A large international financial institution was struggling to acquire, maintain and manage multiple classes and hierarchies of data within existing systems and processes. As a result, they faced significant difficulty assigning credit risk and calculating capital requirements and RWA. They also missed out on product sales opportunities, and encountered various deficiencies with several ongoing regulatory reporting
deliveries were missed costing the bank fines and damaging their reputation.
Client Challenges:
The client had many challenges to acquire, maintain and manage multiple classes and
could be relied upon by the various users across the bank. These included:
Data Governance was well managed and there was a lack of defined and
communicated clear Data Owners across the organization. A centralised data store had been deployed, but was not being leveraged to full potential. Many teams were not using it and this lead to duplication of data, cost and management of data.
There was a lack of clarity around data sets, grouping and lineage
Lack of consistent, cross-system hierarchies maintained across the institution led to a
lack of reliance especially on calculations involving capital calculations and regulatory
reporting. Inconsistent data quality, architecture and storage methodology were hindering
remediation efforts. Multiple instances of the same entity proved difficult to track across separate systems
and functional processes
Brickendon Solution:
The client engaged Brickendon to stand up a cross-function team to customise and develop the software. The work included:
Set in place a clear data strategy with defined Data Governance.
Rapid customisation and deployment of an industry-leading, off-the-shelf MDM software solution and integration with existing systems. Architecture refinement to mitigate issues with hierarchical
data Product families catalogued and grouped by hierarchal classification, as required for UK, US, EU and various other regulatory reporting guidelines increasing user confidence.
External reference data leveraged to verify and remediate omissions and errors and a rapid remediation process implemented.
Client Benefits
The benefits realised by the change implemented by the Brickendon team achieved all the
outcomes defined at the outset and were achieved within the timeframe and budget set
out in the project brief. These included:
Data Governance was implemented with clearly defined owners and access for users.
An improved and consistent MDM system that the bank could reply on for critical
calculations and regulatory reporting. The was central to the programme of working
needing reliability and consistency across all business lines and geographies
Improved cost-of-capital by utilising more accurate calculations and assigning capital
more appropriately. Substantially reduced costs for legacy data systems maintenance, support and licensing fees
Delivered capabilities to map an unlimited number of corporate relationship levels
including automated acquisition and divesture tracking.
Data remediation and standardisation allowed the client to identify and cross-reference
related data from multiple sources
Improved levels of customer service, greater efficiency in sales and relationship
management support, and improved data quality for KYC processes and regulatory
reporting requirements. Reporting requirements.