Compliance Manager Interview Questions And Answers

I called for weekly meeting and streamlined certain processes which were not available.

I posses knowledge of the laws, rules, regulations affecting the banking sector and able to intelligently ensure compliance.

This question is directly associated with the compliance officer’s “monitoring” efforts to detect potential criminal conduct as per §8B2.1(5) (A) of the USSGs. It can also test compliance by managers and supervisors with internal policies requiring that any complaints from employees concerning compliance or ethics violations be reported to the compliance officer.

This is a modified “behavioral analysis” question. The purpose of the question is to assess the ethical tone of both the individual and the organization. Generally speaking, the appropriate response should be that those who violate the company’s code of conduct or compliance policies should be fired and, if their actions broke the law, criminally prosecuted. While employees may vary in the severity of the punishments they believe appropriate, a pattern of responses that overly minimizes punishments may be indicative of an ethical tone that is not consistent with the company’s expectations or desires.

Pressure is actually a catalyst to my work. When there is an imperative deadline, I refocus my energy into my work which in fact, has helped me to produce some of my best works. (Give examples) I guess you can say I thrive under pressure.

I know this sounds like a crazy question, but oftentimes regulations don’t make a lot of sense and require businesses to do things that don’t make sense either. The candidate might be inclined to ask “Well, how big is the airplane? Is it a 747 or a single engine Cessna? And are we talking big or small paper clips?” All fair questions. Unfortunately, we don’t often get a lot of clarity from regulators, and we’re forced to make tough decisions in the absence of complete information. In fact, a great compliance officer should be very comfortable making tough decisions when there might not be one perfect answer. So maybe this question is a little silly, but it’s a solid test to see how your candidate tackles challenging questions.

The employer is attempting to assess whether you are serious about a career as a compliance officer. Compliance is a field that attracts many people wishing to switch careers and is an attractive area for lawyers. Obtaining compliance designations and certifications shows the employer how committed you are to a profession as a compliance officer.

To put it bluntly, the best scenario is when a past employer was charged with unseemly behavior, while you came out smelling like a rose. “In most businesses, employers don’t want to be associated with someone tainted by scandal,” Lewis says. “Ironically, when we’re looking to fill a compliance officer position, it’s a badge of honor if you’ve been through an investigation and are not tarnished by it.”

I have the ability to communicate information and ideas in speaking so others will understand, tell when something is wrong or is likely to go wrong. It does not involve solving the problem, only recognizing there is a problem, listen to and understand information and ideas presented through spoken words and sentences, read and understand information and ideas presented in writing, communicate information and ideas in writing so others will understand.

I believe that I have got the right skills and experience for this job. Also, I am someone who love challenging and always pushing myself get better.

I was part of a team that had been selected to design a new product that would ensure financial inclusion. Initially the product was to be meant to be offered through the main banking channels but however I highlighted the strategic risk and AML risk issues with the result that the product ended up being offered through alternative channels. This ensured that the most profitable clients for the bank would continue to be serviced thorough the main channels without causing them inconvenience associated with crowed banking halls.

This is one of my “black hat” interview questions. Nobody understands the intricacies of a person’s role better than the person who performs that role – particularly if they have performed that role day after day for some length of time. This question challenges the employee to think about compliance policies and internal controls from the perspective of someone seeking to violate or circumvent them.

I have been working with computers since 2001. I also have a degree in network support/computer repair. I have built my last 3 computers, have work with Dell as an employee. So I have around 15 years experience working with computers.

Situational questions are great for seeing how your candidate would react when faced with a tough decision. In this specific example, a good answer might be: it’s best to be honest with the driver, and tell them you need five minutes to check the regulations. A solid candidate would also show some creativity by asking if the store manager would be willing to accept the product “as is” with a promise that new labels will be delivered the next day if it turns out there is, in fact, an error (of course, make sure the incorrectly labeled products are not put on the shelf for sale!). Guessing and providing misinformation is far more painful than taking a few minutes to get it right the first time.

The way you answer this question tells the interviewer two things: the level of authority you were granted in your past positions, and your ability to interact and communicate with those compliance officers you both will oversee and report to.

This question is an attempt to assess whether you are comfortable dealing with senior level employees. As a compliance officer, you must convince corporate boards and senior executives, including the CEO, that an effective compliance program is a priority. You must ensure that all employees, regardless of rank, are educated about the risks to the organization of not complying with laws, rules and regulations.

compliance manager responsibilities are to identify compliance issues that require follow-up or investigation; discuss emerging compliance issues with management or employees; disseminate written policies and procedures related to compliance activities; provide assistance to internal or external auditors in compliance reviews; keep informed regarding pending industry changes, trends, and best practices and assess the potential impact of these changes on organizational processes; design or implement improvements in communication, monitoring, or enforcement of compliance standards;
advise internal management or business partners on the implementation or operation of compliance programs; maintain documentation of compliance activities, such as complaints received or investigation outcomes; consult with corporate attorneys as necessary to address difficult legal compliance issues; conduct periodic internal reviews or audits to ensure that compliance procedures are followed; direct the development or implementation of compliance-related policies and procedures throughout an organization; prepare management reports regarding compliance operations and progress; provide employee training on compliance related topics, policies, or procedures; serve as a confidential point of contact for employees to communicate with management, seek clarification on issues or dilemmas, or report irregularities;
monitor compliance systems to ensure their effectiveness; verify that all firm and regulatory policies and procedures have been documented, implemented, and communicated; conduct or direct the internal investigation of compliance issues; report violations of compliance or regulatory standards to duly authorized enforcement agencies as appropriate or required; assess product, compliance, or operational risks and develop risk management strategies; file appropriate compliance reports with regulatory agencies; oversee internal reporting systems such as corporate compliance hotlines and inform employees about these systems; collaborate with human resources departments to ensure the implementation of consistent disciplinary action strategies in cases of compliance standard violations; verify that software technology is in place to adequately provide oversight and monitoring in all required areas; review communications such as securities sales advertising to ensure there are no violations of standards or regulations.

