MONOCLE INSIGHT

Effective Risk Data Aggregation and Risk Reporting

Stories>Effective Risk Data Aggregation and Risk Reporting

The 2007/2008 Financial Crisis revealed that many banks had inadequate practices for timely, complete, and accurate aggregation of risk exposures. These limitations impaired their ability to generate reliable information to manage risks, especially during times of economic stress. International banking regulations, as promulgated by the BCBS, have subsequently prescribed strict and specific regulatory requirements focused on risk reporting that all banking organisations are obligated to meet. Particularly in the case of BCBS 239, these requirements have been focused on the idea of proving that manual risk reporting and aggregation processes have been automated and are under constant control by the organisation.

 

As banking regulatory experts with strong technical capabilities, Monocle has over 15 years of experience in designing, implementing, automating, and optimising regulatory risk reporting processes in large financial organisations. We believe that if an organisation needs to make operational changes to meet regulatory requirements, this should not be viewed as a burden to bear, but rather as an opportunity to redesign and optimise existing processes for the benefit of the business.

 

It is a chance to transform disparate and inefficient systems by aggregating enterprise-wide data into a single, efficient, and optimised data structure, from which an organisation can derive significant business benefit. As a result of the automation of time-consuming manual processes, an organisation can save both time and money, whilst gaining access to the most accurate and up-to-date data available to make better business decisions, faster.