ROBINSONS BANK Corp. expects better data security as it tapped software solutions firm Multisys Technologies Corp. to automate the bank’s risk management system.

Under the recently signed agreement, Multisys will develop a digital Operational Risk Management System (ORMS) for the Gokongwei-led bank aimed to strengthen its data security and automate both operations and other risk management tools, it said in a statement released Monday.

“This partnership brings us a step further in our digital transformation journey as the ORMS will enable us to counteract internal and external risks systematically,” Robinsons Bank President and CEO Elfren Antonio S. Sarte was quoted as saying.

Mr. Sarte expects that using Multisys’ digital solutions will improve the bank’s internal operations and boost its overall customer service.

“The ORMS will further secure data and automate the operational and other risk management tools of the bank to promote a more effective and compliant enterprise-wide risk management system,” the statement read.

For Multisys President and CEO David L. Almirol, Jr., banks and other financial institutions need to “speed up” in adopting technology for better business operations, data security and customer service.

“Our partnership with Robinsons Bank will help us achieve our goal to help companies keep pace with the rapid digital transformation in the Philippines… The ORMS will not only ensure data security, but it will also help the company prepare and avoid risks that will negatively affect its business and consumers,” Mr. Almirol said.

Aside from streamlining operations, the bank said partnering with Multisys was also a part of the bank’s compliance with the Bangko Sentral ng Pilipinas’ (BSP) requirement of an effective risk management system.

“This is in line with the Bangko Sentral ng Pilipinas’ mandate, which requires all supervised financial institutions to adopt an effective risk management system to ensure healthy and safe operations,” Robinsons Bank said.

Back in August 2017, BSP issued guidelines on risk governance, requiring all of its supervised financial institutions to adopt policies that will enhance risk identification, mitigation and monitoring capabilities.

It said the establishment of a risk management function by the parent bank will oversee risk-taking activities of the firm as well as take responsibility in “identifying, measuring, monitoring and reporting risk on an enterprise-wide basis as part of the second line of defense.”

Robinsons Bank is the financial services arm of the JG Summit Group of companies.

The bank booked a P40.07-million net profit in the first three months of the year, down 56.2% from the P121.57 million booked in the same quarter in 2018.

It targets to double its net profit to P756 million this year from the P317.11 million it booked in 2018 on the back of growth in earnings from interest and fees. — Beatrice M. Laforga