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Global companies have global headaches.
From analyzing performance across geographic boundaries to managing finances in emerging markets, it takes way more than a village.
But one thing is clear for law departments: the biggest challenge is ensuring compliance. Here's why:
In globe trotting and compliance, it's hard to know where to go if you don't know where you are. Tax compliance, anti-laundering laws, payroll, and accounting are "big operational headaches for global companies."
"The unique needs of specific locations can be too overwhelming to manage centrally," says Workday writer Christy Sasser.
Financial compliance forces some companies to trust local managers to engage accounting firms to meet requirements. Others create finance departments in each country, only to multiply the complexity of compliance.
With increasing cybercrime and data privacy regulation, legal problems come at the speed of technology. Sasser, writing for Forbes, says the challenges get bigger all the time.
The new General Data Protection Regulation, recently passed by the European Union, is an example. It prohibits companies from using personal data that's collected for one purpose to be used for any other purpose without permission from the customer.
If a U.S. company has a customer in the E.U., the GDPR applies.