Shared Responsibility and Collaboration in Large-Scale CTRM Programs

Jason (COO): Good morning, everyone. Today, I have the pleasure of hosting an insightful discussion with two key leaders of one of Europe’s largest vertically integrated energy and commodity trading organisations. Joining us today are Susanna, the Chief Information Officer, and Jan, the Chief Financial Officer. Part of today’s discussion is focused on the importance of shared responsibility in large-scale CTRM programs, with a focus on why the business should take ownership and how the IT department can support and enable their success. Welcome, Susanna and Jan.

Susanna (CIO): Thank you, Jason. We’re happy to be here and share our insights.

Jan (CFO): Yes, thanks for having us.

Jason (COO): Susanna, in your experience, why do you believe that the IT department and the office of the CIO should not own and run large-scale CTRM programs?

Susanna (CIO): That’s a great question, Jason. While the IT department and the CIO office play a critical role in ensuring the success of any CTRM program, we need to recognise that these projects are about more than just technology. They are about transforming the way the business operates and manages risks. By placing the ownership of such programs solely in the hands of the IT department, we risk losing focus on the business requirements and the broader strategic objectives of the organisation.

Jan (CFO): I agree with Susanna. In my experience, successful CTRM programs require close collaboration between IT and various business functions, including trading, risk management, and finance. By shifting the ownership to the business side, we can ensure that the program is aligned with our strategic objectives and that the new system meets the needs of all stakeholders.

Jason (COO): Jan, can you elaborate on the kind of buy-in and assistance the trading team, risk management, and finance team should bring to a CTRM project?

Jan (CFO): Certainly. Each of these teams brings unique expertise and perspective that can be invaluable in shaping the design and implementation of the CTRM system. The trading team, for example, can help define the functional requirements based on their day-to-day activities and processes. The risk management team can ensure that the new system adequately addresses the organisation’s risk management needs and complies with regulatory requirements. And the finance team can provide guidance on financial reporting and control requirements, ensuring seamless integration with existing financial systems and processes.

Jason (COO): Susanna, can you provide more insights into how the IT department can support and enable the success of a CTRM program led by the business?

Susanna (CIO): Absolutely. While the business should take the lead in defining the objectives and requirements of the CTRM program, the IT department plays a crucial role in providing the technical expertise needed to implement the new system. This includes system architecture, data integration, security, and performance optimisation, to name a few. Additionally, the IT department can help in selecting the right technology partners and vendors, ensuring that the new system is scalable, flexible, and future-proof.

Jan (CFO): I’d like to add that the IT department is also instrumental in ensuring a smooth transition and user adoption of the new CTRM system. By providing training, support, and change management assistance, the IT department can help ensure that the new system is embraced by users and that it delivers the expected benefits.

Jason (COO): It’s clear that collaboration and shared responsibility are critical to the success of a CTRM program. How do you recommend organisations create a culture that supports such collaboration?

Susanna (CIO): I think it starts at the top. Executive leadership must set the tone and emphasise the importance of collaboration and shared responsibility.

Susanna (CIO): Additionally, it’s essential to establish clear communication channels and encourage open dialogue between the various teams involved in the project. This can help to create an environment where ideas and concerns can be freely shared, leading to better decision-making and problem-solving.

Jan (CFO): I agree, and I’d also like to stress the importance of having a strong governance structure in place for the CTRM program. This includes setting up a steering committee with executive-level stakeholders from all relevant functions. This committee can provide oversight, strategic guidance, and support to the project team, ensuring that the program remains aligned with the organisation’s objectives.

Jason (COO): Thank you both for your insights on this small part of our conversation. Are there any other key takeaways would you like people to remember when embarking on a CTRM program?

Susanna (CIO): I would say that the most important takeaway is to recognise the value of shared responsibility and collaboration between IT and the business. While the IT department plays a critical role in providing technical expertise, it is essential for the business to take ownership of the program and ensure that the new system is aligned with the organisation’s strategic objectives.

Jan (CFO): I’d also like to emphasise the importance of involving key stakeholders from various functions, such as trading, risk management, and finance, throughout the entire project. Their buy-in, expertise, and support are crucial to the success of the CTRM program. In the end, a successful CTRM implementation is not just about technology – it’s about transforming the way the organisation operates and manages risks, and that requires a holistic approach and strong collaboration across the entire organisation.

Jason (COO): Thank you, Susanna and Jan, for sharing your valuable insights and experiences. It’s clear that a successful CTRM program requires a collaborative approach and shared responsibility across the organisation. We appreciate your time and the valuable insights from this discussion.

Susanna (CIO): Thank you, Jason. It’s been a pleasure sharing our thoughts.

Jan (CFO): Yes, thank you for the opportunity. We hope our insights can help other organisations achieve success in their CTRM programs.