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It’s Time for a New Model of Compliance Because a Resilient Organization is a Compliant One. And just like that, the first milestone on the Bank of England, Prudential Regulation Authority (PRA), and Financial Conduct Authority (FCA) operational resilience regulatory timeline came and went. The Old Model of Compliance.
In today’s world, organizations face unprecedented challenges that require a new approach to resilience. Organizations that embrace, invest in, and elevate resilience as a strategic priority are able to more proactively sense issues, analyze vulnerabilities, and adapt to the evolving environment. million customers.
They also emphasize the need for organizations to strengthen their business continuity (BC) and operational resilience programs as well as prioritize agility to mitigate emerging threats and ensure compliance with global regulatory mandates. The EU followed with the Digital Operational Resilience Act (DORA).
Operational resilience has been top of mind for regulators and financial services firms for the past few years. The old way of managing risk and resilience programs is no longer effective or efficient, and regulators have taken note. The DORA centers around five principles that can lead to operational resilience.
I visited many organizations throughout 2022 and observed varying maturity levels in programs on their journey to addressing regulatory and policy requirements related to Operational Resilience. In 2023, we will continue to see more non-financial services companies adopt operational resilience concepts and frameworks.
Operational resilience is not just another buzzword. It i s top of mind for business leaders and regulators around the world. Resilience enables agility when confronted by the chaos of our present world , and it protects against the disruption of critical customer – facing operations. Defining a Critical ICT.
With the twenty-four-month implementation period already underway, entities impacted by the Digital Operational Resilience Act (DORA) are beginning to implement best practices to drive compliance and operational resilience. It is important to recognize, however, that DORA is not simply a “check-the-box” compliance activity.
This concept has cascaded to new regulatory obligations such as operational resilience requirements in the UK which have provisions that require an appointment of a responsible individual in charge of the program who has ultimate accountability.
Technology and data service providers (TSPs) have become critical contributors in the successful operations of every organization. Think about it: if your technology or data warehouse were to fail, could you continue running your most critical businessservices? Investing in Risk and Resiliency is the Right Thing to Do.
Third – party risk management (TPRM) continues to be a focus area for both regulated and non-regulated entities alike in the operational resilience landscape. The Old Model of Third-party Risk Management. Are you leading your firm’s resilience and operational risk (including vendor risk management) initiative s? .
With this in mind, it’s becoming increasingly important that organizations look at climate change and natural disaster preparedness not just from an ESG (environmental, social, and governance) perspective but also from an operational resiliency one. Should you train an additional office on the payroll processes in case of an incident ?
In addition to traditional business continuity programs , companies must also be monitoring what the disruption means for their IT disaster recovery programs so that critical applications and equipment can be recovered effectively and efficiently to support the most important businessservices. regardless of disruptions ?
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