The country’s largest stock exchange has come under independent review for sending a new technology system live with inadequate testing, significant flaws and mismanagement of project delivery, leading to a crippling ASX outage.
ASX suffered a full-day trading outage last November, caused by problems in the launch of the ASX Trade matching system that triggered the entire system, causing the exchange’s worst outage in four years. local.
The Australian Securities and Investments Commission and Reserve Bank of Australia saw the blackout as a “significant concern” for market stability and asked ASX to call on consultancy firm IBM Australia to help. undertake an independent external review.
The report’s findings, released on Monday, determined that the ASX met or exceeded industry standards in more than 75% of rated capacities, but also highlighted “shortcomings in rigor” in the management of risks, project delivery, testing and incident management.
ASX plays a crucial role in maintaining the stability of financial markets and therefore has a “near zero appetite” for downtime. The report found that there were seven reasons ASX Trade was not ready to go live, including the amount of open defaults, the need for additional testing noted, and the gaps in end-test coverage. at the end.
While IBM found that ASX had given the project “sufficient financial, time, personnel and technology” at all stages of delivery, the report pointed to the failures of ASX’s approach. governance and said the project would have benefited from a more independent and clearer review. lines of responsibility.
“Governance was transferred to a group that had a wide range of responsibilities, and the group did not include a key role. The change diluted the focus on the project, ”IBM found.
ASX chief executive Dominic Stevens said last week he had restructured the organization since the outage to strengthen accountability for important projects, changing key leadership roles and creating a direct line of command with the CEO.