So much risk within the enterprise these days can be traced back to human performance and behavior. Fundamentally, every regulation team and every regulator is trying to affect the behavior of individuals within the enterprise and get them to do business in a very particular way.
That’s a design challenge. That’s what designers are best at.
We can’t do that simply through policy or mandate. We have to do that by understanding what these people are likely to do or unlikely to do and allow that understanding to to influence how regulation manifests itself inside the business. If we do that we mitigate all the risk that these people won’t do what we need them to do.
Too often, the first reaction to a new regulation is mandate. But what they learn is that mandate isn’t enough to get people to come on board with a new way of doing things. What they need is human understanding.
WIth this human understanding, we can complement that mandate with an appreciation for what value will bring these people on board. We must understand how we can appeal to these people to get them to do things the way that we need them to do it.
Industry has been doing this with consumers for a century. We can get consumers to behave a certain way if we understand them deeply enough. This is about simply translating those skills and those exercises to the business enterprise to mitigate that risk.