How a Scandal Sparked a Risk Management Transformation

Article

A major trading scandal forced a global bank to rethink its approach to risk. What began as a compliance mandate evolved into a powerful risk management tool that transformed business strategy. This is the story of how RCSA went from a checkbox exercise to a key driver of resilience and growth.

Feb 18, 2025

Craig Spielmann, Risk Intelligence Leader, CNM LLP

Tags: Resilience Operational and Non Financial Risk

How a Scandal Sparked a Risk Management Transformation

The views and opinions expressed in this content are those of the thought leader as an individual and are not attributed to CeFPro or any other organization

A major trading scandal exposed critical weaknesses in internal controls, prompting a complete overhaul of risk management practices.
The initial compliance-driven approach to RCSA evolved into a strategic framework that enhanced decision-making and business resilience.
Innovative tools and methodologies, such as exposure-based assessments and automated risk evaluations, transformed how risks were identified and managed.
Aligning risk management with business objectives helped drive engagement, improve profitability, and strengthen overall control effectiveness.