This site uses cookies to store information on your computer. Some are essential to make our site work; others help us improve the user experience. By using the site, you consent to the placement of these cookies. Read our privacy policy to learn more.


Financial crisis and changes in management controls in banks Logo cima

  Pall Rikhardsson, Carsten Rohde |   Free |   CIMA |   May 2016 |   Thought leadership

The financial crisis of 2008 hit banks in Iceland and Denmark with different intensity and there was a difference in how management controls changed in response to the crisis.This academic research analyses the difference in impact of the financial crisis of 2008 on management controls in banks. The research found that management control professionals, including management accountants, risk managers, compliance managers and internal auditors served as “translators” of change while the Chief Executive Officers of the banks acted as change agents.

Topics covered:
  • Management accounting: Business: Market & regulatory environment, Expert
  • Management accounting: Technical: Management reporting & analysis: Performance management, Expert
  • Management accounting: Technical: Risk management & internal control: Internal control, Expert

2 Comments/Reflections

Barry Moir

Barry Moir Aug 2018

Despite being an event of 10 years ago this report is an excellent "refresher" to not get complacent. Focus on the CEO as the change agent and captain - sets direction and vision with influence to make necessary change.
Lalit Bhandary

Lalit Bhandary Sep 2016

Very interesting article in terms of case study. After reading this article I found it was nice blend of theory and practical implementation of change process, change agent and the cultures involved.

This combination of management concept to this crisis made my reading more interesting. 

I learned how adapting to beyond budgeting finds its importance aftermath of this crisis. How one must build policies with first and second line of internal control or defence.