Thomas Lagriffoul is a European legal and compliance professional with nearly two decades of Asian experience. Before transitioning into compliance, he began his career as a lawyer at a leading law firm. He currently serves as Regional Director of Compliance, APAC, at Coface, focusing on the intersection of regulatory requirements and geopolitical developments. Over the years, Thomas has closely observed the evolving dynamics between the U.S. and China, particularly the increasing impact of bilateral sanctions on business operations.
Through this article, Thomas Lagriffoul emphasizes that compliance is no longer just about following rules; it actively helps financial institutions navigate a complex, geopolitically influenced landscape. Institutions can anticipate risks and respond proactively by integrating compliance into strategic decision-making and operational processes, supported by the board and cross-functional teams.
Adapting to a Changing Global Landscape
From my vantage point here in APAC, I’ve come to believe we’ve crossed a threshold that fundamentally changes how financial institutions must operate. For the first time since the Cold War ended, I’m watching political and international affairs drive decisions that used to be purely economic. We’re simply not in the 1990s or early 2000s anymore.
I don’t think we’re heading toward complete deglobalization, but I am seeing something different emerge. The global economy appears to be reorganizing itself into regional blocks, each with its own power center. This shift means financial institutions can no longer rely on universal approaches. Instead, they’ll need to localize and segment their operations in ways we haven’t seen before.
I’m observing across markets that countries increasingly assert sovereign control over data, cloud infrastructure, sanctions and regulatory frameworks. Each jurisdiction wants its rules followed, so institutions need dedicated teams and specialized processes to navigate these growing differences.
The operational implications go deeper than structural changes. I’ve learned that the old model of periodic reviews and reactive responses no longer works. The institutions I see succeeding have shifted toward continuous monitoring, regular stress testing and processes designed for anticipation rather than reaction.
My view is that the objective now is maturity through preparation. The organizations that will thrive in this environment are those building the capability to navigate uncertainty with foresight, not those still trying to operate as if the world hasn’t fundamentally shifted beneath us.
Operationalizing Compliance for Agility and Resilience
In my experience, effectively embedding compliance without paralyzing decision-making requires treating it as a fully integrated organizational capability rather than a separate function.
Methodology and rigor matter as much as structure itself. What works best is using a structured geopolitical framework that creates repeatable processes. This transforms insights into actionable guidance instead of generating more memos and presentations that sit unread.
At the operational level, dedicated teams should handle localized issues like tensions along the Thailand-Cambodia border. These teams can review and manage smaller risks regularly without everything escalating to senior leadership. This prevents bottlenecks while ensuring nothing falls through the cracks.
Emerging compliance professionals must think beyond the traditional scope of rules and regulations. Today, geopolitical tensions directly impact regulatory frameworks, making broader awareness essential for effective practice.
The critical piece is operational integration. Compliance and geopolitical insights must flow directly into business units and this only works with active support from top management and genuine collaboration across departments. Without this integration, even the best insights remain isolated.
At the highest level, boards must directly oversee significant geopolitical risks like the US-China rivalry or the Russia-Ukraine conflict. These issues are too substantial and interconnected with business strategy to be delegated entirely.
What proves most valuable about this layered approach is how insights cascade efficiently through the organization, influencing everyday decisions and operations. When anticipating ripple effects of geopolitical events on trade and compliance, this combination of board oversight, specialized teams and cross-functional collaboration allows institutions to manage risks proactively while preserving the agility needed to operate effectively in our increasingly complex environment.
Turning Compliance into Competitive Advantage
I’ve observed that compliance intersecting with geopolitical and regulatory matters should never remain confined to the compliance department alone. These issues are too significant to be siloed away from strategic decision-making.
I’ve learned that when compliance and geopolitical awareness get integrated into strategic processes, something interesting happens. Rather than restricting commercial teams, this approach actually empowers them. They can anticipate risks and opportunities, allowing them to make business decisions with genuine confidence instead of operating in uncertainty.
What I find particularly valuable is how compliance and geopolitical awareness integration enables proactive action at the highest levels. When the board and strategic teams stay aware of these developments, they can respond to new international situations before they become problems. This transforms compliance insights into a competitive advantage rather than a regulatory burden.
The reach extends beyond internal decision-making. I’ve seen how financial institutions can share these insights with clients, providing guidance that many clients don’t have the internal capability to develop themselves. This creates real value in the relationship.
Most importantly, this approach fundamentally changes how clients perceive the institution. When you can provide proactive guidance on complex geopolitical and regulatory matters, you’re not just processing transactions anymore. You’re functioning as a strategic partner who helps clients navigate uncertainty, which builds trust that reinforces long-term relationships and strengthens business development in ways that traditional service delivery simply cannot match.
Embed Insights to Build Trust and Influence
Emerging compliance professionals must think beyond the traditional scope of rules and regulations. Today, geopolitical tensions directly impact regulatory frameworks, making broader awareness essential for effective practice.
Staying informed requires ongoing monitoring of global developments. This involves tracking headlines and understanding how these shifts might affect operations and obligations. This level of analysis goes deeper than surface-level news consumption.
Equally important is ensuring these insights reach the board and strategic leadership. When top management understands emerging risks, compliance transforms from a checklist exercise into a tool for informed, proactive decision-making.
Over the past decade, this approach has proven effective in international sanctions and anti-money laundering. The same urgency that drove success in those domains now applies to geopolitical compliance, where the stakes and complexity continue to escalate.
Continuous monitoring, structured processes and engagement at the highest organizational levels allow institutions to build genuine foresight and influence. Rather than simply responding to requirements, this approach positions compliance as a driver of trust, resilience and competitive advantage.
It becomes clear that organizations willing to invest in this elevated approach to compliance are better prepared for an environment in which geopolitical and regulatory landscapes shift with unprecedented speed and interconnection.
