Regulatory compliance as driver for data quality management
“...Basel II and Sarbanes-Oxley are driving substantial investments in IT…”
A study of 1,700+ banks from 63 countries, conducted by AIM Software, the Vienna University of Economics and sponsored by Reuters. Detail
Data quality and management is a key issue for IT risk management in financial industry, and the regulatory compliance is a driver to apply good data solution management. Recently the AIM Software also performs another survey in 2004 that conclude increasing awareness in global respondent to apply the ISO standard for their data management.
The areas where most banks reported plans to substantially improve data quality within the next two years were the Middle-East (79%), CEE (84%), Asia (88%) and Central & South America (92%).
The focus of banks' efforts lies in the automation of reference data and corporate actions processing, the areas from which the largest costs originate. In fact, one out of ten institutions still employ more than 50 people for reference data management. "The survey enables companies to get a comprehensive overview of the status quo in their industry. Banks can deduce where they have to catch up with their regional benchmark and how trends like ISO 20022, STP and Reconciliation are evolving,"