Sector Specific Standards

Overview

Every sector has specific requirements that need to be adhered to, to either protect the consumers, or provide an enabling environment for the enterprises to compete fairly. Enterprises in formalizing growth stage, dynamic and venture enterprises are anticipated to have the capacity to subscribe to sector specific standards and certifications. The main factors influencing the adoption of ‘good’ OHS and employment practices are influence from large customers (which act as an economic incentive, as it could influence whether or not they get a contract or financing), industry certification schemes (sector specific standards e.g., fair trade certification for those in exporting agricultural produce), their peers and their own prior experience.

Opportunities

Business growth opportunities - An SGB that has put in place the relevant standards and processes in their specific sectors will easily put finances to venture into business expansion and adoption of new technologies, process automation or opening new branches whenever needed
Increased business opportunities and wider customer base - The SGB is able to demonstrate its ability to meet customer demands and expectations through provision of high quality products hence they can also engage business with more than one customer and hence ensuring business continuity and broad financial capacity.
Recognition and awards by relevant institutions - An SGB can benefit through as a listing among the compliant organizations and hence increase their popularity in the region e.g recognition by regulatory and statutory institutions whereby they are issued with compliance certificates e.g by taxation bodies and certification by independent institutions like the quality certification institutions after successful audit

Risks

Business closure and financial losses - An SGB failing to comply with sector specific standards may face closure of operations and incur huge financial losses in payment of penalties imposed by the regulatory bodies
Loss of customers/market - Customers are likely to withdraw relationships due to fear of uncertainties especially when a red flag is raised about the SGB or when the SGB is unable to meet the customer expectations thereby leading to unresolved customer complaints.
Poor reputation – Failure to comply with the sector specific standards could lead to poor reputation and increased customer complaints thus making any potential or existing customers, partners, suppliers and employees fear to engage in any business relationship.

GOVERNANCE RISK COMPLIANCE PLATFORM(GRCSS)

Manage Risks, Business Continuity & Sustainability Planning across the enterprise

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