Harvard Business Review

JUNE 12, 2012

Despite the new regulatory regime, big banks continue to suffer from significant governance challenges. Boards have limited time to wade through the substantial complexity of the banks' businesses. This poses significant risks not just to banks but potentially to the entire economy during the next downturn.

Banking 14

Banking Metrics Revenue Government 14

Chief Executive

OCTOBER 28, 2022

The mobile app is a one-stop solution giving employees a holistic view of their benefits, such as a 401(k) plan and health savings account, in addition to their personal banking and credit card accounts and loans. Among the investments is MyVoyage, a personalized financial guidance workplace benefits digital platform.

Digital Transformation 52

Digital Transformation Insurance Benefits Risk Management 52

Harvard Business Review

JUNE 13, 2012

For enterprise risk management, key policies include a statement of risk appetite and explicit risk tolerance levels for critical risks. The company's performance measurement and incentive systems, and the degree to which risk management is considered, will also have a profound impact on employee behavior.

Manager 16

Manager Banking Risk Management Compensation 16

Harvard Business Review

MAY 24, 2012

Every large financial services company has instituted risk management, but that hasn't prevented risky behavior in the form of office politics and personality conflict — as the JP Morgan trading debacle has demonstrated. Risk management isn't exclusive to banking. Risk management isn't exclusive to banking.

Risk Management 14

Risk Management Insurance Banking Accounts 14

Harvard Business Review

MARCH 5, 2012

For this same reason, even "orthodox" businesses like banks that are not local outlets of multinationals maintain a wide array of subsidiaries that, considering their size (until recently, many such banks had a capitalization lower than $40 million), seems baffling.

Banking 20

Banking Small Business Risk Management Inclusion 20

Harvard Business Review

SEPTEMBER 14, 2018

Ever since the forced bankruptcy of the investment bank Lehman Brothers triggered the financial crisis 10 years ago, regulators, risk managers, and central bankers around the globe have focused on shoring up banks’ ability to withstand financial shocks. Peter Dazeley/Getty Images.

Banking 14

Banking Assets Risk Management Accounts 14

Harvard Business Review

OCTOBER 6, 2016

The post-scandal scrutiny of Wells Fargo’s culture has so far focused on the high-pressure sales environment that drove employees to create as many as two million fake accounts. The bank has since fired 5,300 employees for the illegal behavior and eliminated retail bank sales goals entirely.

Banking 14

Banking Sales Sales Accounts 14

Harvard Business Review

OCTOBER 3, 2013

Many other major financial institutions — Bank of America , Citigroup, HSBC, Barclay’s, Wells Fargo, UBS, etc. But, at the end of the day, it is bank leaders and employees who must take the right business, legal and ethical actions under existing law. JP Morgan is the biggest of them all with $2.3 trillion in assets ,$1.1

Banking 8

Banking Manager Risk Management Compliance 8

Harvard Business Review

MAY 31, 2012

In the wake of its significant trading losses (now reportedly rising from $2 to $3 billion or more), JP Morgan can win back some of its lost reputation by transparently holding those responsible to account. Drew quickly retired after the losses, and Iksil and Macris are, according to news reports, leaving the bank.

Risk Management 10

Risk Management Banking Compensation Accounts 10

Walk Me

OCTOBER 11, 2022

HRIS software stores all employee data, including general personal data, role and salary history, insurance plans and benefits administration data, banking details, and performance management information. ERP software manages all non-human resources, such as supply chain management, procurement, accounting, and risk management.

Software 52

Software Manager Workflows Onboarding 52

Harvard Business Review

MARCH 5, 2012

It is interwoven throughout all your most important business processes, whether it's account opening in financial services or reporting patient test results in healthcare. You can make customers provide more rigorous authentication before they make a transaction, or have managers limit distribution of sensitive plans.

Risk Management 15

Risk Management Banking Onboarding Media 15

Harvard Business Review

OCTOBER 1, 2013

That comes after a nearly $1 billion deal just a few days ago to end civil investigations into several matters including the bank’s multi-billion-dollar “ London Whale ” trading loss. Then there are the two former bank employees that authorities have been trying to arrest ( one successfully ) for their roles in the London Whale events.

Compensation 13

Compensation Banking Risk Management Accounts 13

Harvard Business Review

FEBRUARY 3, 2014

Dimon’s raise obviously has special resonance because JP Morgan’s legal woes were one of the top business stories last year as it agreed to $20 billion in payments to settle a variety of cases involving the bank’s conduct since 2005 when Dimon became JPM CEO. The bank earned about $18 billion, down from $21 billion the year before.

