• Skip to primary navigation
  • Skip to main content
Close
OEE - Home
  • English
    • Français
    • Deutsch
    • 简体中文
    • 繁體中文
+44 (0) 1865 593 911
SearchSearch
  • Home
  • Sectors
    • Banking & Financial Services
    • Education
    • Healthcare
    • High Tech Outsourcing
    • Insurance & Investment
    • Public Sector
    • Retail
    • Travel and Transport
    • Utilities
  • Services
    • Consulting Services
    • Innovation Services
    • Managed Services
    • Technology Solutions
    • Data and Analytics
    • Organisational Excellence
  • Thinking
    • Latest News
    • Insight
    • Client Stories
  • About
    • Our Values
    • Management Team
    • International Expertise
    • Consulting Excellence
  • Careers
  • Contact
  • Home
  • Our Thinking
  • Regulating for operational resilience

Regulating for operational resilience

Reading Time 2 mins

  • twitter Tweet
  • facebook Share
  • linkedin Recommend
  • Share via Email Pin

Our Associate Director for Solutions and Partnerships, Simon Bartlett opens up the first in a series of articles exploring the impact of incoming regulation for Financial Services firms. 

A lot has happened since December 2019, when three of the UK financial service regulators (PRA, FCA and Bank of England) published their consultation papers on the need for firms to be able to demonstrate operational resilience.

They defined operational resilience as: the ability of firms, financial market infrastructure and the financial sector to prevent, adapt, respond to, recover, and learn from operational disruption. With COVID-19 and the associated impacts on firms continuing to unfold, there has been a significant, albeit sobering learning opportunity.

The end of the consultation period has been extended to October 2020, with a view that firms comply with the new regulations by the end of 2021. At a high level, the regulators are asking firms to:

1. Identify their important business services (those where disruption would cause customer or consumer harm, impact the viability of the firm, or impact the soundness, stability, or resilience of the UK financial system).

2. Set tolerances for each the important business services (within which harm is avoided)

3. Map their important business services (processes, systems, key people, locations, and data)

4. Carry out regular testing of key business services based on severe but plausible scenarios (to assume that key business services have been disruptive and test the firm’s ability to remain within tolerance as well recovery and communication plans)

5. Incorporate learnings to drive continual improvements to a firm’s operational resilience

6. Embed a culture of operational resilience

With regulators paying particular attention to third-party arrangements such as outsourcing or delivery of services using cloud computing, these will also need to be addressed within the operational resilience programme.

Overall, the financial sector has held up well throughout the Covid-19 crisis after the initial scramble to effectively deliver services via remote working. However, there will be lessons learned; including the importance of operational resilience, that the regulator will want firms to have taken on board once the dust has settled.

The major considerations firms should now be making as many are going through their annual budgeting process, is to ensure that operational resilience is a prioritised and funded part of your change plan up to and into next year as resilience shifts from an adjacent, annual discussion to a mindset fully embedded in service design.

Close
Would you like to get in touch with us?
Please complete our contact form.

Author

Simon Bartlett
Partnerships Director
+44 (0)1865 593911

Stay informed. Never miss our email updates.

Our knowledge-led emails are an invaluable source of business information, inspiration and learning.

We'll store this data in accordance with our privacy policy and process for the use intended. We will not share your personal data with any third parties.

Our Thinking

Insight
UK utilities sector facing vulnerability and trust challenges in 2023 

Simon Coulbeck looks at the most significant industry challenges and opportunities within UK Utilities and predicts some key areas that will be on the sector’s agenda in 2023.

Find Out More
News
Customer Experience leaders to benefit from new behavioural science practice at Gobeyond Partners  

Richard Chataway appointed Director of new Nudge Practice bringing 15 years’ experience in delivering positive business outcomes through improved CX

Find Out More
News
Gobeyond Partners and Brain Tumour Research: Making a Difference in 2022   

2022 was a successful year of fundraising for Brain Tumour Research with an aim to raise £13,700 to help fund the fight against this type of cancer. We are delighted to announce that we exceeded this target, raising a total of £14,300. 

Find Out More

Stay informed. Never miss our email updates.

We'll store this data in accordance with our privacy policy and process for the use intended. We will not share your personal data with any third parties.

The Future of Service Forum

The Future of Service Forum brings together like-minded organisations from across the service sector. Each is committed to improving operations, creating networking opportunities and providing access to insight and content contributors.

Explore the Forum
Close
Would you like to get in touch with us?
Please complete our contact form.
  • Sitemap
  • Cookies
  • Privacy
  • Modern Slavery and Human Trafficking
  • Terms of Use
  • Accessibility
  • Customer complaint policy

+44 (0)1865 593911
info@gobeyondpartners.com

44 Great Marlborough St, Carnaby
London
W1F 7JL

  • LinkedIn
  • Twitter
  • Glassdoor
  • English
  • Français (French)
  • Deutsch (German)
  • 简体中文 (Chinese (Simplified))
  • 繁體中文 (Chinese (Traditional))