Data Quality System for Regulatory Reporting

Data Quality System for Regulatory Reporting


Our client, one of Italy’s top banks, required a tailored data quality system for regulatory reporting that would speed up the process and reduce the amount of notices they were receiving from the Bank of Italy as a result. Too much of the system relied on manual input and this was causing a variety of data regulation problems.

They couldn’t afford for this to continue. The client is one of the biggest banking groups in the Euro Zone and the primary Italian player in all business areas, with a market capitalisation of 50.3 billion Euros and an international network that covers 29 countries worldwide.

They urgently required something flexible, automated and robust to increase the levels of performance, while simultaneously reducing processing times and guaranteeing better, more consistent results for their regulatory data.

They needed a solution that would:

  • guarantee maximum flexibility for business users
  • perform data checks at varied levels of complexity
  • verify and control large volumes of data, within the shortest time possible

That solution was Irion.

The Solution – Irion

After a proof of concept, Irion was distinguished as the most unique tool due to its remarkable high performance and flexibility for parametric controls. Irion uses an agile development methodology that considerably reduces the initial “traditional” phase of analyses by using faster cycles based on brief sessions of analysis, prototyping and design review. This approach guaranteed a reduced time to solution; it allowed energies to be focused on the client’s needs without spending energies on unnecessary technical issues and infrastructure.

It provided the following types of controls:

  • accounting: reconciliation controls between master ledgers
  • coherence controls between original ledgers, in order to verify that the original ledger data is correctly and completely extracted
  • trend variations: controls that reduce period effects by relating data in one data stream with the same data, of the same product data stream, in the previous month or in the same month of the previous year
  • logical: controls that operate with current information within one data stream and put them in relation to the operation in which they refer
  • logical with tables: coherent controls between current information streams, compared by specific reference tables
  • logical/trends: coherence controls between current information in one data stream with the same information from previous periods

The controls provide results based on monthly and 10 year increments. At the end of the process, the system publishes results in a format compatible to our clients’ reporting tools.

The Benefits

Now, thanks to Irion, our client has a high performance, flexible and complete system that allows them to control processes and significantly reduce reprocessing and elaboration times. Above all, they are now able to solve their regulatory data problems as previously identified by the Bank of Italy, who now send them 90% less notices than they did before their new solution was implemented.

Currently, this system operates with approximately 2,000 controls over a very large number of areas. It deals with:

  • 200 flows of metadata input
  • 2000 active controls
  • 4B controls (unitary) run in a monthly elaboration phase on a total of approx. 10,000 input data streams (with a file capacity of approximately 15 GB)
  • 1M controls executed per minute

Irion works efficiently thanks to much better engineered operative control processes, which don’t impact upon internal resources. It’s efficient, it’s powerful, it has simplified operations and it has given the client a positive data advantage.