Banken for en verden i endring The bank for a ... - BNP Paribas

Banken for en verden i endring The bank for a ... - BNP Paribas

• report of the Chairman / internal control

On another front, Compliance teams developed

– and are continuing to develop – important

software tools to assess and manage compliance

risks, particularly in the areas of combating

money-laundering and regulatory compliance.

These tools are expected to play an increasingly

significant part in the organisation and oversight

of Compliance work, as well as in Permanent

Controls methodologies.

Permanent Controls

The Bank’s Permanent Control processes are

being implemented through a network of coordinators

that was for the most part in place by

the end of 2005 in the main entities. As result,

the Group was able to count, from the beginning

of 2006, on an organisation in line with

the new regulatory requirements; it brought

together all the players involved, for a first global

seminar. To bolster synergies at an operational

level between identifying the various risks and

managing them, the Permanent Controls coordinators

often also have responsibilities related

to operational risks, or even compliance, as well

as management of procedures. These coordinators

facilitate the translation of policies at

operational level and follow up on action plans

implemented by management. Internal Control

coordination committees have also been

set up within each entity to help spread best


Thus 2006 can be described as the year of

operational implementation for the Permanent

Controls system. The Group coordination team

further documented its methodological framework,

following extensive consultations among all

stakeholders. At the same time, several software

application projects were launched to support

Permanent Controls staff in their work, particu-

larly for following up on second-level controls.

In 2006, BNP Paribas decided not to delay

setting up an operational reporting process for

Permanent Controls, but rather to use it to contribute

to ongoing improvement of the system.

Though still in the design stage, the process has

already benefited from preparatory work and

mid-year testing. It already provides a high-level

view of the structure of the Group’s system and

highlights the need for specific action plans.

Periodic Controls

The new organisation of Periodic Controls that

integrates internal audit staff had its first full

year of implementation in 2006. The General

Inspection unit also continued to extend its

capabilities, by providing additional training to

the auditors, strengthening specialised teams

and bringing in the specific resources needed

for auditing models.



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