Banking Industry Offerings

Risk Reporting System

Banking IT Solutions

Risk reporting is a major output from any risk management process facilitated through an efficient Risk management information system. Various reports are generated in the risk management divisions for management needs as well as to satisfy regulatory requirements.Until recently, many banks have been able to maintain regulatory reporting processes without material investment by using Excel and/or other internally developed applications. Over the last few years, however, regulators have been upgrading their requirements for reporting in order to generate timely, detailed, and correct information to support their prudential responsibilities. In parallel, and coinciding with the global financial crisis, banks have focussed on reducing costs as they repair their balance sheets and profitability measures. These two conflicting directions are significantly increasing regulatory reporting risks.

Business Challenges

Credit Risk Management departments of any Bank have a number of reporting responsibilities for which it needs to depend on a well-functioning IT system. For example, a wide range of disclosure reports must be created. While the Basel regulation prescribes template reports on portfolio management, the reporting system must be flexible enough to accommodate changes to these reports and the creation of additional reports quickly and easily.


What We Offer

We have been working with many American banks in this area and delivered many reports for disclosure purposes in individual source systems for each line of business like SME, Corporates as well as for retail and wholesale credit data repositories. The Bank is using these reports for regulatory as well as management reports. We have gained expertise in using reporting tools like Cognos, Hyperion and Actuate. We have developed separate modules in the applications for delivering many dashboard reports for management along with generating alerts and early warning signals through emails. We have also delivered BASEL II -Pillar 3 reports to many Banks. We can leverage our expertise for your challenges in regulatory reporting.

Kumaran has acquired an expertise in handling different technologies for generation of various multidimensional reports on Retail and Wholesale credit customers. Using these technologies, various management and supervisory reports can be shared across all levels of the organization through a web portal. Many users can have access to the portal.

Each Bank will have a risk policy and a risk model for aggregation, quantification and new product assessment.

    Risk Reporting systems in a Bank consist of

  • Management reports– These reports will be for internal use. The audience will be senior management, Board of Directors and Employees. The top management should have a holistic view of all risks.
  • Regulatory/Statutory reporting- These reports are based on certain regulations. The audience will be Regulators, Market Analysts and Rating agencies.
  • Financial reporting/ Public disclosure– These reports are disclosure reports. E.g., Bank's Balance sheet and profit and Loss account. The audience will be Auditors, Shareholders, Insurers and Counter party banks.
  • Capital Adequacy reporting – These reports are for disclosing the regulatory capital of the Bank as per the requirements of the supervisor.
  • Dash boards--- Dashboards give an instant view of multi-dimensional parameters facilitating quick action.
  • Capital allocation– The Bank's regulatory/economic capital is allocated based on credit risk, market risk and operational risk to different business units.
  • Analytics /Reconciliation of risk numbers– The numbers shown in Finance department and risk department are matched and reconciliation done as per Pillar 3 norms.
  • The reports are generated for a Bank as a whole and also for each Business unit depending on the need.
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Benefits of Risk Reporting solutions

Risk Reporting Solutions can combine data from multiple sources into a single, cohesive and highly formatted report placing key metrics in a wider business context.

  • These Risk Reporting Solutions can work with any data source
  • It is a highly scalable application that can fit all the requirements of the Enterprise
  • Licenses are Server Based so we can add more users and reports without incremental cost
  • With ready access to key performance measures and credit risk indicators, managers throughout the organization can contribute to more effective business strategies.
  • It is user friendly. Reports are created using drag-and-drop columns, expressions, functions, charts, and bitmaps
  • Component-based report development
  • Visual cues in the design wizard enable developers to preview what the content will look like as they make changes to design options.
  • Report components are reused across designs through referencing or sub classing

Testimonials

Clients

Nesbitt Burns Inc, Toronto, Canada

Providian Financials, US

Citibank, US

Contact Us

Email:
banking@kumaran.com

Phone:
1-800-kumaran