1. Introduction

Consider this analogy to designing controls. Company policies are like laws. Control is like law enforcement. Regulations typically ask you to have policies in line with the regulations. Then you have to prove that the controls in place make sure the policies are followed.

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2. Example

What happens with laws and law enforcement? Let's take the example of speed limits. The law (rule of the road) sets a limit, say, 55 mph on highways in urban areas in the United States. What controls are in place?

• Citizens' sense of responsibility.

  The lawmakers count on drivers being largely reasonable.

• Spot checks.

  Police selects locations and time at which to control.

These two controls are the most common and obviously not guarantees. What could one do to obtain greater probability of the law being observed?

• Technology.

  Outfit cars with speed limiters. Note that you might need a second level of control to avoid that drivers circumvent the mechanisms.

• Design.

  Lay out the roads so that it is outright dangerous to exceed the speed limit.

• Incentives.

  Enroll the population as a whole as deputy police by offering a cut of the speeding tickets to the informers.