"To successfully deliver on the conduct risk agenda, we believe firms must start by asking themselves if they have defined a clear customer value proposition and is that embedded into the firm’s business model and strategy.
Based on our experience working with clients across the financial services industry we have identified seven key challenges of Conduct Risk Management."
This 7-part blog series will touch upon each of the seven key challenges and how they can be solved using our solution, StratexPoint.
1. Managing and Embedding Governance
Ineffective board oversight and challenge and other governance weaknesses have been identified as major contributory factors in the near total meltdown of the global financial services industry.
With such notable governance failures as a backdrop, it is not surprising that the FCA will be seeking to understand the governance arrangements of regulated firms and to gauge the effectiveness of those arrangements.
Firms need to demonstrate that the corporate governance obligations, such as those from the UK Corporate Governance code, are embedded within the firm’s governance structure, specifically the recommendations from the Walker Report around Risk Appetite.
Organisations also need to demonstrate that the appropriate committee & board structures are in place. They will have to demonstrate that an effective policy framework is in place, that the NED’s are qualified and effective in their role and that those Approved Persons are demonstrating the right leadership capabilities and behaviours.
How does StratexPoint help?
Clarifying and embedding the governance arrangement within a firm is one of the benefits that our clients report once they have implemented the StratexPoint solution. It has a range of capabilities to support firms in their efforts to drive improvements in their governance processes and culture.
StratexPoint includes the ability to create a range of governance related ‘tools’, such as a governance calendar to track board, committee and executive meetings, private meeting workspaces per meeting to hold documents, agendas, track decisions and capture actions etc. and policy libraries and policy management capabilities to ensure that all policies are available in a single location, they are controlled effectively and updated or approved by the right people.
To see more on the 7 challenges of Conduct Risk Mangement and how StratexPoint can help your firm, please download the full version below:
