Governance, risk and compliance (GRC) professionals are increasingly being lured overseas into high profile roles, leaving Australia-based organisations facing a candidate shortage.

With major corporate reform underway in Asia, rapidly expanding financial systems and markets in the Middle East, Australian professionals are in hot demand. International admiration of Australia’s regulatory environment is also driving the trend. David Lawrence, president at the Australasian Compliance Institute said the issue is a double-edged sword for Australia.

“Whilst the ongoing demand for qualified Australian compliance professionals from overseas is of concern for Australia as we lose valuable resources and skills, the offshore demand is recognition of the high calibre and value-adding capabilities of senior Australian compliance professionals,” said Lawrence, who is also general manager, participants, at the Australian Securities Exchange’s supervision unit. “The demand reinforces the adaptability of the Australian approach to compliance across industry and geographic boundaries. ACI is seeking to assist reduction of the domestic skilled personnel supply shortage through our accreditation programs.”

Internal auditors are also in hot demand as Japan embarks on major governance reform and Korea looks towards implementing its version of the US Sarbanes-Oxley Act. Meanwhile, the resources boom in Western Australia is also seeing senior risk professionals lured west with large salaries.

Several high-profile GRC professionals have moved to senior positions overseas in recent years, including Annette Donselaar, former head of compliance at National Australia Bank and Westpac. Donselaar shifted to Asia and now heads a team of 200 compliance staff spread across 14 countries in Asia as chief compliance officer at American International Assurance, a part of AIG.

Heather Loewenthal, who held senior positions in risk management and compliance at Westpac and St.George Bank and was chief risk officer at ING in Australia, is now group head of compliance at ING in the Netherlands.

Former Australian Securities and Investments Commission chairman David Knott, meanwhile, is now CEO at the Dubai Financial Services Authority.

ACI CEO Martin Tolar said the demand for Australian professionals reflected that compliance is emerging as a key pillar of sustainability and business strategy. “Overseas regions such as Asia and the Middle East are beginning to identify that compliance is a crucial element in the long term success and sustainability of business. There is recognition of the importance of compliance and those individuals who maintain the knowledge and expertise in this discipline. This provides ongoing opportunities for existing and new professionals working within compliance both domestically and internationally.”