“Medicine rarely tastes good. The introduction of Sarbanes Oxley was, for many, accompanied by significant distaste for the idea. In the longer term, it does appear that those institutions exposed to the rigours of more exacting compliance regimes have made more progress with developing integrated governance and controls frameworks.
Financial institutions in the western hemisphere are ahead of their eastern colleagues. Our analysis shows only a quarter of financial firms operating worldwide have a reasonably integrated compliance and controls framework – all of these firms are from the west. These results suggest there is much to do in the Asia Pacific region both in continuing to create regulatory regimes and continuing to raise the quality of internal governance and control systems. “
A published research study by Deloitte, quoted above, highlights the importance of integrating compliance, governance, security controls, and risk management into a enterprise control environment. The economies of scale translate to approximately 2.5% difference in expenses incurred, and at current $78 billion in expense that is a material impact on any companies bottom line. In addition, “Banks, insurers and investment banks have all seen the costs for governance and control rise by around a third between
2003 and 2006.”
Check out the article here, and consider how integrated is your control environment? Have you eliminated the silos that manifest themselves over time? Are you leveraging the full value of your technology infrastructure, your licenses, your power consumption?