Denise M Letcher, Chief Data Officer at PNC Financial Services, speaks with Dessa Glasser, Principal at FRG (Financial Risk Group), in a video interview about her responsibilities as a CDO, creation of a data risk framework, collaborating with the business side, the role of CDO in supporting data quality metrics, having well-structured disciplines and cohesive teams, and the need for communication with regulators and for expanding networks.
The PNC Financial Services Group, Inc. is an American bank holding company and financial services corporation. FRG (Financial Risk Group) is a leading provider of technology and advisory services in the financial risk marketplace.
Letcher begins the discussion by explaining the various lines of defense in her organization. She states that there are three lines of defense, and as a CDO, she sits in the second.
Explaining further, Letcher notes that she reports to the Chief Risk Officer, and manages an independent data risk team. Her other responsibilities as a CDO include data management, and centrally supporting data analytics.
Speaking about the data risk framework in the firm, Letcher appreciates having a great team of data risk officers and their critical function is to oversee the data risk management practices across the enterprise.
Delving further, she notes that the risk officers also establish data policies and procedures, monitor the effectiveness of controls and adherence to data risk appetite, and issue remediation. Letcher maintains that the officers focus on incomplete and inaccurate data and make sure that the risk can be assessed and monitored.
When asked about the strategy to introduce a data risk framework to the business, Letcher says that the organization first set up a data risk domain. She states that it requires a partnership with the business after identifying the processes, to put controls around data risk and then for the production of reports, metrics, and monitoring.
As a whole, the CDO and enterprise services bear the responsibility of implementing effective data governance protocols and guidelines, says Letcher. This includes defining crucial data elements and making necessary tools available to enable accurate measurement and monitoring of data quality.
"It is crucial to be able to define one’s critical data."
Denise M Letcher | Chief Data Officer at PNC Financial Services
Moving forward, Letcher states that it is crucial to be able to define one’s critical data — the ability to measure data quality, have the right tools, and provide data metrics across the lifecycle. She shares that it is critical to ensure that all lines of defense are clearly defined and understood in terms of responsibilities.
A crucial aspect for CDOs, Letcher highlights, is supporting data quality metrics. Additionally, CDOs must define critical data, business usage, and consumption, as well as provide metadata and data catalog capabilities.
When asked about her response to increased regulatory scrutiny, Letcher confirms her reliability on the organization. She mentions having well-structured organizational disciplines, and cohesive teamwork practice across teams.
When it is time to scale up, Letcher states that the organization leverages each of the team’s strengths to ensure swift and accurate responses. She shares that with increased demands, the ways of work might need to be changed.
Furthermore, Letcher states that keeping lines of communication open with the regulators is fundamental. She ensures meeting with regulators on an ongoing basis to provide a business update and understand their evolving expectations.
Commenting on the current scenario, Letcher states that with so much going on in the industry, it is imperative to get industry perspectives. This includes meeting with consultants and peers to understand the challenges and their interaction with regulators.
In conclusion, Letcher says that it is crucial to expand networks and reach out to people.
CDO Magazine appreciates Denise M Letcher for sharing insights with our global community.