Risk: Governance and Oversight

Effective risk governance is characterized by strong, centralized oversight combined with an integration of risk capabilities into business line decisions. Top flight institutions are building risk capabilities that are part of the daily corporate and business line decision process. These institutions have risk organizations that gather and respond to information within risk silos, in corporate governance forums and to the board in its strategic oversight role. This information supports tactical day-to-day decisions, as well as strategic positioning decisions that weigh the implications of multi-dimensional risk profiles. In our view, risk management plays a role as overseer of how business activities are conducted, and as partner to the business lines helping them make good risk/return tradeoffs.

Novantas helps our clients design, develop, implement, and review risk governance capabilities that foster effective enterprise risk management. We recommend governance structures that are integrated into the strategic and tactical decision processes of the institution. We help our clients with their corporate risk policies, limits, governance structures, reporting and decision processes. Novantas understands and knows how to respond to regulatory issues in stressed and normal environments.

We have deep experience as bankers and consultants helping resolve regulatory issues, including in severe stressed situations. Importantly, our focus is on addressing regulatory concerns balanced with meeting obligations to customers, debt holders and shareholders. When appropriate, we can bring ex-regulators onto our teams to provide additional insight into the regulatory thought process.

We help with senior management and board education on risk issues. Novantas officers focus information and education on the decisions that are required of these groups. We translate complex risk issues into the core concepts that will affect the strategy of the institution. We want senior leaders to understand and be able to act upon the amount of risk in the institution, its appropriateness relative to the institution’s strategies and strengths, and how individual risks relate to and affect others in the institution.