Understanding Operational Risk in Financial Institutions
What you'll learn
- Discover the total risk spectrum.
- Discover what the individual operational risks are.
- Explore each of these risk categories, what they are and what causes them.
- Identify the different types of operational risk.
- Discover what “Black Swan” events are.
Requirements
- No advanced preparation or prerequisites are required for this course.
Description
Operational risk is defined by the Bank for International Settlements as the "risk of loss resulting from inadequate or failed internal processes, people and systems or from external events." There are four exceptionally wide-ranging factors: internal processes, people, systems, or external events. To make them absolutely clear, the Bank for International Settlements has categorized them into seven distinct groupings that cover virtually every element of the operations of financial institutions outside of the credit and liquidity aspects.
This course examines each of the seven operational risk categories, and it provides a detailed explanation on each risk explaining what it is, what type of events are involved, why these activities pose a risk and provides participants with clear practical examples.
Operational risk is intrinsic in all banking products, all banking activities, all banking processes, and all banking systems. The effective management of all of these operational risks is a basic component of a bank’s risk management program.
This course is brought to you by Illumeo. Illumeo, incorporated in 2009, is revolutionizing the hide-bound world of corporate learning. Illumeo works with corporate professionals and organizations of all sizes to build the skills and capabilities that help everyone be an expert at their job. Based in Silicon Valley, CA, Illumeo serves thousands of corporations and corporate professionals across Finance, Accounting, Human Resources, Sales and Marketing. The platform offers assessments, industry-benchmarked competency analyses, hundreds of expert-developed courses, collaborative tools, and the ability for companies to self-publish internal courses that promote institutional knowledge retention and dissemination. Illumeo is the place for expertise management and we are dedicated to the proposition that everyone can be an expert at their job.
Who this course is for:
- This course examines each of the seven operational risks categories, and provides a detailed explanation on each risk.
Course content
- Preview06:15
- Preview05:28
- 13:58Internal Fraud
- 12:49External Fraud
- 03:335 Employment Practices & Workplace Safety
- 14:29Clients, Products & Business Practices
- 02:40Damage to Physical Assets
- 05:56Execution, Delivery & Process Management
- 06:31Business Disruption & System Failures
- 08:10Black Swan Events
- 04:27Why are we so Bad at Recognizing Operational Risk Events
Instructors
![Illumeo Learning](data:image/svg+xml,%3Csvg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 64 64"%3E%3C/svg%3E){kind=avatar}
- 4.1 Instructor Rating
- 20,087 Reviews
- 63,226 Students
- 413 Courses
Illumeo, incorporated in 2009, is revolutionizing the hide-bound world of corporate learning. Illumeo works with corporate professionals and organizations of all sizes to build the skills and capabilities that help everyone be an expert at their job.
Based in Silicon Valley, CA, Illumeo serves thousands of corporations and corporate professionals across Finance, Accounting, Human Resources, Sales and Marketing. The platform offers assessments, industry-benchmarked competency analyses, hundreds of expert-developed courses, collaborative tools, and the ability for companies to self-publish internal courses that promote institutional knowledge retention and dissemination.
Illumeo is the place for expertise management and we are dedicated to the proposition that everyone can be an expert at their job.
- 4.3 Instructor Rating
- 69 Reviews
- 267 Students
- 11 Courses
Stanley holds a Masters degree in Economics and a BCom. degree in Accounting from the University of South Africa, Pretoria. He has extensive and wide ranging banking and IT experience, including 33 years with the Standard Bank of South Africa, where during the 1990s he filled an industry level role holding several key positions in the area of electronic payments/banking.
His extensive exposure to banking practice and banking operations extends to many countries including the USA, United Kingdom, South Africa, Israel, Europe and Australia.
During the 1990s he held a senior banking industry level role on secondment to the South African Clearing Bankers Association, which included that of Chairman of the Risk Committee of the Payments Association of South Africa (PASA) as well as participating in the development of the South African National Payment System. He also represented South Africa on two occasions at the United Nations Commission on International Trade Law (UNCITRAL) in New York.
On leaving South Africa, Stanley spent time as a payment systems designer and consultant to a New Jersey based bank payments software developer. This included projects and consultation work with central and commercial banks in the US, the UK, Australia, Israel, Kazakhstan, South Africa, Mauritius, Namibia, Romania, and the Netherlands.
Stanley also served as an external consultant to the Bank of Israel in the reform of the Israeli payment systems dealing with two major projects; the introduction of that country’s ZAHAV Real Time Gross Settlement payment system and the inclusion of the Israeli Shekel in the international Continuous Linked Settlement (CLS) system – a role which covered various wholesale, retail and international payments systems, operational risk and legal issues as well as policy, regulatory and oversight matters.
Over the past decade he has been in the private high-tech sector providing high-level training and consulting services to a wide range of banks and other clients across the world in areas of international payments, digital/mobile banking, governance, risk management, and compliance.