Dr Nathalie Aubry-Stacey - Head of Regulatory Affairs and Compliance
The compliance landscape is evolving at a break-neck speed. Cloud-based third parties are now preparing to implement the new European “DORA” (Digital Operational Resilience Act) and are rapidly working to respond to the Bank of England, FCA, and PRA discussion paper on Operational Resilience. In this transformative space, there’s a lot to keep track of.
The FS Risk and Compliance event held in London during the middle of November 2022, was an excellent opportunity for companies and innovators to get together and discuss the emerging changes to data integrity and lineage, operational resilience, and outsourcing compliance.
Here are some of the insights we collected during our time at this industry-leading event.
Adapting to the Age of Digital Transformation
According to leading analysts like Gartner, Digital Transformation has now emerged as an organisational “priority” for 87% of senior executives. A further 27% of business managers define digital evolution as a “matter of survival”. However, as companies accelerate into their digital journeys, there are a multitude of challenges to overcome, particularly in the compliance sector.
Maintaining compliance during digital transformation requires companies to have the right systems in place for processing an ever-increasing volume of data. Not only do countless streams of information need to be effectively collected, but they need to be normalised, centralised, and secured in an environment that preserves integrity, while offering crucial insights to multiple stakeholders.
Notably, creating this unified, data-ready ecosystem isn’t as straightforward as it appears. Hybrid and remote working environments have pushed companies to rapidly invest in a multitude of new, cloud-based collaborative communication tools. Yet, legacy systems haven’t disappeared entirely. This creates a disjointed ecosystems of “data landscapes” for businesses to track.
Compliance departments need to ensure information from every channel is captured, from messages sent through the cloud, to conversations held through legacy voice systems. There’s a growing demand for synchronisation across the IT and data landscape.
Dealing with the Decentralisation of Business Data
Perhaps unsurprisingly, many highly regulated companies in the financial landscape have been quick to act, investing in cloud-based solutions to deliver better data-driven strategies. The cloud offers phenomenal advantages to these data-focused brands, allowing them to validate vast amounts of data at scale. However, it too needs to be adopted with care.
Companies need to leverage “RegTech” solutions which combine efficient technology with minimal configuration complexity to win out in the battle against data complexity. Custodia, one of the market leaders in the compliance landscape, is emerging as a valuable choice in this space. Offering a powerful combination of flexibility and scalability, Custodia’s technology gives companies in all industries access to solutions to centralise, secure, and audit data with ease.
The Custodia ecosystem also responds to another persistent problem in the digitally transforming landscape: ensuring all communication data is captured consistently across every channel. The data ecosystem is growing increasingly decentralised, and audit and compliance investigations require near real-time access to insights from every landscape. This issue will only continue to grow in complexity in a world where hybrid and remote work is becoming the new norm.
Companies can’t afford to allow their flexible working standards to compromise their organisation’s ability to follow rules, obligations, and auditable standards. Firms still need to confirm processes and policies ensuring operational resilience throughout their own ecosystem.
As data grows increasingly siloed, companies need to find ways of bridging the gaps. Custodia’s CC1 system can efficiently and automatically centralise data from legacy and cloud-based environments, into a simple, singular interface. The CC1 solution can capture corporate critical data from the communication landscape, and provide businesses with storage, analytics, and retrieval capabilities in an all-in-one ecosystem.
This service not only allows clients to preserve compliance across all channels from voice to text, but it also opens new avenues for leveraging data effectively. When all data is aligned and synchronised, capturing insights and unlocking opportunities is simpler.
Data Integrity Remains Paramount
In today’s landscape, capturing data isn’t enough. The information collected also needs to maintain a consistent level of integrity. Many of Custodia’s clients exist in highly regulated areas and need to be able to protect their data without compromise, while still leveraging the opportunities offered by AI, analytics, and machine learning.
In an environment where much of the data generated by brands is still “dark data”, extracting and establishing data lineage and integrity can be complex. For example, companies may struggle to link an individual to an activity captured. This means before companies can use data to drive critical insights, they first need to build a foundation for integrity across all data streams.
The key is to illuminate the dark data that accounts for 80% of all data generated across companies. Gartner defines dark data is ‘the information assets organisations collect, process, and store during regular basis activities, but generally fail to use for other purposes.
For instance, a CCTV camera installed in a retail store is primarily used for surveillance and monitoring of shopper activity. However, the cameras also capture images that can help extract insights like customer behaviour, shelf display and consumption patterns, and customer interests in various products, etc.
While collecting this information can be tough, it’s also worthwhile. The information can deliver valuable insights into store growth, managing, and planning.
Custodia provides companies with the tools required to unlock the opportunities within dark data and enhance their compliance process. The CC1 solution is designed to adhere to strong security standards, across the three pillars of operational security, data security and privacy and market certifications.
Custodia follows a set of procedures and policies that allow to guarantee the security of a service, limit the risks and to counter any attach that would impact the service, or the data hosted by the service. Contact Custodia today to learn about how you can improve operational efficiency, resilience, and data opportunities in the age of digital transformation.