Practical Solutions to
Measuring & Managing Operational Risk
A Review of Basel II, Providing Real Guidance and a 4-day Training Workshop Featuring:
- How to meet the expectations of the Basel Accord
- The key stages in building an operational risk strategy
- Establishing and using an internal loss database
- Use of external loss data
- Development and use of scenario analysis
- Development and use of key risk indicators
- Consideration and use of control and risk self assessment
- How should outsourcing be integrated into this project?
- Review of available market solutions
- How will the charge be calculated
Course Description
Banks and other financial institutions are still wrestling with creating the right recipe for dealing with operational risk; finding a successful mix of quantitative and qualitative risk measurement is a different challenge for each bank. Moreover, from time to time, new types of crisis force a change in perspective. Whilst previously new instruments headed risk managers’ ‘danger’ lists, today direct and indirect losses due to impaired reputation, poor corporate governance and legal damages are making the headlines. With regulators all considering how to respond to Pillar II of the Basel Accord, banks' pro-activity is growing.
Even after the finalisation of the Accord, however, much still remains unclear regarding the practical implementation and the use of qualitative and quantitative techniques together. Knowing that implementing an operational risk management system will improve profitability, some firms are looking to move forward. But few banks have a sufficiently accurate measure of their operational risk in order to sensibly allocate economic capital, let alone to truly exploit operational risk for competitive advantage. Best operational practice and risk management – or lack of it – is destined to become evermore visible to customers, shareholders and regulators.
Learning Objectives
Led by an acknowledged expert in the field this 4 day programme will provide you with the knowledge you need to review, benchmark and refine operational risk plans within your organisation. The course focuses on both qualitative and quantitative techniques, offering integrated solutions for operational risk and suggesting approaches to the problems that an institution will face in meeting these new demanding requirements.
The course will consist of lectures, supplemented by case studies drawn from published real life examples or practical experience. The objective is for participants to fully understand the stages and techniques in implementing an operational risk structure that will meet the demands of your regulator and the Basel Accord as they continue to develop. The nature of IT solutions available within the market place will also be introduced to enable attendees to move towards the development of solutions.
Who Should Attend
- Internal Auditors
- External Auditors
- Operational Risk team
- Risk Managers
- Business department heads
- Directors
Training Methodology
The course will consist of lectures, supplemented by case studies drawn from published real life examples or practical experience. The objective is for participants to fully understand the stages and techniques in implementing an operational risk structure that will meet the demands of your regulator and the Basel Accord as they continue to develop. The nature of IT solutions available within the market place will also be introduced to enable attendees to move towards the development of solutions.
Knowledge Pre-Requisite
Delegates are not expected to have an advanced modelling or quantitative background.
