Basel III drives operational risk rethink Gabriel David;

摘要

As banks prepare for the implementation of Basel III, operational risk management needs to be a key area of focus. Operational risk is defined as the risk of loss from inadequate or failed internal processes, controls, people, systems or external events including service suppliers and outsourcers. Operations risk management requires discipline of execution with proper governance at all levels of the organisation starting from the CEO and the board. Basel II and Basel III requirements focus on comprehensive and dynamic capital, risk and liquidity management - requirements that cannot be met if operations risk is not well managed. IT plays a key role in daily operations. Clearly, if IT and major operations fail, then a bank fails.