Adopting a holistic approach to regulatory change management: The rise of the end-to-end RegTech solution

Regulatory change management has become a practice in and of itself. It is a science, not an art. Regulators expect regulated entities to have systems and controls, policies and procedures in place to mitigate associated risks. At its most basic, it involves identifying, interpreting and actioning emerging risks before they manifest themselves as material risks ߞ regulatory, reputational, strategic or otherwise. Regulators require financial institutions to have zero risk appetite for regulatory risk. Mitigating controls and procedures across all three lines of defence need to reflect that position. Manual compliance processes are being replaced by automated processes, with increased incorporation of AI, as in-house teams manage the volume of regulation. This paper focuses on comprehensive end-to-end ‘RegTech’ solutions and some of the considerations and challenges of implementation. This article is also included in The Business & Management Collection which can be accessed at https://hstalks.com/business/.