Compliance, risk, audit, and the business

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Today’s post is an admittedly long one because the risk of non-compliance is a serious matter. But it shouldn’t be addressed in isolation because resources don’t grow on trees, you can’t eliminate it, and evaluating whether the level of risk is acceptable is a challenge.

I explain my thoughts by sharing my own experiences.

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A recent story in several local (Northern California) media outlets caught my eye. Perhaps the best was in SiliconValley.com. With the headline of “Tesla ordered to stop polluting Bay Area air with ‘frequent and ongoing’ toxic emissions”, it said:

Tesla has polluted Bay Area air with harmful and toxic emissions from its Fremont electric car factory more than 100 times in the past five years. On Wednesday, local authorities ordered it to stop.

“Tesla’s ongoing violations at their Fremont facility pose a risk to public health and air quality in the surrounding community,” said Dr. Philip Fine, executive officer of the Bay Area Air Quality Management District, which regulates pollution from factories and other stationary sources.

The carmaker, headed by notoriously regulation-hostile CEO Elon Musk, received more than 110 violation notices since 2019 for letting dangerous compounds and toxic contaminants…

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