Lenders need to be flexible with their use of technology since the current environment is rapidly changing, Ian Narev, CEO of Australia-based global lender Commonwealth Bank, stated at a recent industry conference.
“People need to be able to take decisions without a five or 10 year plan,” Narev said during the event, according to The Sydney Morning Herald. “The IT team and the business team need to work hand in hand, get a minimal project out there and see how it works.”
Buy-side financial institutions in the process of developing data governance frameworks should keep this situation in mind and remain resilient, as they will likely have to continually alter their data policies and procedures.
Lenders should also consider that the situation could easily be complicated by the uncertain regulatory environment. Lawmakers and regulators have enacted various landmark reforms in the aftermath of the financial crisis, and the final framework of rules and regulations is not yet certain.
In some cases, government regulators are clarifying specific provisions of these regulations. In others, industry groups are challenging specific caveats using the legal system. In addition, some lawmakers are targeting these reforms, aiming to change them through legislation.