Accounts 8

Accounts Banking Compensation Compliance 8

Harvard Business Review

NOVEMBER 23, 2016

These threats change the risk management calculus of firms hoping to succeed in a more turbulent world. they account for 50% of employment and 45% of GDP. Owning up to our own behavioral biases is a worthwhile starting point to discussing the problem of managing infrequent, severe events. Make risk a strategic priority.

Insurance 13

Insurance Risk Management Small Business Cash Flow 13

Harvard Business Review

MAY 1, 2012

After I was quoted late last year in an article on the 10th anniversary of the Enron debacle , Fastow contacted me and offered to speak to the Financial Statement Accounting class I teach at Tufts University's Fletcher School of Law and Diplomacy. First, the rules provide managers with discretion to be misleading. They are enablers.

Balance Sheet 17

Balance Sheet Assets Banking Accounts 17

Harvard Business Review

JUNE 8, 2012

Subprime mortgage losses turned out to be much smaller than expected —$300 billion, according to the Federal Crisis Inquiry Commission—and non-bank lenders suffered most of those losses (notwithstanding mark-to-market losses from credit downgrades). Banks are the vehicle through which the economy puts short-term savings to work.

Real Estate 15

Real Estate Banking Government Assets 15

Harvard Business Review

MARCH 26, 2015

But in the aftermath of the financial crisis, risk managers have become increasingly involved in business strategy and decisions. those without bank accounts), by adopting the more dynamic “customer life cycle” view. The risk function can do the same. Marketing Risk management Collaboration'

Risk Management 14

Risk Management Cash Flow Marketing Telecommunications 14

Harvard Business Review

AUGUST 23, 2012

So why did one of the planet's biggest investment banks — and its 33,300 employees — hold out so long? In March, after a promising meeting of the board, Morphis blasted out this seemingly harmless tweet from his private account, @TheOldCFO : "Board meeting. 132 characters for Goldman; one giant leap for the Twitterverse.

Compliance 17

Compliance Media Banking Accounts 17

Harvard Business Review

MAY 23, 2012

The traders at JP Morgan wanted to make money for the bank. Any undertaking that promises high returns incurs risks; what kind of world would we live in if all our business managers were risk-averse? We'll be hearing from cognitive scientists and neuroscientists, and experts in accounting and control.

Manager 13

Manager Risk Management Banking Accounts 13

Harvard Business Review

MARCH 1, 2017

Once a transaction is entered in the database and the accounts are updated, the records cannot be altered, because they’re linked to every transaction record that came before them (hence the term “chain”). Santander, a European bank, put the potential savings at $20 billion a year. Irreversibility of Records.

Banking 15

Banking Insurance Assets Government 15

Harvard Business Review

SEPTEMBER 16, 2016

In the same way that banks must constantly balance assets and liabilities, data-laden firms need to move from cyber-defense and fire-fighting toward more proactive management of what could prove to be their most important asset. This means determining not only what EvD means today, but what it will mean for the firm in the future.

Balance Sheet 13

Balance Sheet Assets Insurance Operations 13

Harvard Business Review

JANUARY 10, 2013

This escalation illustrates a significant change: highly expensive scandals across business sectors , not just in single companies, and this is reflected in the January 7th agreement by major banks to pay $8.5 Other banks are considering whether to join the agreement (e.g. billion due to derelict mortgage and foreclosure processes.

Banking 11

Banking Cash Flow Accounts Government 11

Harvard Business Review

JULY 31, 2013

This is the new frontier for reputation risk management. Companies (and their representatives) that aren''t using social networks will not be perceived as forward-thinking and, in the long term, will risk losing customers who want business partners who speak their language.

Media 14

Media Banking Risk Management Small Business 14

Harvard Business Review

JUNE 8, 2012

Subprime mortgage losses turned out to be much smaller than expected —$300 billion, according to the Federal Crisis Inquiry Commission—and non-bank lenders suffered most of those losses (notwithstanding mark-to-market losses from credit downgrades). Banks are the vehicle through which the economy puts short-term savings to work.

Real Estate 12

Real Estate Banking Government Assets 12

Harvard Business Review

MAY 20, 2013

The annual 10-K report that JPMorgan Chase filed with the SEC in February includes a 13-page section on "Risk Factors." This is of particular import at a giant bank like JPMorgan Chase, where bondholders, depositors, the Federal Deposit Insurance Corp., He won''t be around forever, though. to strip him of his Chairman title.

