Establishing a Risk Intelligent Culture in financial services
Tips for a tough job
The attempted manipulation of the London Interbank Offered Rate (LIBOR), the Madoff fraud, Payment Protection Insurance (PPI) mis-selling and numerous cases of ‘rogue’ trading have revealed poor risk management and questionable values and behaviours within the industry.
Financial services boards now accept the need for change. Indeed, many recognise that risk management processes are only as good as the people operating them, and that behaviour is strongly influenced by culture.
This article sets out:
- What the desired risk management values and beliefs
and the right risk management behaviours look like;
- Why it is so hard to put this vision into practice; and
- How to overcome some of the key obstacles.