Research & Thoughts

Regulatory Reporting Snapshot 1

Replacement of regulatory reporting software and preparation for outsourcing

The client situation

• Software replacement. Our client wanted to replace their regulatory reporting software. We recommended BAIS from BSM - our preferred partner for regulatory reporting software (especially for outsourcing projects).
• Outsourcing reporting. In addition, our client planned to outsource their regulatory reporting tasks to Capco. As a result, considerable detailed preparation was required, to ensure future processes would be carried out accurately.

The Factory approach

• First, we created a questionnaire to verify which reporting requirements were relevant to our client, the technical environment they were working in, and their precise goals and requirements for the outsourcing of their regulatory reporting functions.
• Our client had a lot of processes in place for regulatory reporting that were still done manually. In order to outsource these processes successfully, automation (of most of the work involved) was essential.
• One of our key tasks was to understand the complete set of regulatory reports – as they applied across the whole company and its subsidiaries - in order to be in the optimum situation to initiate outsourcing.
• The physical transformation from the previous regulatory reporting software to BAIS required the conception and development - as well as the programming - of new interfaces (followed by an intense testing cycle).

Our client decided to couple its business operations with an IT infrastructure and data center provided by our partner Deutsche Börse AG. The Deutsche Börse web-based user interface, in combination with Capco´s unique internal control system, offers a powerful holistic overview of regulatory filings and underlying data, enabling the user to perform various types of analysis to ensure that regulatory filings are correct.

The Regulatory Reporting Factory solution offers both user workflow management that monitors and determines the process from start to finish and data workflow management automating loading of data, execution of calculation processes and preparation of reports, preventing hold ups and errors, but ensuring timeliness and accountability.

Key benefits

• Cutting edge capability. The new regulatory reporting software is stateof- the-art within its market and fully replaces the previous software, which was technically outmoded.
• Business intelligence. Improvements to the regulatory reporting process provide benefits from a business as well as a compliance perspective.
• Future proofing. The new approach provides assurance of regulatory reporting compliance in the future as well as today.