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Elmatica Welcomes Compliance Manager to the Team
July 23, 2021 | ElmaticaEstimated reading time: 4 minutes
Elmatica announced the hire of Anders Evensen as Compliance Manager, as a direct result of new compliance demands from USDoD as CMMC* and a global focus on export control laws and cybersecurity.
"There is simultaneously an increasing demand for documentation regarding how one secures the supply chain for all industries, and in particular the defense, space, and telecommunication industry", says CEO Bech.
“Evensen employment is another example of ELMATICA’s strategy and ongoing commitment to the development of our compliance program, software and methodology across all our industries. Evensen's expertise will further strengthen ELMATICA’s ability to maintain and develop a world-class compliance program with a particular focus on ethics, culture, and transparency which is critical to our customers' supply chains, particularly in the defense sector, but also other industries “, says CEO Didrik Bech.
Securing the supply chain
The Compliance Manager will report directly to the Officer Group and Board of Directors and further improve and implement an effective and vigilant compliance program. While also advising senior management on core compliance aspects, risk, and governance matter. According to Bech, Elmatica will continue to drive a culture of integrity, with a focus on securing the customers' supply chains and upholding the highest ethical standards.
“When procuring components, printed circuits, or materials to the defense industry, there is no such thing as assuming or relying on interpretations of rules and regulations. No option for believing or judging whether you or your supplier follow regulations. It is the sole responsibility of every actor in every supply chain to ensure that they are compliant and they must conduct a compliance risk assessment to determine what regulations they are subject to. Compliance management in the defense industry is the defining factor between financial success and costly mistakes'', says CEO Didrik Bech.
Turning changes into possibilities
Evensen is looking forward to meeting the team and contributing with his experience to further develop Elmatica's Compliance program.
“Elmatica targets markets, like the defense industry, facing invigorating changes in their respective compliance regulations. I am looking forward to joining the team and contributing in turning changes into possibilities, and to continue the great effort already started in the company, by adapting to challenges in an efficient way, providing transparency and advice on crucial regulations”, says Evensen.
A new post COVID normality and regulatory demands
As the industry moves into a new post COVID normality, it is expected to see a further increase in regulatory demands and a focus on having compliant partners in all steps of your supply chain.
"A valid example is how the five levels of CMMC will affect the entire global supply chain for defense. Evensen knowledge and interest towards the field of compliance, as well as financial services and experience as a bar attorney, will be important as we navigate defense, space, automotive policies, and other regulations”, says Bech.
Annual increase in the defense industry
The number of cyber-attacks are steadily increasing with more and more severe consequences, and defense regulations are now at the forefront for pushing the requirement for cyber hygiene. This has led to an increased focus in the defense industry to learn more about Cyber Security and Export Control.
“However, there is still room for improvement in regards to flow down of requirements from primes to subcontractors in the supply chain, according to Bech.
Elmatica can document over the last years an annual increase of 20-30% in the defense industry. This increase is predominantly due to four aspects
(I) Development of new advanced products and capabilities all requiring PCBs
(II) Increased demand for new and existing products
(III) New compliance regulations and Cyber Security requirements (CMMC)
(IV) Most importantly a general understanding that each actor in the supply chain has an irrevocable responsibility to know their country's export compliance regulations and licenses.
Elmatica has over several decades specialized in securing the supply chain for the defense, space, and telecommunication industry. Frequently holding customer, supplier, and industry seminars sharing knowledge regarding export compliance.
“We recognize a strong increase in demand for these seminars and our knowledge regarding how to secure your supply chain. As these megatrends merge combined with new export compliance demands and cybersecurity requirements we secure our internal knowledge by being the first, or one of the first PCB brokers or suppliers in the world, having a full-time dedicated Compliance Manager handling export compliance”, says Bech.
We need to work together
As a substantial and experienced partner to the defense industry, Elmatica recognizes that there is a lack of knowledge or understanding of the fact that each company is responsible for their export compliance, irrespectively of what their customer informs or believes.
“We need to work together to improve our methodology to ensure that we are aware of all demands and requirements before anybody shares any Controlled Unclassified Data (CUI) in a supply chain. If your partner, customer, or supplier can not present an export compliance program, you should take extra precautions. In a world where digitalization is a must and threat to your data, one needs to address the consequence regulatory compliance has on your business and products,” says Bech.
*(Cybersecurity Maturity Model Certification)
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