Finance Business Networking


INL 28-04-2008

Welcome to MeettheBoss.TV.  Sub-prime fallout, world traders, and the very real threat of an ongoing global credit crunch.  The financial services industry is suddenly in deep water.  None of us has any money to waste.  Margins will continue to erode as industries commoditize.  My advice to my colleague CIOs is let the business units deal with their areas.  If the risk is not priced accordingly we’re going to have a market bubble like we had.  We had instruments that were 80% sub-prime marked as AAA.  Oh triple AAA it’s good enough but they never really did the research to figure out what they were buying.  You basically manage your risk well. 



You live and grow and if you don’t you’re out of the business, right.  Our job to a large degree is to enable the business to take risk and that requires us to bring new ideas in to the business and to management to say hey here’s a way that you can take a risk and do things faster or maybe more on the internet, as an example. 

The solution to making an IT project successful is in having professional IT project managers.  How do CIOs either succeed on an individual basis and/or contribute most of their firm and I would suggest those aren’t generally mutually exclusive.  And it is number one being a business partner and number two being seen as a business partner.  The technology by itself is not enough.  It’s a brain that you have, it’s your human capital that brings all these expertise in terms of risk management, pricing models, how you correlate the risk, it’s all that which makes a difference.  So what we’ve done in the Nordics is aggressively gone and evaluated controls one by one by one, and the control where there was no risk we took the – we eliminated those controls. 

What is disturbing, when you observe the modern IT people who think you click a couple of times, you drag and drop a couple of boxes, and suddenly you have a program; it’s not like this, it’s hard work, hard creative work.  All of us are exposed to the same technologies and it’s about execution and putting the necessary building blocks together.  And to some degree you’re following the leader in some technologies and some feature functionality and other times you’re leading.  Everything we do we have to make certain risk reward tradeoffs.  Now considering the current market environment there are certain types of risk that you may need to pay more attention to.

Websites News

© 2008 - All Rights Reserved