Credit Risk Discipline Tools - Implementing 14 Tools for Credit Risk Management

A strong credit culture is the base of sound lending. This 60-minute credit risk management training shows you how to build, implement and maintain one using 14 credit discipline tools.

The tools work two ways: as a quick test of how strong your organization's credit risk management really is, and as techniques for fixing weaknesses and improving both credit culture and risk management. You'll look at the four types of credit culture, what regulators expect, and each tool from written credit policy and risk-driven analysis to a granular risk rating system, independent loan review and an adequate loan loss reserve.

• Identify the elements of a strong credit culture
• Explain how credit culture links to credit risk management
• Describe the 14 credit discipline tools that support strong credit risk management
• Use the tools to test and remediate credit culture and credit risk management

• The four types of credit culture and the optimal credit culture
• Elements of credit risk management
• Regulatory expectations for credit culture and credit risk management
• How credit discipline tools build and maintain credit culture and risk management
• Written credit policy
• Risk-driven credit analysis
• Uniform credit packages
• Experienced underwriting
• Informed decision making
• Proper loan approval with minimal credit policy exceptions
• A valid, granular risk rating system
• Reliable closing and booking with minimal loan documentation exceptions
• Loan performance monitoring and reporting
• Independent loan review and audit functions
• Adequate loan loss reserve
• Professional problem asset management
• Credit lending and training

Bank regulators and the market both expect excellence in credit risk management. These 14 tools give you a fast way to check the quality of your credit process and a practical path to remediate gaps in credit culture and risk management.

The session suits senior lenders, chief credit officers, CEOs, bank presidents and directors, credit risk managers and credit approval officers.

• Senior Lenders
• Chief credit officers
• Chief executive officers
• Bank presidents
• Bank directors
• Credit risk managers
• Credit approval officers

A frequent speaker, instructor, advisor and writer on credit risk and commercial banking topics and issues, Martin J. "Dev" Strischek principal of Devon Risk Advisory Group based near Atlanta, Georgia.  Dev advises, trains, and develops for financial organizations risk management solutions and recommendations on a range of issues and topics, e.g., credit risk management, credit culture, credit policy, credit and lending training, etc.  Dev is also a member of the Financial Accounting Standards Board’s (FASB’s) Private Company Council (PCC).  PCC’s purpose is to evaluate and recommend to FASB revisions to current and proposed generally accepted accounting principles (GAAP) that are more appropriate for privately held firms.  He also serves as the PCC’s representative to FASB’s Credit Losses Transition Resource Group supporting the new current expected credit loss (CECL) standard to be implemented in fiscal year 2019 for public companies and 2020 for private firms.

The former SVP and senior credit policy officer at SunTrust Bank, Atlanta, he was responsible for developing, implementing, and administering credit policies for SunTrust’s wholesale lines of business--commercial, commercial real estate, corporate investment banking, capital markets, business banking and private wealth management. He also spent three years as managing director and credit approver in SunTrust’s Florida commercial lending and corporate investment banking areas, respectively. Prior to SunTrust, he was chief credit officer for Barnett Bank’s Palm Beach market. Besides stints at other banks in Florida, Kansas City, and Ohio, his experiences outside of banking include CFO of a Honolulu construction company, combat engineer officer in the U.S. Army, and college economics instructor.

A graduate of Ohio State University and the ABA Stonier Graduate School of Banking, Dev earned his M.B.A. from the University of Hawaii. Mr. Strischek serves as an instructor in several banking schools, including the Stonier Graduate School of Banking, and the Southwest Graduate School of Banking. His school, conference, and workshop audiences have included participants drawn from the ABA, RMA, OCC, Federal Reserve, FDIC, FFIEC, SBA, the Institute of Management Accountants (IMA) and the AICPA.

Mr. Strischek has written some 200 articles on credit risk management, financial analysis and related subjects, and he is the author of Analyzing Construction Contractors and instructor of  a contractor analysis workshop. A past national chair of RMA and former RMA Florida Chapter president, Dev has consulted on credit risk issues with banks in Morocco, Egypt, and Angola through the US State Department’s Financial Service Volunteer Corps (FSVC).