Banking 11

Banking Succession Planning Operations Insurance 11

Harvard Business Review

MARCH 12, 2013

Not just breaking into your website, but going after your business partners, your employees, your email account, even targeting former employees. So it's sort of like how the government may provide a police force, but banks and stores still have a security guard. All the easy information has already been dealt with.

Government 22

Government Operations Banking Small Business 22

Harvard Business Review

FEBRUARY 10, 2015

for a bank to provide data security protections to its customers’ social media accounts). Datacoup, based in New York, offers people $8 a month in return for access to a combination of their social media accounts. As with their money, the key with personal data is for businesses to manage it wisely.

Telecommunications 14

Telecommunications Government Risk Management Marketing 14

Harvard Business Review

JANUARY 9, 2015

I don’t know how far he’s going to go, but I know that we’ve seen major cyberattacks against American banks , and against the White House that have come from Russia. What are we going to do if a major American bank suddenly has all of their dirty laundry exposed and it turns out it came from the Russian government?

Banking 13

Banking Government Marketing Risk Management 13

Harvard Business Review

AUGUST 9, 2018

Many banks and large corporations employ artificial intelligence to detect and prevent fraud and money laundering. Businesses are constantly experimenting with new ways to use artificial intelligence for better risk management and faster, more responsive fraud detection — and even to predict and prevent crimes.

Benefits 8

Benefits Banking Risk Management Real Estate 8

Harvard Business Review

DECEMBER 4, 2017

This means that cybercriminals possess usernames and passwords for more than three billion online accounts. Because of a form of attack called credential stuffing , tens of billions of other accounts are also at risk. This statistic is alarming, but in fact it significantly understates the scope of the threat.

ROI 12

ROI Accounts Banking Education 12

Harvard Business Review

AUGUST 12, 2014

Restrictions on the ability of Russian banks to sell financial instruments were imposed, as were bans on selling technology that would help Russia develop its vast energy reserves. Of course with perishable food theres a risk of export disruption. Global business Politics Risk management'

Banking 9

Banking Energy Risk Management Advertising 9

Harvard Business Review

MAY 15, 2013

The next time we hear about a bank or insurance company''s "green program" — like using energy efficient light bulbs or operating out of a LEED Platinum building — we''ll either scream or throw up. The result is a "heads the bank wins, tails society loses" set of outcomes. Don''t get us wrong.

Banking 8

Banking Insurance Energy Government 8

Harvard Business Review

JUNE 14, 2013

This rush to upgrade, however, creates a challenge: large numbers of excess electronics must be managed and disposed of properly. During a recent IT asset disposal project for a large New York bank, a chain-of-custody audit revealed three computers were untracked. Why Your CEO Is a Security Risk. On average 97.2%

Assets 9

Assets Risk Management Banking Transportation 9

Harvard Business Review

OCTOBER 11, 2013

banks can use in their business. According to a 1992 study by the Government Accountability Office, the average leverage ratio for the top 13 investment banks was 27-to-1 during 1991 (up from 18-to-1 in 1990). drop in asset prices would wipe out the equity of the bank. Ethics Finance Risk management'

Assets 9

Assets Banking Compensation Risk Management 9

Harvard Business Review

JANUARY 24, 2013

And unfortunately, they suggest that, in our huge, complex financial institutions, major failures of organizational discipline and major losses are likely to recur, despite greater attention to risk management. million in 2012 — because of his "Whale-related" failures, and that JPM had posted a record 2012 net income of $21.3

Risk Management 8

Risk Management Banking Compensation Government 8

Harvard Business Review

JULY 24, 2013

At Boeing, all enterprise technology (including digital) investments are managed by the CTO, which enables significant synergies. For Commonwealth Bank of Australia, convergence involved bringing together operations and IT into a new unit, Enterprise Services (ES), headed by the CIO.

Assets 12

Assets Compliance Operations Banking 12

Harvard Business Review

NOVEMBER 5, 2012

At the center of the corporate wreckage of the past fifteen years — the accounting scandals, the outright fraud, the environmental disasters, the financial meltdown — sits the boards of directors. Yes, there needs to be other forms of accountability; yes, there needs to be additional checks and balances.

Government 9

Government Accounts Risk Management Assets 9