches without significant resource investment.

Strategic Communication

• Effective compliance communication requires tailoring messages to different audiences and leveraging multiple channels. AI tools can help customize communications for different literacy levels and cultural contexts.
• The focus should be on clear, actionable guidance rather than complex legal language.
• Success depends on building trust through transparent, consistent communication that acknowledges business realities.

Risk Management Approach

• Modern risk management requires a more nuanced approach that considers both likelihood and impact.
• Programs should focus resources on areas of greatest risk while simplifying or eliminating unnecessary controls.
• This involves regular reassessment of risks and controls, willingness to challenge traditional approaches, and close collaboration with business units to understand operational realities.

Technology Integration

• While AI and other technologies offer powerful tools, they should be integrated thoughtfully into existing programs.
• Success requires clear guidelines for appropriate use, regular assessment of effectiveness, and maintaining human oversight of critical decisions.
• Organizations should focus on using technology to enhance rather than replace human judgment.

Building Trust and Credibility

• Compliance professionals must build credibility by demonstrating business acumen and willingness to find practical solutions.
• This involves acknowledging when policies don’t make sense, being transparent about requirements, and actively seeking feedback.
• Success depends on being seen as a trusted advisor rather than just an enforcement function.

Closing Summary

The future of compliance requires a fundamental shift in how programs are designed and implemented. Success depends on embracing new technologies while maintaining focus on human behavior and business needs. Organizations that can effectively combine technological innovation with behavioral insights while maintaining strong risk management practices will be best positioned for success. The key is finding the right balance between enabling business growth and ensuring appropriate controls, always with a focus on practical, user-friendly solutions that drive desired outcomes.