The program runs for 3 days
Operational Risk is the risk of loss resulting from inadequate or failed internal processes, people or systems, or from external events. It includes reputation and franchise risks associated with business practices or market conduct. It also includes the risk of failing to comply with applicable laws and regulations. Operational Risk does not include strategic risk or the risk of loss resulting solely from judgments made with respect to taking credit, market, interest rate, liquidity, or insurance risk.
Under the 1988 Accord, the Basel Committee limited risk consideration for its framework to credit and market risks as these were considered a good approximation of the entire business. However, it has been observed that risks other than credit and market can be substantial. Further, developing banking practices such as securitization, outsourcing, specialized processing operations and reliance on rapidly evolving technology and complex financial products and strategies suggest that these other risks are increasingly important factors to be reflected in credible capital assessments by both supervisors and banks. Hence Operational Risk was incorporated into the Basel II framework. The implementation of the Operational Risk framework in the Basel II Accord has become a challenge to both regulators and operators in the banking industry with consistent search for the best approach to approximate operational risk exposure at different business levels.
In realization of the challenges and effort to enthrone a sound operational risk environment with adequate calculation of all operational risk scenarios, Control Edge Consulting Limited hereby presents a 3-day training proposal on Operational Risk Managementfor bank officers’ appreciation of operational risks and controls. It will also serve to establish sound risk and control management culture to improve your bank’s business operations
The training seeks to provide participants with tools and techniques of operational risk management for the improvement of the control environment. It provides tools and methods for identification and assessment of business risks and application of controls for effective risk management strategy. It will familiarize participants with operational risk identification, understanding and management strategies that facilitate sound appraisal process in risk creation and demonstrate how internal control failures can be avoided through a well-established risk and control self-assessment process.
Senior Management Staff, Management Staff, Divisional Heads, Operations Heads, Relationship Managers, Credit Analysts, Credit Administration Officers, Legal Officers, Internal Control Officers, Internal Auditors, Operations Officers, Compliance Officers.
Module 1: Understanding Operational Risks
Module 2: Operational Risk Policy
Module 3: Operational Risk Exposure Categories
Module 4: Analyzing Operational Risks
Module 5: Operational Risk Measurement
Module 6: Operational Risk Control
Module 7: Operational Risk Reporting
Module 8: Roles and Responsibilities