To this end, simulation exercises are powerful tools to diagnose what is not working in existing crisis management regimes and to provide training in the form of „learning by doing‟. Simulation exercises are therefore useful in refining conceptually adequate crisis management arrangements. Simulations, especially regional crises resolution simulations, are important for a number of reasons.
We need to be confident that an institution's internal systems, procedures, and controls are sound and that they will remain effective long after our review. Of course, evaluating procedures and controls requires some transactions testing. Risk-focused supervision and the nature of banking today require successful organizations to maintain sound corporate governance and strong systems of controls.