Testing of liquidity regulatory reporting in light of the new BO system

SUMMARY

Avantage Reply assisted the finance department of a well-known private bank in the connectivity test phase of tool migration within the back office. The project covered a wide range of activities such as:

• conducting multiple User Acceptance Tests (UAT) with on-shore teams
• verifying the impact of the change on regulatory reporting
• escalating any issues and contributing to the revision of business specifications

CUSTOMER GOALS

The main goal of our client was to ensure that all regulatory reporting related to liquidity are correctly produced with data flowing from the new back office system.

CHALLENGES

The key challenge encountered during the project were:

• limited availability of internal resources to cross-check testing findings and support effective escalation
• multiple delays in the releases of the new system which compressed the time available for the finance department, in general, to conduct necessary testing

SOLUTION

Avantage Reply mobilised a mixed team composed of a senior resource – liquidity Subject Matter Expert – to lead the project and provide regulatory guidelines, and business analysts executing the required testing. The key activities performed during the project were:

• defining the test cases covering the overall data flow and feeding into liquidity regulatory reports, in particular LCR, NSFR, C 69.00 Price for various lengths of funding and C 70.00 Roll-over of funding templates
• executing multiple iterations of User Acceptance Tests (UAT) in line with the test cases defined
• formalizing the results and escalating the identified defects
• where required, revising business requirements and following-up on technical improvements of the tool