Regulatory expectations continue to evolve and financial institutions need to be proactive in mitigating risk.
Brentwood, TN (PRWEB) August 17, 2015
Since the Bank Service Company Act of 1961 became law, financial institutions have contended with the challenges presented by evolving regulatory oversight and compliance in their vendor management relationships. The digital age has only compounded the issue as the need for technology outsourcing and growing use of cloud-based software as a service (SaaS) continues to become standard across all industries.
Audits of financial institutions now include extensive reviews of vendor contracts and, as outlined in the FDIC-FIL-44-2008*, “An institution’s board of directors and senior management are ultimately responsible for managing activities conducted through third-party relationships, and identifying and controlling the risk arising from such relationships, to the same extent as if the activity were handled within the institution.”
Leading expert in vendor and contract management Michael Berman, CEO of Ncontracts, views the industry trends this way, “Regulatory expectations will continue to evolve and banking professionals need to be proactive in preparing for the residual risks that could impact their institutions.”
To assist financial institutions in the process of identifying solutions, Michael is covering topics including vendor management, pricing negotiations and enterprise risk management (ERM) at financial conferences across the U.S. during the month of September. In his appearance at the Minnesota CFO Conference on September 10th, Michael is discussing “Vendor Management: From Price Negotiation to Managing Compliance.” “Regulatory Oversight of Third Party Vendors” is the focus of his presentation at the South Carolina Bankers Association ERM Workshop on September 17th. To wrap up his mid-month speaking engagements, Michael is scheduled to cover “More than Compliance – How to Save Money through Vendor Management” at the Community Bankers of Michigan Annual Conference on September 18th.
*Similar to Federal Reserve, OCC Guidance, and NCUA Guidance
Ncontracts® is a leading provider of vendor and contract management services in the United States. The company offers full compliance implementation services using a proprietary contract management application that provides clients with insightful summaries of their contracts generated from dual paralegal reviews, email alert notifications and robust compliance services. Together these features enable clients to remain current regulatory standards, reduce expenses, increase ROI, and improve internal efficiencies. For more information, visit ncontracts.com or contact Cathy Isaacs at cathy(dot)Isaacs(at)ncontracts.com.