Informatica provides a summary of data quality problems faced by financial institutions trying to maintain compliance. Large corporations have an especially hard time integrating different areas of the business to establish clean reports that are useful. Additionally, the ever-changing nature of the data make the job of maintaining quality reports more challenging.
Compliance issues for some financial institutions include the requirements of Basel II and SEC reports that are mandatory under the Sarbanes-Oxley Act. Basel II includes the following three vital areas:
- quantification of capital requirement minimums,
- supervisory involvement to include reviews, and
- market discipline.
Basel II data quality procedures for financial institutions include using quantitative analysis to check the quality of data, performing specific strategies to provide error-free data, changing business practices to strive for constant data integrity, and implementing a framework to monitor data integrity.
Obtaining Basel II compliance should not be regarded as unnecessary work. Even though it is not required in all areas, the rewards from Basel II compliance can range from business profitability to safety for its customers.
Informatica’s score-carding approach is used to manage data quality. A few benefits of Informatica’s data management are listed below:
- manipulate changes without affecting quality of original data,
- provide consistent reports across all business sectors,
- guarantee accuracy of data for upper management use,
- compare data to trusted sources for accuracy,
- incorporate firewall to ensure data meets Basel II standards.
The software provided by Informatica can make data quality problems much more manageable. It provides a package of useful tools to measure and constantly improve the quality of data in various parts of the business. Informatica can help financial institutions obtain more knowledge of their data, clients, and risks.
Read ERM articles as soon as we post them
Keep up-to-date with current developments in ERM. Subscribe to the ERM Newsletter.