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Operational Resilience Handbook for financial services launched

(Sponsored article) Recent operational failures in global financial institutions have driven regulators to force organisations to adopt mature risk management approaches.

This includes a framework that connects the dots between risk and recovery to establish a path to operational resilience. The framework offers a roadmap to strengthening continuity practices and by extension, operational resiliency.

The Operational Resilience Handbook explores the key obstacles companies are faced with when implementing a mature risk management framework within an existing infrastructure, and how to overcome them, including:

The company’s risk culture is siloed. Integrating business continuity within risk management is critical – now more than ever. The increased regulatory focus on operational resilience requires closer collaboration between risk and continuity practitioners.

Continuity and recovery testing exercises are inconsistent or incomplete. The cornerstone of resiliency is testing and exercising, yet often it’s a weakness within organisations. How often are you testing your business continuity plans, or are they merely being shelved?

Third-party vendor risk management is ineffective. Firms have become reliant on third party technologies and infrastructure – and the scope of third party risk can be quite significant. How are you monitoring third party risks, and is this included in your business continuity plans?

Disparate risk management platforms provide a fractured lens of the risk environment. Spreadsheets will never give you the whole picture, nor will they give you a 360 view of the risk environment to drive operational resilience. Regulators want to see that a company’s risk and continuity management programs are advancing in maturity year or year – something disconnected spreadsheets cannot provide.

Organisations underestimate the resilience maturity curve. The past few months have shown us that major disruptions are forcing organisations to quickly develop new ways of identifying and triaging risks. Why are you waiting for a major incident to adapt

While many companies will have their work cut out for them to adopt a mature risk framework on the road to operational resilience, the investment will be worth it. Research has shown companies with mature resilience practices have higher valuations, customer satisfaction ratings and employee ratings than those that don’t.

It’s never too early to invest in strengthening risk management and business continuity programs. Don’t wait for operational resilience proposals to be legislated into policies before you act. Operational resilience is not an end state, it is a fluid on-going process that can take years to build.

Access the full article and handbook

About SAI Global

SAI Global helps organisations proactively manage risk to create trust and achieve business excellence, growth, and sustainability. Their integrated risk management solutions are a combination of leading capabilities, services and advisory offerings that operate across the entire risk lifecycle allowing businesses to focus elsewhere.

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