Loading content
Concept for identifying, assessing and managing non-financial risks arising from processes, systems, people or external events.
Operational risk covers losses from failed processes, systems, people, or external events. The concept focuses on identifying, assessing and managing non-financial risks at organizational level. Metrics and regular tests validate controls.
Counts incidents that exceed defined impact thresholds.
Average time to restore critical services after an incident.
Measure of how often controls perform as expected.
Incorrect processing caused credit losses; adding controls reduced the risk.
Rollback procedures and automated tests shortened recovery time drastically.
Improved segregation of duties and monitoring detected and prevented further cases.
Initial risk identification and creation of a risk catalog
Define metrics, controls and responsibilities
Introduce monitoring, tests and regular reviews