Operational Risk Management
About Operational Risk Management
The
term operational risk management (ORM) is defined as a continual cyclic
process which includes risk assessment, risk decision making, and
implementation of risk controls, which results in acceptance,
mitigation, or avoidance of risk. ORM is the oversight of operational
risk, including the risk of loss resulting from inadequate or failed
internal processes and systems; human factors; or external events.
Unlike other type of risks (market risk, credit risk, etc.) operational
risk had rarely been considered strategically significant by senior
management.
Why is Operational Risk Management important?
The main benefits of Operational Risk Management are
• Improving the reliability of business operations
• Improving the effectiveness of the risk management operations
• Strengthening the decision-making process where risks are involved
• Reduction in losses caused by poorly-identified risks
• Early identification of unlawful activities
• Lower compliance costs
• Reduction in potential damage from future risks
Who should take the Operational Risk Management Exam?
• Logistics, Finance, Accounting, SCM professionals
• Business owners
• Entrepreneurs
• Innovators
• Anyone who wants to assess their risk management skills
• Logistics, Finance, Accounting, SCM managers and senior executives
• Management consultants
• Professionals working in outsourced companies responsible for risk management
• Any professional with skills and knowledge on risk management
• Anyone interested in risk management
• Students
Operational Risk Management Certification Course Outline
1. Risk management, ERM and Credit crisis
2. Arbitrage pricing and Risk takers
3. Effects of poor data, Data errors, and Operational data governance
4. Applying CAPM to performance management and Risk Appetite
5. ERM and OpRisk data and governance
6. External loss data and Capital Modeling
7. Model risk and Liquidity risk
8. Liquidity and leverage
9. Repurchase agreements and stress testing Banks
10. Capital planning, Basel-I,II,III and solvency II
11. International convergence and coverage ratio
12. OpRisk supervisory guidelines