When it comes to implementing the new Senior Managers and Certification Regime (SMCR), there are key lessons solo-regulated companies can learn from banks and insurers who’ve already done so. That’s according to Lorraine Mouat, associate director at TCC, who highlighted the top five mistakes companies might make in implementing SMCR in a recent Financial Times Adviser article.
- Failing to allocate responsibilities to the right people. The most senior and appropriate person needs to be held accountable for leading and driving the SMCR compliance program forward. They need to ensure all employees understand their individual and shared responsibilities.
- Thinking allocation and form-filling are enough. The key to being compliant is integrating SMCR into your company’s operations and culture.
- Neglecting crucial supporting evidence. Recording evidence of your rationale for and justification of your decisions is essential for SMCR compliance.
- Forgetting about the certification regime. It applies to lower risk jobs than the senior manager regime. But in larger companies, complying with the certification rules is often a more daunting task requiring substantial time and resources to implement and manage.
- Thinking of Dec. 9, 2019 as your SMCR implementation deadline. It’s crucial to set an internal deadline before this date that gives you time to work out any issues with your policies, processes, and systems.
For more information on these five mistakes and how to avoid them, consider reading Lorraine Mouat’s article in the Financial Times Adviser. Or contact one of our experts to see how MCO can help your organisation.
To know more about the implementation of the extension of the Senior Managers and Certification Regime SMCR register for our on-demand webinar - Five key steps towards SMCR compliance: Are you ready for the 9th of December?