further to go to achieve a healthy economy, and i am certain that small businesses will continue to play a critical role in reaching that objective. i am honored to be addressing the owners of 53 small businesses whose excellence exemplifies the enormous contributions that millions of small businesses collectively make to our economy. you come from different places and have achieved success in a wide variety of ways, but you all share the entrepreneurial spirit that has always been central to our nation ’ s prosperity. we at the federal reserve are keenly aware of your vital role, and we pledge to continue to do our part in promoting the recovery so that you can continue to help america grow and prosper. thank you. see bureau of labor statistics ( 2014 ), “ business employment dynamics : third quarter 2013, ” press release, april 29. bis central bankers ’ speeches

technology ’ factors only to the extent of 50 % and the rest is dependent on how the organisation manages the ‘ human ’ element in it. it outsourcing the ‘ outsourcing ’ of it activities in banks is also an area to be looked into closely by the banks. in many countries, frauds or data breach cases leading to legal tangles and reputational loss have been witnessed either due to the ‘ loose ’ outsourcing contract, deficient internal controls in managing the vendors or complete reliance on the vendors even for critical banking activities support from technical perspective. more prudence and timely corrective actions would benefit the financial institutions in this regard to avoid any functional, financial or reputational repercussions. business continuity and disaster recovery management a robust and time - tested business continuity ’ and ‘ disaster recovery ’ management plan has also become a necessity and need of the hour due to work - processes ’ dependency on it. the plan should not only be a ‘ good plan ’ on paper, but one that can be implemented in real life scenario as well with practical ease. to achieve this, the banks must conduct mock test of their bcp and drp of their it logistics, data centres, communication channels at regular intervals in real life scenario and compare the ‘ recovery time objective ( rto ) ’ and ‘ recovery point objective ( rpo ) ’ outputs of the mock runs with the expected planned rto and rpo and self - judge the efficacy of the plan. technology and basel ii implementation the implementation of basel ii with regard to operational risk is also an area where banks would like to focus more from the technology point of view. the capturing of the operational loss data and to correctly assess the capital charge on this account would be a challenging task as the same is very much a data and technology intensive endeavour. the banks may like to put in place an efficient operational risk management system for this purpose from not only the compliance perspective but from the perspective of the benefits that would accrue to the banks in the long run. governance and regulatory compliance to sustain growth and enhance efficiency, governance and regulatory compliance are two issues which appear very critical as the rest of the business and it activities of the institution emanate from them. a proper handling of the it governance issues by synergizing the disparate ‘ silos ’ within the organisation would help in creating a robust system internally and provide a solid platform to prosper in the long run. another important aspect of regulatory compliance is the reporting