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Growth & Change

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Published: 5th April 2017 by William Webster

Have you ever wondered whether what you are going could be improved? It’s a question that many clients have. They wanted to know if, over time, they’ve overlooked things. This is pertinent when the business grows and the regulatory environment shifts. Is what we have fit for purpose? A second and independent opinion helps…. 

The Background

This client had grown rapidly. Its treasury had started out small and had remained so. But over the intervening years the amounts it handled had grown to assume risks that could no longer be managed by ad-hoc fixes.

The Risk

A company that places £1 million on deposit takes some risk but when this amount multiplies several hundred-fold the magnitude and nature of the risks involved need re-evaluation. This goes beyond credit. It extends into liquidity, market and operational risks as well as the whole governance process that is in place. Whilst it’s tempting to put all of this aside failure to address things tips the odds against you. Something could go wrong and it may prove costly.

This was Barbican Consulting’s solution

The Proposal

A full report into the workings of treasury, the risks and governance processes and Board presentation. The report to address, credit risk, liquidity risk, market risk, foreign exchange risk, operational risk, development plans and governance with recommendations for improvement. The report to be undertaken by an independent expert and delivered within an agreed timescale leaving the client free to carry out the recommendations in its own time and to suit its agenda.

The outcome

Working to the client’s requirements his report was delivered within two months. It contained over seventy recommendations concerning improvements. These were categorised in terms of both severity and an appropriate timescale for their resolution.