Context
A customer group borrowing from the bank may simultaneously work with its leasing, factoring or insurance subsidiaries. When those relationships sit in separate systems, the group's true aggregate risk appears on no screen at all. More critically: a negative signal arising in one subsidiary — a delay, a collateral issue — might be noticed on the bank side weeks later. In risk management that lag costs more than the risk itself.
Approach
- Risk, collateral, repayment schedule and limit data across the bank and subsidiaries were consolidated into a single monitoring structure.
- A group-level risk view was defined to combine positions held across separate legal entities.
- A flow was built so that negative data arising in any subsidiary reached the monitoring system quickly.
- Monitoring outputs were structured as inputs to the decision process of credit origination and monitoring units.
Outcome
- Group risk became observable in a single view irrespective of legal entity boundaries.
- The time for a negative signal from a subsidiary to reach the bank shortened.
- Collateral and limit data could be assessed on the same screen as risk data.
- Early warning stopped depending on separate systems being compared after the fact.
This case study describes the project through its scope and approach. Client name, commercial figures and performance metrics are withheld under confidentiality obligations.
What This Project Left Behind
Risk does not recognise legal entity boundaries; systems do. Seeing a group's total risk requires the data to sit in one place, and that is a management decision before it is a technical one. The same gap is common on the corporate side: group companies can each look healthy while the consolidated picture says something else.
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