Ever since I have started working in the finance sector, I have realised that I really enjoy the compliance side of it and I want to pursue a career in that field. I love how to have to investigate issues and think and analyse and suggest new procedures/ improvements to the system that we use.

This question provides information on several important aspects of a compliance program. First, it may highlight risks that the compliance officer was unaware of or didn’t fully appreciate (risk assessment). Second, it assesses how well employees are able to apply corporate policies in the context of their role (policy comprehension/retention and training effectiveness). Third, it reiterates and reinforces the employee’s understanding of risks and policies specific to them (training). Interviewees frequently struggle with this question initially and the interviewer may need to provide an obvious example of such a challenge to help the interviewee get started (i.e. gift policy, etc).

Engaging with regulators, especially during an inspection, can be extremely stressful. And people tend to gravitate towards bad habits under stress. Make sure your candidate demonstrates patience and flexibility under stress.

There are federal and state so-called “whistleblower laws.” Whistleblower laws protect an employee who reports violations of various laws by other employees from retaliation. This question is designed to test your knowledge and awareness of these statutes.

Using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions or approaches to problems, Understanding written sentences and paragraphs in work related documents, Giving full attention to what other people are saying, taking time to understand the points being made, asking questions as appropriate, and not interrupting at inappropriate times, Monitoring/Assessing performance of yourself, other individuals, or organizations to make improvements or take corrective action, Adjusting actions in relation to others' actions.

§8B2.1(5) (C) of the USSGs requires that an organization have and publicize a system whereby employees can anonymously or confidentially report or seek guidance about potential or actual criminal conduct without fear of retaliation. Responses to this question can help a compliance officer assess the effectiveness of their hotline or other reporting system publication efforts. It may also help the compliance officer assess employees’ knowledge of the organization’s policy regarding employee complaints (i.e. first report to supervisor, etc.) and any training that was conducted regarding such a policy. This question can also be used to explore employees’ perceptions about the credibility of the organization’s non-retaliation policy.

☛ Why is the position open?
☛ If someone was previously in the position, what were the circumstances of his/her departure?
☛ Prior to hiring me, would you permit me to meet privately with the chair of the board or committee responsible for compliance oversight?
☛ What keeps you up at night?
☛ For any prior government sanctioned infraction, what are the lessons learned? What changes have been made?
☛ What do you believe to be the greatest regulatory compliance risks facing the company?
☛ What do you believe to be the greatest business risks facing the company?
☛ What do you believe to be the greatest geographic risks facing the company?
☛ Describe the relationship between the company and the regulators
☛ What are the main challenges for a CCO in the coming nine months?
☛ Are there any areas where the compliance program is not meeting management or board expectations?
☛ Do you believe employees are comfortable in reporting potential ethical/compliance infractions?
☛ Have you ever had an outside evaluation of your compliance program?
☛ Is there anything you believe management can do to support the compliance program?
☛ What is the budget/staffing for the Compliance function?
☛ What are the reporting lines for the role?
☛ Can the CCO veto a Due Diligence target?
☛ At what stage is the compliance department involved in establishing a relationship with a business partner?
☛ At what stage is the compliance department involved in the M&A process?
☛ Is it customary for the CCO to sit in operations meetings pertaining to new products and market initiatives so as to advise the business on risk?
☛ What role do you see Compliance playing in management meetings?
☛ What is the formal frequency of reporting to the Board and what is the policy for Board reporting on an as needed basis?
☛ Have executives in your organization ever walked away from a business opportunity for ethical and/or compliance concerns?
☛ Do you feel ethics/compliance is an essential part of a successful business or something that’s just a reality you have to deal with these days?
☛ Do you think that ethical business practices do in fact lead to a more successful business if done the right way?
☛ How do you view the compliance officer – as part of the business or an external function?
☛ What did or didn’t you like about working with their former CCO?
☛ What sort of questions have you raised to the previous Compliance Officer? Have questions been purely technical or have they extended to broader business practices?
☛ What do you and Board leadership think about regulatory compliance risk and whether it is viewed proactive or only reactively?
☛ How do you think compliance can be a strategic partner in achieving your goals? Is it more just “keep us out of trouble?”
☛ Are there ways you believe the compliance program could be a strategic advantagefor the company in terms of its health and growth?
☛ How would you describe the values of the leadership team and what does the tone at the top look like?
☛ Who has authority to fire me?
☛ What are you offering in the way of liability protection?
☛ Am I free to engage my own counsel if necessary in a response to a government investigation?
☛ Can I go to outside counsel on issues before discussing with General Counsel?

☛ What is a whistleblower? How do you protect them?
☛ How do you create/implement an internal control system?
☛ What are the main points of an effective compliance program?
☛ Which are the most common compliance issues you have faced as a compliance manager?
☛ What’s your experience in reporting to regulatory bodies?
☛ How do you prioritize tasks?
☛ What’s your experience with conducting compliance training?