11 Oct Staying ahead of the regulatory curve with a Change Management Platform
October 11, 2016 – Alex Tsigutkin, CEO at AxiomSL
Alex Tsigutkin was delighted to return as a speaker at this year’s Sibos Open Theatre Session to discuss insights on how technology can enable financial firms to cope with change management challenges such as Brexit.
AxiomSL, an enterprise-wide data and risk management platform, provides a change management platform empowering finance, risk, operations and IT executives with unconventional technology to manage large volume of data needed to perform analysis and deliver internal and external reporting according to the Basel Committee on Banking Supervision (BCBS 239).
Coping with changes in regulations, risk and compliance as well as operations and technology is one of the biggest challenge financial firms and corporates face today. As the scope of regulatory focus continues to expand while budgets are cut and sustained growth remains a priority, adopting and implementing these new requirements are challenging. Finding the right balance to address the high frequency of regulatory compliance change while sustaining growth is far from straightforward. Risk and finance executives agree that the need to embrace unconventional technology is inevitable in order to manage the greater quantities of data to perform analysis and deliver internal & external reporting according to BCBS 239. As a result, we have seen the Fintech and, more recently, Regtech evolution.
As the quantum of structured and unstructured data grows and the requirement for transparency and traceability by regulators continues, the volume and the granularity of data demanded from regulated entities also grow. In addressing the slew of contemporary regulatory mandates—such as Basel III reporting rules, BCBS 239 Principles, MiFID II, Comprehensive Capital Analysis & Review (CCAR), Liquidity (LCR & NSFR) and stress testing requirements, IFRS 9, FRTB, CRS/FATCA and many more — financial firms need a robust “platform for change” to provide data and process lineage, data enrichment, automated workflow capabilities which delivers the analytics, reconciliation and validation required to face these mandates.
AxiomSL’s change management platform steps in and acts as an integration and application development layer, which is implemented with minimal internal disruption and without a “black box” mentality. This integrated platform delivers traceability, transparency and greater clarity about the organization’s financial position and risk exposure required by regulators and internal management.
In a wake of the vote by the United Kingdom in favor of Brexit and compounded with many of the new regulatory compliance requirements, financial firms need to be swift and decisive, while protecting existing business and re-establishing their new European headquarters. To this end, it entails managing multitude time critical projects involving data management, finance, risk management and new regulatory regimes. A data and process driven platform, such as AxiomSL, enables FIs a timely and seamless transition combined with the ability to attest the accuracy of data and analytics of the reports when navigating through new regulations and the unknown impacts from Brexit.
The root of this work is about process streamlining and change management. While the industry’s technology focus has always evolved—from early RiskTech to the Fintech startup boom and now RegTech — these core ideas about technology-led transformation strategy and its relationship to the constant state of change makes senior management realize that it is not about developing new whizzy apps as point solutions but it is about transforming businesses for future success. To this end, it is time to consider new unconventional methods to deal with constant state of change.