We knew moving into 2010 we would see substantial changes in the regulation of the U.S. financial services industry. Given the lack of consumer confidence and public trust, the new regulatory reform could create requirements that are much more onerous for financial institutions to satisfy.
The recent financial crisis and our industry responses have produced a surprising misconception – that risk is the opposite of reward. It is not: loss is the opposite of reward. Risk represents the possibility that a loss or reward will occur.
So you’re the owner of a risk management program within your organization. You’re comfortable with the information you’re gathering, and have a good picture of your risk portfolio and control structure. However, the business units aren’t fully invested in the process and executive management is questioning the bottom-line value of ERM and GRC. A strategy to consider that will address both issues is linking performance management to risk management, using indicators.
Tom Crawford explains to FST how IT and business users can collaborate and utilize business technology solutions to take advantage of the green shoots of recovery.
Al Zollar, General Manager IBM Tivoli Software, discusses building security into the fabric of the IT infrastructure.