Strategy for a shifting planet: businesses need to prepare for today's regulatory environment.

• Author: Munn, Rico
• Position: GUEST column

TODAY'S BUSINESSES FACE A UNIQUE regulatory environment. Corporate scandals, new technologies, increased globalization and worldwide economic concerns have led to both new and shifting regulatory regimes. Companies that take the time to understand and prepare for these changes will position themselves for success in this new environment.

Major regulatory reform efforts are under way for both the state and federal governments. At the federal level, significant change will be spurred by President Obama's Executive Order 13563, "Improving Regulation and Regulatory Review." The Administration sees the order "as a kind of constitution for the 21st century regulatory state."' The order made fundamental changes to how federal regulations are reported and reviewed.

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Federal agencies had until May 18 to propose a preliminary plan to conform to the order and until Aug. 8 to finalize their plans. Moreover, other new federal initiatives such as the Consumer Financial Protection Bureau (opening for business on July 21; are likely to lead to new rules and regulations for a host of industries.

In Colorado, Gov. Hickenlooper signed a pair of executive orders on his first day in office directing changes in Colorado's regulatory scheme. The scope and impact of those changes likely will be debated in the 2012 legislative session. Moreover, in the 2013 session, the General Assembly will undertake a comprehensive review of some of the state's most regulated industries including banks, credit unions and architects.

Regulatory trends and structures are an undeniable part of the business landscape. A failure to consider and plan for regulatory issues on an ongoing basis is a failure to optimize your business opportunities. Every business needs to have a regulatory strategy that is a part of its overall business planning.

A regulatory strategy should include certain key components: monitoring, compliance, advocacy and forecasting.

Monitoring: Smart companies keep track of trends that may impact their bottom line. Regulatory changes should be one of the trends to track. One simple way to do that at the state level is to sign up for alerts from the Department of Regulatory Agencies' Office of Policy, Research and Regulatory Reform ("OPR"). OPR sends subscribers regular e-mail notices apprising readers of the consideration of any regulation and whether the subject agency has concluded a cost-benefit analysis of the proposed rule.

When you sign up...