Identifying and assessing operational risk lets you make changes in your company to secure operations and reduce risk of business failure. Operational risk is the total of risks you run when operating ...

Operating leverage is the fraction of a company's costs that are fixed. Firms with a lower fraction of variable costs and a higher fraction of fixed costs have a higher operating leverage, which means ...

Operational risk is often described as the “silent disruptor” of the financial world. Unlike credit risk or market risk, which are measurable and frequently modeled with precision, operational risk is ...

In a previous post, we suggested that to grow financially sustainable enterprises (social or otherwise) it’s important to build off of the demand for “choice”—not just the “needs”—of an underserved ...

The push for standardization under Basel III continues, bringing significant changes to how banks calculate capital requirements for operational risk. Against this backdrop, the European Banking ...

Operational risk scenario analysis has existed for a long time. Why is it under more scrutiny now? Patrick Naim, Elseware: I wouldn’t describe it as scrutiny so much as more ambitious objectives for ...

Operational risk management encompasses the identification, assessment, monitoring and mitigation of losses arising from inadequate or failed internal processes, people, systems or external events.

Risk architecture is becoming the new language of financial leadership. Learning it can allow you to build a finance function ...

Financial institutions are in the business of risk management and reallocation, and they have developed sophisticated risk management systems to carry out these tasks. The basic components of a risk ...