FIS: Minimizing Credit Risk through Early Risk Manager

Gary Norcross, President & CEO , FISGary Norcross, President & CEO
Financial services organizations have always faced complex compliance scenarios and challenges. The need for risk expertise is significant and cost pressures remain acute with prompt service requirements continuing to escalate— demanding a high return on equity and assets. Several financial organizations acknowledge the expensiveness and inefficiency of existing risk and compliance solutions. At the forefront of addressing these challenges is FIS, headquartered in Jacksonville, Florida—one of the largest global solution providers of risk and compliance management solutions.
“FIS’s Risk, Information Security and Compliance (RISC) division delivers an end-to-end, comprehensive solution set that comprises best-in-class compliance programs, enterprise risk management and information security,” says Gary Norcross, President and CEO, FIS.

FIS has established a Center of Regulatory Intelligence at Washington to provide thought leadership as well as regulatory insights into risk and compliance issues. The company set up the Center to translate financial policies into actionable intelligence, enabling clients to manage and mitigate the risks actively.

“Our team will assist you in creating a risk management framework that is practical, scalable and sustainable,” states Norcross.

The varied solution set of FIS RISC, provides clients with comprehensive services that facilitate enterprise risk management, while ensuring regulatory compliance proficiencies. “Financial institutions need to ensure they have an appropriate credit risk environment and are operating under a sound credit granting process, as well as maintaining appropriate credit administration and measurement alongside monitoring processes,” says Norcross.

FIS’s Early Risk Manager (ERM) goes beyond the regulatory models to identify credit risks before they occur and utilizes quarterly Call Reports and a series of regression models to minimize risks.

“ERM provides a dashboard of 25 reports containing key risk management intelligence in relation to three focal points—CAMELS rating, probability of undercapitalization, and economic value,” says Norcross.

Furthermore, operational risks are one of the major reasons for financial loss in the banking sector. The management framework will help in the identification, assessment, and treatment of key risks affecting organizations. “We provide comprehensive consulting services that encompass the entire enterprise and operational areas specific to your institution including: interest rate, liquidity, operational, reputational, and strategic risks,” quips Norcross. The team at FIS RISC understands compliance complexities and their implications. “Our full spectrum of products and services addresses the compliance risk mitigation needs of banks, credit unions, mortgage companies and other financial institutions, and we recommend the most effective course of action that is customized for your organization,” says Norcross.

FIS’s Risk, Information Security and Compliance division delivers an end-toend, comprehensive solution set that comprises best-in-class compliance programs, enterprise risk management and information security

FIS also offers Compliance Analyzer, an industry standard for monitoring automated compliance in the high risk areas of mortgage lending. The Conference of State Bank Supervisors (CSBS) selected Compliance Analyzer to be used by state mortgage and banking regulators in the electronic examination process. Built on the Critical Decision platform, the Compliance Analyzer solution provides cost effective audits to four of the top five mortgage lenders.

“We continue to invest for growth in order to consistently deliver shareholder returns and generate significant recurring revenue in the risk and compliance landscape,” states Norcross. The company’s recent restructuring and re-segmentation of business has allowed FIS to align their service and solution portfolio to address the clients’ unique business challenges.