The study identifies and validates a common approach that banks can use to help gauge the relative maturity of their scenario analysis processes. The high –level building blocks that comprise the approach are:
- Governance
- Preparation
- Assessment
- Validation
- Reporting
Each of these building blocks is, in turn, made up of components that can be separately described and evaluated. These components were explored in some detail in workshops, producing maturity matrices. These matrices can be used by a bank to frame a view of its current state.