CoreBIS Drives APRA’s Economic and Financial Statistics Reform
Cortell Australia’s drive into the regulatory reporting space continues its growth as APRA releases formal consultation on the proposed changes to the Domestic book reporting requirements. Officially renamed the Economic and Financial Statistics collection (EFS), the reforms are the first of their kind since they were introduced in the early 2000’s, and reflect the changing need for the RBA and the ABS (the agencies) to collect relevant information for managing the economy.
Whilst the forms have been restructured to accommodate consistency in reported data, the requirements will impose an increased reporting burden on large institutions. Increased granularity and frequency in reporting will aid business cases for these organisations to really drive the paradigm shift for automating their reporting requirements. The agencies have in fact called out the point they expect businesses to require system changes in order to meet the standards.
Data quality is a recurring theme throughout the APRA consultation document. Resubmissions due to error, have historically been a considerable issue due to their impact on policy decisions. The need for a robust data model supported by validation controls has been reinforced by the regulator with the agencies release of a new standard on Data Quality (ARS702). A materiality threshold has been introduced, with an error being measured “as the deviation of the reported measure from the measure (in absolute value, basis points or percentage terms, as relevant)”. Quantitative measures have thus been given, placing reporting entities on strict watch to ensure future errors are eradicated.
However, organisations need not look at the proposed changes with that of dread, instead seize the opportunity to bring their reporting process into the 21st century. The granular richness of the data collated for APRA reporting lends itself to many symbiotic reporting opportunities, ranging from ASIC Financial Account reporting, APS330 market disclosure reporting, through to the monthly preparation of the management accounts for internal review.
Cortell with unique experience in delivering reporting to Financial service companies can support organisations with attaining these goals. Whilst formal consultation does not cease until April 2017, Cortell is wasting no time in testing the new forms within CoreBIS, including capabilities for managing the parallel run requirements that organisations will be faced with.
James Corner, Product manager of CoreBIS quotes:
“We want our customers to be fully prepared in advance of the test period that commences 3 months out from the first go live date, including a comprehensive test and training platform. APRA expects quality from the outset, and we expect to deliver to these quality expectations.”
Cortell; has recently completed another successful deployment of CoreBIS and the TM1 Business Analytics Solution, into the Superannuation industry and remains focused on both the Superannuation and the ADI/RFC industries, as these wholesale changes are imposed on the ADI market constituents.
CoreBIS is an industry recognised regulatory reporting product solution. It provides reporting entities governance and control over their reporting. This is achieved through many product features, including providing business users drill through analytical capabilities, adjustment capabilities, commentary capture, data mapping controls, workflow management, management dashboards and reporting, and submission capabilities to the regulators, providing a seamless and efficient solution to the problems organisations face.