IT GovernanceRisk Management

NEWS ALERT: RBS Group Crisis – Who’s watching the big picture

Sometimes the consequences of IT system failure have serious effects on the lives of many people. The current problems at the RBS Group inthe UK show just how far reaching those consequences can be. A number of press reports have commented on restructuring of the RBS IT workforce, which begs a questions for the wider ICT community: When complex system changes are occuring at the same time as commercial restructuring of the business and it’s ICT delivery capabilities, it may not always be apparent where the responsiblity for overall system assurance and testing lies. Does the person ultimately responsible for provision of ICT systems to the business (the CIO) have sufficent visibility, authority and control of systems vital to the core business? Outsourcing can be an excellent way of bringing additional skills and cost benefits to the table, but there is a very powerful argument for retaining overall design authority, quality assurance, testing and release control in house. That doesn’t mean doing the work – partners and suppliers can and do contribute significant value – but it does mean making sure that work is done to specification and with an appropriate level of quality assurance and testing. Concerns are rising at the effect of a technical failure at one of the UK’s largest banking groups. Up to twelve million NatWest and Royal Bank of Scotland customers are now entering a third day of being unable to pay bills or move money from their accounts, as explained in these article found on the BBC and The Register: http://www.bbc.co.uk/news/business-18547149 http://www.theregister.co.uk/2012/06/22/rbs_natwest_outage_fourth_day/

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