Regulation: why synchronicity is key
5 November 2015
When looking at the burgeoning regulatory overload facing banks and the need for a culture change in terms of its implementation, it could be argued that this is nothing new as banks are well used to regulatory change. In part that is true, but today’s environment differs because of the sheer volume of significant new regulation that’s being introduced.
Whereas previously a regulation-by-regulation approach was sufficient, this is no longer feasible because of the added complications of tight deadlines, uncertainty of interpretation and inconsistency between regulators. Today, a more agile, proactive and coordinated approach to planning and execution is vital.
In an earlier market commentary, Regulation: finding common ground, we talked about the need for organisations to revise their implementation plans by taking a more horizontal approach to regulation. Before launching headlong into an execution, banks should now address some crucial preliminary questions to link
the regulations to the business of the bank.