Execution, delivery and process management Level 2 classification

Description

Reference number

Processing/Execution failures

Failure to process, manage and execute transactions (including fat finger losses) or other processes (including change programmes, different from the ICT ones) correctly or appropriately.

7.1

Client account mismanagement

Inadequate management of client portfolio/investments, including unapproved access given to accounts, incorrect client records (loss incurred), negligent loss or damage to client assets.

7.2

Rights/Obligation failures

Failure to follow the appropriate procedure for handling legal processes. Failure to manage contractual and non-contractual rights/obligations correctly. This category includes all execution errors pertaining to legal procedures and processes, including in reporting to external parties, such as tax and regulatory authorities. It does not include breaches of the organisation’s legal obligations, legal disputes and litigations.

7.3

Data management

Failing to appropriately manage and maintain data, including all types of data, for example client data, employee data, and the organisation’s proprietary data, but excluding breaches of data privacy and confidentiality mismanagement.

7.4

Model implementation and use

Incorrectly implementing a model, even though that model may be correct.

Using a model in an incorrect context, even though that model may be correct and correctly implemented.

7.5