Usually business men are simply reacting to what is an important situation or when it could be a real exposure to a situation that they can manage with a limited risk, and for sure they don’t want to share this information outside theirs organization or that information publicly. The organizations that follow thier Operational Excellence Strategy and implement successful governance and quality initiatives but are reluctant to share it with others due to internal policies, confidentiality of circumstances fear, that it will expose theirs weakness and giving to the competitors some competitive advantages. What the future look like..? How will the banks continue to grow revenues and remain profitable..? So, what will it take to create and maintain advantage in this highly competitive marketplace..? A careful observation about the future will requested as a superior efficiency and operational excellence from all banks. Service and process innovation will be required by those institutions in order to anticipate and meet the customer needs. All banks will have a focus on their core strengths, those activities in which they excel and partner with best specialization in everything else: doing more with less.
Banks and Financial Institutions that do not demonstrate compliance can be subject to significant civil penalties that potentially could result in substantial monetary fees and irreparable damage to an organization’s reputation. Most compliance related requirements dictate the implementation of administrative, physical and technical precautions, but they do not necessarily recommend specific measures to take.
Evaluate Security Measures
Compliance, in general encourage people from different departments to brainstorm about hypothetical ways in which information could be compromised, and take appropriate measures to ensure that security is not breached. In order to become compliant, the companies probably had to examine and improve the security measures. One aspect of compliance involves identifying weak internal controls. A good way to improve upon those control measures is to automate them where possible. With automation, the companies can eliminate the potential for human error and loss of documentation. Automation also provides a quantifiable trail, identifying each step of the processes involved. After the companies have implemented, tested, and verified the validity of controls, determine which processes can be launched into automated workflows.
Organizational Impacts – At the heart of compliance measures is corporate responsibility. The management should provide documented policies that outline employee responsibilities while constantly monitoring mile stones in the operational excellence strategy. Measures should be implemented to ensure that requirements and ethical practices are followed. One common mistake that organizations make is documenting processes, as they should be rather than, as they currently exist. Although there is room to improve the processes, it is important to portray them accurately. This sets a baseline, and provides outside auditors with a well-defined picture. Regardless of whether the companies processes are paper-based or electronic, all companies must be able to both access and control their information. Management will ultimately be accountable for any documentation that is lost or misfiled. If auditors should request specific information, often it will have to be produced within a twenty-four hour timeframe. Information should be transparent; outside auditors should be able to trace and account for any financial interactions. The challenge is to implement far-reaching controls that can fulfill these requirements and at the same time be applied to new processes.