As the regulatory landscape continues to evolve, particularly in the U.S. with recent shifts surrounding diversity, equity, and inclusion (DEI) policies, companies find themselves at a crossroads. While some may view these changes as restrictive, at LRN, we see a distinct opportunity for organizations to enhance their ethics and compliance (E&C) programs through the power of data analytics and global benchmarking.
Beyond DEI: Strengthening Core Compliance Areas
For organizations whose E&C training encompasses a wide array of areas, including code of conduct, anti-money laundering (AML), anti-bribery, cyber risk, and anti-harassment, these regulatory shifts signal an opportunity to recalibrate. While DEI remains a component of holistic compliance training, the majority of our focus has always been on core compliance areas. With DEI policies under increased scrutiny in the U.S., companies may now look at reallocating attention and resources to other critical compliance aspects, ensuring robust protection against legal and ethical breaches.
The Power of Data Analytics in Compliance
According to findings from our 2025 Ethics & Compliance Program Effectiveness Report, high-impact programs are 1.9 times more likely to leverage advanced tools like data analytics, reporting mechanisms, and automation to manage compliance effectively. These tools enable organizations to anticipate risks, analyze misconduct trends, and implement targeted training interventions. For instance, 63% of high-impact programs actively use misconduct trend analysis, compared to just 33% of medium-impact programs.
This data-driven approach isn’t just about meeting regulatory requirements, it’s about building resilient, agile organizations that can navigate both U.S.-specific changes and broader international expectations, particularly in the European Union and Asia-Pacific regions.
In light of the DOJ’s updated guidelines from September, organizations were encouraged to adopt a more dynamic, data-driven approach to risk management. It emphasizes that corporate compliance programs must not be static, but instead regularly updated to reflect evolving risks, industry changes, and regulatory expectations. This underscores the critical need for frequent risk assessments and the continual review of program priorities and operational "hot spots".
As we discuss in the report, high-impact programs are distinguished not only by their use of data analytics but also by their proactive approach to identifying emerging risks. By continuously monitoring and reassessing compliance vulnerabilities, companies can shift from reactive to preventive strategies. This is particularly apropos in today’s fast-changing regulatory environment, especially where risks related to AI governance, supply chain transparency, and third-party due diligence are rapidly evolving.
For example, leveraging real-time data and analytics are essentials tool to assess whether a compliance program is effectively preventing misconduct. This includes monitoring patterns of employee behavior, identifying areas of recurring risk, and adjusting training and resources accordingly. Companies that incorporate these continuous feedback loops into their compliance programs are better positioned to mitigate legal exposure and maintain regulatory alignment, both domestically and internationally.
High-impact programs leverage ethics and compliance provider platforms for deploying key components like training. They are 1.4x more likely than medium-impact programs to adopt such platforms, enabling scalable, consistent, and efficient program implementation across their organizations. By embedding regular risk assessments into their compliance infrastructure, organizations not only meet regulatory expectations but also cultivate a culture of agility and accountability, thereby ensuring they stay ahead of potential pitfalls while fostering sustainable growth.
Global Readiness: Aligning with EU and Worldwide Regulations
While U.S. regulatory shifts may steer companies away from DEI-specific programs, international frameworks, especially in the EU, continue to emphasize broader ESG (environmental, social, governance) standards, supply chain compliance, and third-party due diligence. High-impact programs are already ahead in these areas, being 2.3 times more likely to prioritize third-party evaluations and audits. As global regulations tighten, especially around AI governance and supply chain transparency, the focus on comprehensive data collection and analysis will only grow.
Closing the Gap: Medium-Impact Programs Can Rise
The gap between high- and medium-impact programs is widening, but it’s not insurmountable. Our report highlights that high-impact programs are 1.8 times more likely to use benchmarking data to evaluate effectiveness and 1.4 times more likely to integrate advanced technology platforms into their compliance programs. By investing in these tools, medium-impact programs can improve efficiency, anticipate risks more effectively, and align with both domestic and international regulatory expectations.
A Bright Future for E&C Programs
Despite the political and regulatory fluctuations, we feel the future of ethics and compliance remains bright. Companies that embrace data analytics, prioritize global benchmarking, and adapt to shifting legal environments will not only mitigate risks but also foster ethical cultures rooted in integrity and principled performance.
At LRN, we believe that compliance is more than a box to tick, it’s a dynamic, evolving practice that, when done right, drives organizational success on a global scale.
