SAS: Revolutionize Risk Management With Analytics

The business world has experienced unprecedented changes like global expansion, emerging markets, nimble competitors, digital disruptions, mobile staff, and powered customers. Markets are interrelated and financial instruments have become sophisticated. And when financial institutions expect quicker return to earn growth and profitability, market participants remain cautious and require unprecedented rigour in risk analytics. Yet businesses must take risks not only to survive but to thrive. In the current scenario, the business environment has never been more complex and the risks never been more difficult to manage. Businesses need to shift focus to more agile risk management and capital optimization, increasing integration, flexibility and control and reducing the growing cost of regulatory compliance.

Although data, process, technology, and analytics improvements are key drivers for better risk management, driving these improvements can be challenging. This is due to fragmented data and systems, multiple lines of business, functional silos, and multiple regulatory jurisdictions across the globe. Despite these facts most institutions are not at all sure how to go about managing risk effectively.

Enter SAS. With more than 40 years of experience with leading financial institutions around the world, SAS offers an extensive suite of enterprise risk management solutions, proven methodologies and best practices. It has also been driving business evolution with its intelligent risk analytics.

Jim Goodnight, CEO of SAS informs, “Our risk management offerings bring industry-leading capabilities in stress testing, capital management, modeling, aggregation, and analytics to help institutions navigate challenges of enterprises, drive automation and improve operational efficiency.” SAS solutions are built from the ground up with the comprehensive data management environment and powerful analytics and discovery tools.

Fuelled by ever increasing regulations, more aggressive enforcement and record fines and penalties, companies are now in an extremely volatile and risky regulatory environment. SAS successfully conquers the changing landscape by complying with the regulations around the world. Along with its flexible solutions that easily adjust to local and regional regulations, SAS accommodates varying guideline interpretations across multiple jurisdictions. To deliver regulatory reports into the hands of all risk stakeholders quickly and efficiently, SAS has an easy to use reporting dashboard of regulatory credit risk measures–built with SAS Visual Analytics. Jim elaborates, “We integrate existing risk models and data hierarchies into a streamlined, unified data infrastructure to measure and report credit, counter-party, market and liquidity risk.”

SAS successfully conquers the changing regulatory landscape by complying with the regulations around the world

In the wake of financial crisis, the banking sector faced ever changing market challenges when regulators imposed stress testing requirements on financial institutions to ensure that they could withstand the next big shock. The SAS solutions allow integration of information for regulatory capital, economic capital, and stress and test results. With SAS, organizations can stress test an entire bank portfolio as well as individual business units for the amount of market, credit, operational, and asset liability management related risks. SAS also has a Risk Modeling Workbench that establishes a controlled modeling process to support stress-testing requirements of financial institution.

Credit Risk Management is another vital area of risk management where SAS plays a vital role in regulatory credit risk management across multiple jurisdictions with built-in methodologies and pre-configured capabilities. This solution facilitates regulatory compliance by delivering a standardized workflow for calculating regulatory capital with data-driven calculations that are configurable and extensible. By using SAS Credit Risk Management solutions, organizations optimize their credit portfolio and make smarter lending decisions.

SAS has a plethora of solutions to offer to its clients, from the increase in the ability to work efficiently with a large data set, to the optimization and implementation of the appropriate governance for risk management. The third largest privately held bank in India, Axis Bank, uses SAS to measure and mitigate risk. As SAS provides a transparent environment that lets the bank to manage the entire process from identifying risks to measuring, mitigating, and monitoring it on an ongoing basis. It is also providing Axis Bank with the most powerful analytics available and an outstanding support team to form a great partnership. Since 2006, it is providing user friendly, self service reporting for integrated comprehensive data management across the organization.

Pertaining to the company’s strategies, Jim informs, “We aim to help every customer turn analytic insights into value. We do so by adapting to changing markets, working with disruptive technologies, and remaining relentlessly committed to innovation.” Adhering to this, SAS remains a leader across core markets while providing innovative solutions to its customers’ most challenging business problems. Since 1976, the software company has not only survived the tumultuous changes in the technology arena but it has thrived to be positioned for growth than ever. Under Jim Goodnight’s leadership, SAS has become renowned for its innovation and corporate culture. With SAS, businesses can turn the current critical challenges into tomorrow’s great decision and move the world.