According to Regulation Asia, 1.06 trillion USD has been wiped out in the banking industry in the last ten years as a result of poor risk culture.
Now, most banks focus on their risk and compliance frameworks across the ‘three lines of defence’ and much of the attention goes to the first line – the business units. As firms drive greater individual ownership and accountability, there’s movement from rule-based to value-based behaviour.
In 2018, the industry spent an estimated 10 billion a year on compliance training. The report finds that employees don’t take this training seriously due to a lack of repercussions for ignoring or failing training modules.
Starling’s augmented management intelligence and proprietary algorithms generate actionable insights, displayed through intuitive and customizable dashboards, enabling business leaders to drive improved performance and desired culture – and to identify and mitigate behavior-related risks before they cascade into crises. This new breed of ‘CultureTech’ has the potential to save the industry billions per year in misconduct-related penalties.