In late March, several Spinnaker team members participated in ABA Risk 2021, both as panelists and attendees. This premier risk conference from the American Bankers Association combines enterprise risk management, insurance risk management and risk quantification, while delivering expert takes on current and emerging threats along with best practices.
We asked Elizabeth Snyder, senior director in our Risk Management and Regulatory Compliance practice; Rick Jaros, practice lead for Customer Channels and Operations Management; and Jack Gooding, director in our Business Analytics and Data Management practice, to share a few of their observations and learnings.
What were your key takeaways from the conference?
We understand you all participated in panel discussions. Can you share the main takeaway for those who might have missed your session?
Jack: Most financial institutions could benefit from automating their manual control testing. In doing so, they would achieve better standardization, allow for the entire population to be tested and see results almost instantaneously. Partner with your bank’s data experts, who can help you construct an automated control testing approach by ensuring appropriate data quality practices are in place, building the testing process and developing reporting for various stakeholder groups.
Elizabeth: Even as we move closer to a post-pandemic environment, many banks are still operating under the policies and procedures put in place when they sent knowledge and contact center employees home to work more than a year ago. The world is different today, and banks need to ensure the structures they have in place reduce risks they probably never considered on such a global scale. They need to review and update their policies to protect their customers, their employees and their organization. But they should also adopt a common-sense approach that balances the need to remain competitive and profitable with the evolving perceptions and needs of those different audiences.
Rick: We discussed how complex moving from an in-person call center environment to a distributed environment was. The level of detail and continued effort to manage this was and continues to be immense. Additionally, going forward the complexity is most likely here to stay. If anything, it will only become more complex as financial institutions look to manage a hybrid (in home and in office) solution.
All sessions remain available on demand for conference registrants until May 31.
Jack: “Look Before You Leap: Considerations in Control Automation”
Elizabeth: “Reviewing Your Risk Policies and Procedures in New Environment”
Rick: “Fortifying Your Risk Management Activities in Digital Channels/Call Centers,” one of three sessions moderated by Spinnaker’s Cara Williams, practice lead for Risk Management and Regulatory Compliance.
What’s the most surprising thing you learned?
Jack: I sat in on the session by Catherine Mann, Citibank’s global chief economist, titled “State of the Industry,” where she spoke about how inflation anxiety is a bigger threat to our economy than inflation itself. I found that interesting, as an example of perception being more impactful than reality.
Elizabeth: Though it wasn’t surprising, the conference confirmed that climate change and Environmental, Social and Governance (ESG) Risk are quickly evolving and will soon impact all institutions, regardless of size. Given its growing importance, risk professionals need to ensure climate change and ESG risks are fully integrated across your entire risk management framework.
With the financial industry bracing for intensified regulatory oversight, an unflappable risk management program is the bare minimum for any bank. As industry veterans, our Spinnaker team has been on those front lines, and we share that expertise directly with clients, as well as through top industry conferences like ABA Risk 2021. We’re here to help provide the latest industry insights on risk management and the technology to enhance your bank’s practices.
The Big Picture The coronavirus pandemic has taken a still-almost-unimaginable hit on our nation’s economy. Millions of people have lost their jobs, and millions more are facing financial insecurity with paychecks that cover fewer hours. With concerns rising over an imminent recession, is your bank prepared to offer consumers the right help and resources to prevent charge offs with its Home Equity Line of Credit (HELOC) business?
HELOC 1 minute read
Credit Reporting Agencies are the backbone of our nation’s lending practices, as the information they deliver about a consumer’s financial profile often determines the terms of any loan and whether an application is approved. In normal times, as a best practice, banks and other financial institutions regularly furnish customer data to those agencies, also known as credit bureaus – but they maintain autonomy on what they furnish and to which agency.
Risk Management & Regulatory Compliance 4 minute read
Following a period of rapid growth, a large US commercial bank realized it needed to rethink the way it organized its business units, as a means to create greater visibility into risk and opportunities. The organization’s Enterprise Risk Management (ERM) team tapped Spinnaker to help justify that transition and begin to envision what transformation might actually look like.
Customer Channels & Operations Management, Risk Management & Regulatory Compliance 1 minute read
Like how we think? Subscribe to have our articles delivered direct to your inbox each month.
Headquarters: 8000 Franklin Farms Drive, Suite 100, Richmond, VA 23229
©2023 Spinnaker Consulting Group. All rights reserved.