The RCSA process at JP Morgan began as a response to the Sumitomo copper trading scandal, focusing on improving internal controls across all processes.

The initial simple template evolved into Horizon, a system that revolutionized risk measurement with advanced algorithms and graphical presentations.

A shift from traditional red, yellow, and green boxes to exposure-based risk measurement provided management with clearer insights into potential risks.

Over time, RCSA’s approach adapted across industries, helping organizations, including banks and government entities, evaluate risk, controls, and business strategy alignment.