Scott discussed the current risk management environment. He noted the significant focus on credit risk management and stressed that governing risk is a key factor for strategic success. He discussed a number of economic and industry factors that are driving consolidation in the community banking market.

Scott pointed out that an institution’s size creates operating benefits by increasing an institution’s efficiency ratio. He then presented the keys to successful ERM implementation which included cost and impact; alignment strategy and reporting and monitoring. He stressed the importance of defining a comprehensive, yet simple program that is explainable to the Board as well as to department heads.

Internal Audit Challenges and Opportunities were presented by Laurie Shen, Director from Grant Thornton LLP at the afternoon mini-session. Laurie reviewed the current regulatory environment with particular emphasis on the challenges recent legislation has placed increased focus on the internal audit process.

Laurie discussed the key internal audit priorities receiving increased emphasis in the industry. Examples included regulatory compliance, anti-money laundering, information technology, risk management programs and social media. She emphasized the importance of developing a Quality Assurance and Improvement Program (“QAR”) along with specific examples for evaluation and implementation.

The meeting featured a cocktail hour following the mini-session which gave Members the opportunity to exchange ideas while enjoying their favorite beverage. A full course dinner preceded the keynote presentation following dinner. Scott discussed the current risk management environment. He noted the significant focus on credit risk management and stressed that governing risk is a key factor for strategic success. He discussed a number of economic and industry factors that are driving consolidation in the community banking market.