Payroll & Accounting, Safety & Compliance, Subcontractor —

Managing Compliance: Essential Tips for Contractors

PeritusJuly 09, 2024 • 6 min read

The first step in managing compliance is understanding the regulations that apply to your projects. These may include:

  • Local Building Codes: Each municipality has its building codes that must be followed.
  • OSHA Standards (OSHA): Sets federal safety standards to protect workers.
  • Environmental Regulations include waste disposal, air quality, and water protection laws.
  • Labor Laws govern wages, working hours, and conditions for employees.

Staying informed about updates and changes in these regulations is crucial. Consider subscribing to industry newsletters, attending seminars, or joining professional associations to keep abreast of the latest developments.

Implement a Compliance Management System

A Compliance Management System (CMS) is a structured framework that helps contractors manage and monitor compliance activities. See below how Rhumbix can help support this framework. A robust CMS includes the following components:

  • Policies and Procedures need to align with relevant regulations. Ensure these are documented and accessible to all employees.
  • Training Programs: Regular training sessions ensure that employees know compliance requirements and how to adhere to them.
  • Monitoring and Auditing: Regularly monitor and audit compliance activities to promptly identify and rectify any issues.
  • Reporting and Document Tracking: Maintain detailed records of compliance activities, inspections, and audits to demonstrate adherence to regulations.

Leverage Technology

Technology can significantly streamline compliance management. Here are some tools that can help:

  • Field-Tracking Software offers features for tracking compliance-related tasks, deadlines, and documentation.
  • Mobile Apps: Apps like Rhumbix enable real-time data collection and reporting from the field, ensuring accurate and up-to-date compliance information.
  • Document Management systems help organize and store compliance documents, making them easier to retrieve during audits or inspections.

Foster a Compliance Culture

Creating a culture where compliance is a cornerstone within your organization is essential. This involves:

  • Leadership Commitment: Company leaders should demonstrate a commitment to compliance through their actions and decisions.
  • Consistent Employee Engagement to encourage employees to take ownership by involving them in policy development and decision-making processes.
  • Open Communication: Establish channels for front-line staff and supervisors to report concerns or violations without fear of retaliation.

Conduct Regular Training

Regular training sessions are vital for keeping employees informed about compliance requirements. Training should cover:

  • Regulatory Updates: Keep employees informed about any changes in relevant regulations.
  • Safety Protocols: Ensure workers understand and follow safety protocols to prevent accidents and injuries.
  • Emergency Procedures: Train employees on how to respond to incidents and be prepared for emergencies.

Consider different training methods, including in-person workshops, online courses, and hands-on demonstrations, to accommodate different learning styles.

Perform Regular Inspections and Audits

Regular inspections and audits are crucial for identifying and addressing compliance issues. These should include:

  • Site Inspections: Conduct routine inspections of job sites.
  • Equipment Inspections: Regularly check that equipment is in good working order and meets safety requirements.
  • Compliance Audits: Perform periodic audits of compliance activities to verify adherence to policies and procedures.

Documenting these inspections and audits provides evidence of that your compliance efforts are working or need improvement.

Maintain Accurate Records

Accurate record-keeping is a fundamental aspect of compliance management. Ensure that you:

  • Document All Compliance Activities: Keep detailed records of training sessions, inspections, audits, and corrective actions.
  • Store Records Securely: Store compliance records securely in a document management system, ensuring they are easily accessible when needed.
  • Regularly Update Records: Keep records up-to-date to reflect the current status of compliance activities.

Establish a Corrective Action Plan

Even with the best efforts, compliance issues can arise. Having a corrective action plan in place ensures that compliance issues are addressed. A robust plan includes:

  • Identification: Quickly identify compliance violations through inspections, audits, or employee reports.
  • Investigation: Investigate the root cause of the violation to prevent recurrence.
  • Correction: Implement corrective actions to address the breach and bring operations back into compliance.
  • Follow-Up: Monitor activity and processes and make adjustments as needed.

Seek Professional Assistance

Consider seeking assistance from compliance professionals, such as consultants or legal advisors, who can provide expert guidance and support.

Implementing a Compliance Management System with Rhumbix

A Compliance Management System (CMS) is essential for contractors to ensure regulation adherence and operational efficiency. By integrating a solution like Rhumbix, contractors can enhance their CMS with robust data collection, health and safety management, and custom forms tailored to job site needs. Here’s how Rhumbix can augment a CMS framework:

Comprehensive Data Collection

Rhumbix simplifies the data collection process on the job site, ensuring that compliance-related information is accurately recorded and easily accessible. Key features include:

  • Real-Time Data Entry: Workers can input data directly from the field using mobile devices, ensuring that information is up-to-date and reflects current conditions.
  • Centralized Data Storage: All collected data is stored in a centralized system, making retrieving and reviewing records during audits or inspections easy.
  • Automated Reporting: Rhumbix can generate automated reports based on the collected data, providing a clear overview of compliance status and highlighting areas that need attention.

Health and Safety Management

Health and safety on the job site is job #1 for compliance. Rhumbix offers several tools to manage and monitor safety protocols effectively:

  • Safety Checklists: Customizable checklists ensure all safety procedures are followed and documented. Workers can complete these checklists on mobile devices, providing real-time compliance verification.
  • Incident Reporting: Any safety incidents can be reported immediately through the Rhumbix app, with detailed descriptions and photographic evidence that enable swift investigation and corrective action.
  • Safety Training Tracking: Rhumbix helps track employee training sessions, ensuring that all workers are up-to-date on required safety protocols and certifications.

Custom Forms for Job Site Needs

Every job site has unique compliance requirements, and Rhumbix allows for the creation of custom forms tailored to specific project needs:

  • Form Builder: The intuitive form builder enables contractors to create custom forms for various compliance activities, such as equipment inspections, environmental assessments, and labor law adherence.
  • Mobile Accessibility: Custom forms can be filled out on-site using mobile devices, ensuring all necessary information is captured in real time.
  • Data Integration: The data from these custom forms is seamlessly integrated into the Rhumbix system, providing a comprehensive view of compliance activities across the job site.

Streamlined Communication and Documentation

Effective communication and documentation are vital for compliance management. Rhumbix enhances these aspects by:

  • Real-Time Updates: Workers receive real-time updates on compliance requirements and changes, ensuring everyone is informed and aligned.
  • Document Storage: Rhumbix provides a secure platform for storing all compliance-related documents, making it easy to access and review them when needed.
  • Audit Trail: The system maintains a detailed audit trail of all compliance activities, including data entries, form submissions, and incident reports, providing transparent documentation for regulatory authorities.

Integration with Existing Systems

Rhumbix can seamlessly integrate with other project management and accounting software, such as QuickBooks, to provide a holistic view of project compliance and financial health:

  • Data Syncing: Compliance data collected through Rhumbix can be synced with project management software, ensuring all project stakeholders have access to the same information.
  • Financial Integration: Rhumbix helps ensure compliance-related costs are accurately tracked and managed by integrating with accounting systems like QuickBooks.


Effective compliance management is essential for contractors to ensure operational efficiency, worker safety, and project success. By understanding relevant regulations, implementing a robust compliance management system, leveraging technology, fostering a compliance culture, conducting regular training, performing inspections and audits, maintaining accurate records, establishing a corrective action plan, and seeking professional assistance, contractors can navigate the complexities of compliance and build a strong foundation for their business.