Financial institutions are subject to examinations, investigations and audits conducted by any number of entities; federal, state and international. Each examination requires organizations to pull from a common body of governance information, but often requires labor-intensive data mapping and aggregation activities that can take hours away from critical resources.
Mandates established in the financial crisis have only just begun to take effect, and examiners are raising the bar in terms of their expectations for organizations of all sizes. To be ‘examination ready’ when managing compliance information across various silos, spreadsheets and dispersed documents, a financial institution must have a robust risk taxonomy that connects controls and testing to applicable regulatory bodies.
Planning, preparing, and reporting on the status of compliance management is equally critical to successfully navigating examinations, and non-integrated systems are at risk of using multiple terminology, naming conventions, and data structures.