Training on Governance, Risk Management and Compliance (GRC)

Module 1: Compliance & Regulatory Environment

• An overview of the regulatory environment

• The objectives of financial services regulation

• Major trends in the global regulatory environment

• Key regulations that impact (transnational) finance institutions

• Key characteristics of the more recently announced holistic regulatory changes and the new legislature

• International Regulation

• The role of the regulators

• What do the Regulators expect?

• Your jurisdiction environment

• The difference between a best practice and a regulatory obligation

• Case Study: Analyze a recent regulatory change in a financial institution and discuss how the organization adapted to comply.

Module 2: Risk Management and Internal Controls

• Main types of risk classes that firms face and have to cope with

• Characteristics of the main risk classes

• Fundamental concepts of each of the risk classes

• Understanding a Risk-Management Approach

• The impact on the business – positively and negatively – of creating a Risk-Management Approach

• The need for Internal Controls

• Understand how to identify, mitigate and control risks effectively

• Approaches to risk assessment

• Effective Management of Compliance Risks

• Case Study: Evaluate the risk management framework of a bank and recommend improvements to strengthen internal controls.

• Practical Exercise: Map potential compliance risks for a hypothetical financial institution and propose mitigation strategies.

Module 3: Dealing With Financial Crimes

• Money Laundering Laws

• Preventing fraud

• Bribery and Corruption

• Market Abuse and Insider Dealing

• The risk-based approach to money laundering/terrorist financing

• Identifying high-risk indicators, understand what to do with the information and whom to escalate it to

• Banks and Financial Institutions required to file Suspicious Activity Reports (SARs)

• Sanctions

• Case Study: Examine a real-world example of a money laundering case and discuss the preventive measures taken by the bank.

• Practical Exercise: Identify potential fraud and insider trading scenarios and outline appropriate escalation procedures.

Module 4: Corporate Governance

• National and International environment for corporate governance

• Shareholders and Stakeholders

• Board of director’s responsibilities according to SAMA

• Audit Committee

• Corporate Social Responsibility

• Sound Corporate Governance Practices in Banking

• The Role of Public Disclosure

• Supervisors and Transparency

• Case Study: Review a bank’s corporate governance structure and analyze the effectiveness of its board and audit committee in ensuring compliance.

Module 5: GRC Strategic Approaches

• Overview of ‘governance’, ‘risk’ and ‘compliance’ (GRC)

• Principles and benefits associated with governance, risk and compliance

• GRC integrated approaches and their key enablers

• Role and Responsibilities of Board and Committees

• Selective best practices

• Building an effective, holistic governance, risk and compliance model across an organization

• Case Study: Assess the implementation of a GRC framework in a multinational bank and propose enhancements to improve integration and effectiveness.

• Practical Exercise: Design a simplified GRC model for a sample organization, highlighting key roles, responsibilities, and processes.