Executives identified growing regulatory pressure from governments across the world as their top risk (Source: KPMG Survey).
In the US, there are significant new compliance requirements (Dodd-Frank for financial services, Affordable Care Act for health care industry, etc.). Businesses must fundamentally change their operating model, as they build systems, processes and controls to comply with the new requirements. Then, they have to figure out if their former revenue models will work within the new framework.
As a company assesses countries in which to expand, they must consider the implications of higher taxes, expensive tariffs, and strict compliance laws/regulations. These may change or limit the operating model, and could actually prevent the revenue model from working there.
How does your organization evolve your operating model to make the revenue model work?
