Abstract The client was after a coordinated approach to dealing with new regulation, especially in data related aspects. Avantage Reply

was engaged to assist with the development and implementation of a strategy to deal with data related regulation consistently across the

Group. This was achieved by reviewing best market practice, setting up the right data organisation, clearly articulating the benefits and goals of the data programme and engaging

all functions and divisions to realise the benefits.

Data management, Risk data

aggregation and Risk Reporting

THE CLIENT

A multinational bank with headquarters in the UK with a diverse portfolio of

consumers, commercial, investment and private banking businesses. The client is

designated as G-SIB (Global Systemically Important Bank) and is therefore

subject to a more rigorous supervision both from local and international

regulators.

THE CHALLENGE

Multitude of upcoming regulations affected all businesses in the client’s portfolio

in different measures and required more coordinated approach to data

management, these include Recovery and Resolution Planning (RRP), Capital

Requirements Directive (CRD) IV and European Market Infrastructure Directive

(EMIR). The client made a decision to setup a new Chief Data Office (CDO)

function with Group-wide mandate to define and establish a coordinated approach

to data management that was capable of dealing with existing and upcoming

regulations.

Avantage Reply was engaged to assist with setting up new CDO function, work

with clients’ external partners to define Data Management Framework (DMF) and

with internal stakeholders to implement the DMF.

APPROACH AND SOLUTION

First a foremost, Avantage Reply consultants defined the target operating model

for Chief Data Office (CDO) with the emphasis on delivery capabilities of the

change function and robust Business as Usual (BAU) organisation.

Next we drew a list of external vendors with expertise in data management and

select the right one to define the DMF. Our next step was to review existing and

upcoming regulation for data related requirements and provide impact

assessment on various businesses within client portfolio. Basel Committee for

Banking Supervision Principle for Effective Risk Data Aggregation and Risk

Reporting were published during this work and Avantage Reply had to add this

new regulation to the portfolio for impact assessment.

We then scoped major programmes of work across client’s Group and worked

with Divisions and Functions to break these down into practical portfolios of

change. We worked with the client to establish business benefits and associated

costs of the identified change programmes that fed into overall CDO business

case.

RESULTS AND BENEFITS

The client was able to setup new organisation for data management in very short

period of time helping to deal with upcoming changes in regulation, specifically

related to data. Through a methodical approach worked out with Avantage Reply,

client was able to define the data framework, capable of dealing with new

regulations, and commenced the framework implementation Group-wide in all

functions and divisions.