What is the purpose of the compliance reporting requirements?

What will be an ideal response?

Compliance usually has extensive reporting requirements. As a result, the issue with compliance is not so much ensuring that controls are in place. Rather the aim is to ensure that management is always aware of how the legal and regulatory obligations of the organization are met. The challenge is to develop objective evidence that all necessary requirements have been satisfied and then preserve and report that evidence to the appropriate legal and regulatory entities. Those entities vary, and each of them might have overlapping and sometimes conflicting compliance requirements. As a result, it is normally considered correct practice to establish a single unified compliance process to coordinate the diverse number of compliance obligations that the organization will face.