Assessing operational risk in a way that meets regulatory standards can be a challenge when migrating to new digital technologies, including the cloud. A robust and cost-effective assessment approach can be the solution.
Across the globe, banks and financial services firms are required to navigate numerous international standards and regional regimes―putting increased stress on their people, capabilities and financial resources. These pressures grow as institutions migrate to new technologies, including the cloud. In this two-post blog series, I’ll share Accenture’s Cloud Risk & Regulatory Compliance Framework and how it’s helping financial institutions safely and effectively navigate the move to cloud-based solutions.
Easing the pressure in dealing with regulatory requirements
Banks and financial services firms face challenges and concerns related to available cloud-based solutions and accelerating security threats and breaches. One of the most important areas of concern is evolving regulatory requirements and the need to answer regulators’ questions about an organization’s ability to assess operational risks before moving to the cloud.
In response to this concern, Accenture has developed the Accenture Cloud Risk & Regulatory Compliance Framework, a robust and cost-effective approach that:
- Focuses on eight dimensions of operational risks and 83 underlying risks
- Incorporates global and local jurisdictional restrictions such as banking secrecy, data residency, and information barriers in planning the overall journey timeline
- Provides a set of recommendations based on the assessment
A three-step process to assessing operational risk exposure
Accenture uses the following three-step process to help banks and financial services firms effectively assess their operational risk exposure:
- Conduct an operational assessment across the firm in preparation for migrating to the cloud
- Review lower level controls to identify gaps and document solutions, including mitigating and prioritizing quick wins
- Create a roadmap for the overall journey, with a focus on aligning with regulatory approval timelines and risk mitigation
Accenture’s framework and associated solution can help banks and financial services firms achieve a number of important objectives when moving to cloud-based solutions. In my next post, I’ll discuss the ways in which the Accenture Cloud Risk & Regulatory Compliance Framework helps financial institutions mitigate risks associated with cloud-based solutions.
Get detailed information about the Accenture Cloud Risk & Regulatory Compliance Framework.