Technology Advances Pose New Compliance Challenges for Businesses
Digital technology and artificial intelligence (AI) developments are reshaping corporate compliance and governance landscapes in Indonesia. Amid global regulatory complexity, companies are now required not only to comply with rules but also to build adaptive and sustainable governance systems.
This issue was a key focus at the Indonesia Regulatory Compliance Awards 2026, held as both an appreciation forum and strategic discussion platform for corporate compliance culture in Indonesia.
In its third year, the event saw attendance from company executives, legal and compliance practitioners, regulators, academics, and industry players across various sectors.
Chief Executive Officer of Hukumonline, Arkka Dhiratara, said legal and compliance functions are no longer merely administrative tasks but have become strategic components in safeguarding business sustainability.
“Legal and compliance are no longer behind the scenes. Their role isn’t just ensuring regulatory compliance, but also helping companies move faster, adapt more easily, and act with greater confidence amidst change,” said Arkka.
He added that global challenges such as geopolitical uncertainty, supply chain fragmentation, economic slowdown, accelerated digital and AI transformation, and rising demands for ESG transparency, data protection, and corporate governance have made regulatory challenges increasingly complex.
Amidst this, corporate awareness of the importance of compliance culture continues to grow, evident from over 130 companies from various sectors participating in IRCA 2026.
“The high participation indicates that compliance culture in Indonesia is increasingly becoming a vital part of corporate strategy,” Arkka noted.
Alongside the awards, IRCA 2026 featured a Regulatory Compliance Summit and Breakout Sessions discussing issues such as regulatory developments, corporate governance, ESG, data protection, risk management, and cross-jurisdictional compliance challenges.
Natalia Soebagjo, IRCA 2026 jury representative, said Indonesian companies’ compliance practices show positive development as more firms view compliance as integral to business sustainability.
“As jurors, we don’t just look at documents or procedures, but how compliance culture is truly embedded in daily practice,” she said.
Amrie Hakim, Chief Media and Engagement Officer at Hukumonline, said IRCA 2026 participant numbers rose 23% year-on-year, with 131 companies from 23 industrial sectors participating this year.
According to Amrie, the increase reflects not just higher participation but also improved compliance implementation quality.
“More Indonesian companies are demonstrating strong commitment to strengthening corporate governance, raising compliance standards, and building sustainable integrity cultures,” he said.
This year, Hukumonline refined its assessment methodology using the PROSPER classification framework, which considers industry regulation levels, business risks, operational complexity, and company scale.
The method ensures more objective evaluations tailored to each sector’s characteristics.
Amrie stressed IRCA is not just an awards platform but a shared learning space to foster more adaptive and strategic compliance practices in Indonesia.
“Ultimately, building a compliance culture is not the work of one party alone, but a shared responsibility across Indonesia’s entire business and governance ecosystem,” he concluded.