Business Performance Matches Regulatory Compliance in Driving Enterprise Risk Management.Chartis Research and SAS (1) (SAS Institute Inc., Cary, NC, www.sas.com) A software company that specializes in data warehousing and decision support software based on the SAS System. Founded in 1976, SAS is one of the world's largest privately held software companies. See SAS System. Study Shows Data Integration is Still Top Challenge in Risk Management Programs STOCKHOLM, Sweden -- Financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. firms rank performance management and regulatory compliance as equal drivers of enterprise risk management (ERM (Enterprise Relationship Management) An umbrella term with many shades of meaning over the years. It may refer to the management of information from any or all of an organization's customers, suppliers, business partners and employees. ) systems according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. a global survey of 410 financial services executives. Also, most financial institutions anticipate significant business rewards from ERM systems: improved performance management and reduced capital allocation The apportionment or designation of an item for a specific purpose or to a particular place. In the law of trusts, the allocation of cash dividends earned by a stock that makes up the principal of a trust for a beneficiary usually means that the dividends will be treated as and credit loss. The results of the study conducted by Chartis Research and SAS, the leader in business intelligence, were unveiled today at SAS Forum 2007 in Stockholm. Although many firms expect ERM to generate significant benefits, only 26 percent of the financial institutions participating in the survey said they had a well-formulated and well-communicated ERM strategy, with a clear timetable for implementation. Even more telling: 25 percent of respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. had no current strategy or plans regarding ERM. According to the executives surveyed, data quality and data management continue to be the biggest obstacles to successful implementation of an ERM system. Traditional silo-based approaches to managing risks are not providing the value that can be realized with integrated and consolidated risk management systems and processes, which result in reduced costs and improved performance. Survey respondents supported linking different risk systems into a single technology environment, providing an enterprisewide, holistic Holistic A practice of medicine that focuses on the whole patient, and addresses the social, emotional, and spiritual needs of a patient as well as their physical treatment. Mentioned in: Aromatherapy, Stress Reduction, Traditional Chinese Medicine and integrated view of all risks. The survey also found that credit risk management is still the top risk management spending priority for most firms, with exposure to credit losses gaining in importance. In addition, 60 percent of respondents said ERM programs would enable them to reduce their economic capital allocation over the next 24 months, with an average estimated reduction of 8 percent. The key contributor to this reduction was improved credit risk management. Furthermore, market risk and financial crime have emerged as key priorities. The resurrected focus on market risk is driven by a desire to replace legacy systems that lack scalability and speed. In addition, counter-fraud initiatives have seen an increased investment in areas such as lending, credit/debit card, internal, and insurance fraud. Also, the insurance industry has shown a renewed interest in ERM that is related to the general convergence of insurance and banking sectors and the cross-fertilization of risk management methodologies. "This survey confirms that financial services companies are aiming to have a more integrated and systematic approach to ERM," said David Rogers, SAS' Global Product Marketing Manager for Risk. "Institutions are realizing that a flexible technology architecture based on a single risk intelligence platform with superior data integration techniques is critical for a successful, long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. ERM program." For a summary of the survey results, please visit this page. Please visit SAS([R]) Risk Intelligence for more information. Today's announcement came at SAS Forum 2007 - An Executive Conference that brings together C-level executives and a group of the world's most respected thought leaders. About Chartis Research Chartis Research is the leading provider of research and analysis on the global market for risk technology. Our goal is to support enterprises as they drive business performance through better risk management, corporate governance Corporate Governance The relationship between all the stakeholders in a company. This includes the shareholders, directors, and management of a company, as defined by the corporate charter, bylaws, formal policy, and rule of law. and compliance. We help clients make informed technology and business decisions by providing in-depth analysis and actionable Giving sufficient legal grounds for a lawsuit; giving rise to a Cause of Action. An act, event, or occurrence is said to be actionable when there are legal grounds for basing a lawsuit on it. advice on virtually all aspects of risk technology. www.chartis-research.com About SAS SAS is the leader in business intelligence and analytical software Analytical software is software that is designed specifically for and development of a particular environment or object. and services. Customers at 43,000 sites use SAS software to improve performance through insight from data, resulting in faster, more accurate business decisions; more profitable relationships with customers and suppliers; compliance with governmental regulations; research breakthroughs; and better products and processes. Only SAS offers leading data integration, storage, analytics and business intelligence applications within a comprehensive enterprise intelligence platform. Since 1976, SAS has been giving customers around the world THE POWER TO KNOW([R]). www.sas.com SAS and all other SAS Institute SAS Institute Inc., headquartered in Cary, North Carolina, USA, has been a major producer of software since it was founded in 1976 by Anthony Barr, James Goodnight, John Sall and Jane Helwig. Inc. product or service names are registered trademarks or trademarks of SAS Institute Inc. in the USA and other countries. [R] indicates USA registration. Other brand and product names are trademarks of their respective companies. Copyright (c) 2007 SAS Institute Inc. All rights reserved. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion