Developing a go-to market strategy, expand into new geographies, segments, start a new business division.
Maximizing return on capital through risk based strategies, effective capital management or implementing best practices for Basel compliance.
Sound risk management forms the cornerstone of any sustainable banking business. With the ever changing business environment, it is imperative for the banking organization to better assess the risk and its impact on the business sustainability. Experience from organizations like Lehman Brothers suggests that misreading of risk management can result in the demise of organizations that have withstood the test of time.
Sutra Management’s through its team of risk management experts, assists organizations in building a sophisticated risk management system, yet firmly grounded on sound business basics. We go an extra mile in demystifying the complex nature of risk that a bank is exposed to, so that it understands and manages risks effectively, rather than using a few black box models that can only be understood by a few people only. Areas where we help our clients are:
Assessing, measuring and managing enterprise wide risk.
With Basel implementation, banks in emerging markets have started to appreciate the importance of sound risk measurement system. Though it is still focused on getting system implementation that is Basel compliant, rather than a sound risk measurement approach that emanates from the risk that the business is undertaking. Our team of experts works closely with the business in advising our clients in developing the right risk framework for (a) defining the right risk segments for creating pool of assets (b) effectively measuring its constituents – Probability of Default (PD), Exposure at Default (EAD) and Loss Given Default (LGD).
Armed with sound risk measurement system, we assist the banks in developing robust risk management strategies that use insights of calibrated risk measurement along with understanding of business and portfolio opportunities to assist business in deriving higher customer value. These get manifested in specific revenue maximization or profit maximization strategies through the customer lifecycle management of:
Customer Acquisition Account Management Collections – Developing an effective collection program that provides differential treatment to different risk category of customers, thereby resulting in better collection efficiency, lower operational costs and higher customer satisfaction.
The cost of risk is an important element in ascertaining customer’s lifetime value. A bank that uses sound risk measurement can effectively understand the value that various segments of customers bring to the bank. This enables the bank in maximizing its Risk-adjusted return on capital while the bank can continue to pursue aggressive growth strategies.
Dashboard Risk Data Mart Decision Engine for Credit Underwriting Process Collections Programs
Maximizing customer value by providing world class experience and offering right product or service offering through right channel.
Developing effective cost management programs, conducting budgeting exercises for better financial management.
Improving organizational structures and the process for improving the effectiveness of the organization.
We design a set of solutions that provide a strong foundation to various business initiatives.