Managing Operational Risk: 20 Firmwide Best Practice Strategies

ISBN-13: 9780471412687 / Angielski / Twarda / 2002 / 576 str.

Douglas Hoffman

Opis

Published in association with the Global Association of Risk Professionals
As e-commerce and globalization continue to expand, so does the level of operational risk, increasing the need for guidance on how to measure and manage it. This is the definitive guide to managing operational risk in financial institutions. Written in a concise, no-nonsense style, and containing numerous real-life case studies, it covers all the bases from the basics of what operational risk is to how to design and implement sophisticated operational risk management systems. Readers will appreciate the up-to-the-minute coverage of the latest techniques and practices to manage operational risk. They will learn how to enhance their positions in the face of anticipated new regulatory standards and capital requirements.
Douglas G. Hoffman (Fairfield, CT) is an independent consultant in operational risk management. His firm, Operational Risk Advisors, provides executive training and assists financial institutions and corporate clients worldwide in operational risk analysis and mitigation.

Spis treści

Introduction.

Operational Risk Management 101: An Executive Summary.

The Best Practice Strategies.

What is Operational Risk?

The Real Opportunity: Creating More Effective Companies.

Operational Risk and Market Perception: Franchise, Reputation, and Brand Risk.

The Enterprise–Wide Framework: Corporate Governance, Mandate, and Roles.

The Operational Risk Management Group.

Risk Response Framework and Strategies.

Risk Assessment Strategies.

Database and Consortia: Working Through the Details.

Risk Indicators and Scorecards: Cornerstones for Operational Risk Monitoring.

Operational Risk Analysis and Measurement: Practical Building Blocks.

Dynamic Risk Profiling and Monitoring.

Insurance and Operational Risks: Aligning Conventional Programs.

Operational Risk Finance: The Re–Engineering Process.

Economic Risk Capital Modeling: Allocation and Attribution.

Regulatory Capital and Supervision.

An Operational Risk Management Case Study: Managing Internet Banking Risk.

Operational Risk Technology and Systems.

The Game Plan and Action Steps.

Additional Readings.

Operational Risk Management: Bibliography of Sources.

Endnotes.

Index.

O autorze

DOUGLAS G. HOFFMAN is an independent consultant specializing in operational risk management. His firm, Operational Risk Advisors, assists financial institutions and corporate clients worldwide in operational risk assessment, analysis, and response, as well as in the design, development, enhancement, and review of risk capital models and risk finance and insurance programs. During his career as a Managing Director at Bankers Trust, and then as CEO of a Web–based technology firm, teams under his lead were credited as pioneers in developing some of the first operational risk–based capital models, databases, operational risk finance and insurance programs, and technology in the industry.

Blurb

Details of the 20 best management strategies for operational risk

"Finally, we have a comprehensive, practical tool for operational risk. This book covers all critical aspects of operational risk, from simply how to get started to the complex modeling of the risk. The case studies are especially useful."
–Mark Balfan
Senior Vice President and Group Head, Corporate Risk Management
Bank of Tokyo Mitsubishi

"Doug Hoffman was in the business of managing operational risk before most and it shows. His book is both comprehensive and to the point–a tough combination to achieve."
–Simon Wills
Director, British Bankers′ Association

"Operational risk has become a central issue in the management of enterprise risk and for capital adequacy standards for financial institutions. Doug Hoffman is among the very few pioneers in developing an understanding of operational risk, the discipline of operational risk management, and related capital attribution standards for economic and regulatory capital. This book will become a reference work for the financial services industry and financial regulators."
–George J. Vojta
Director, Financial Services Forum

"In a quickly evolving area, this book provides a balanced and thorough discussion of the variety of approaches a bank can use to establish a risk management and measurement system for operational risk. The book presents a solid conceptual analysis of the issues to consider, paired with practical guidance."
–Barbara Matthews
Banking Advisor and Regulatory Counsel, The Institute of International Finance, Inc.

Managing Operational Risk is the answer for executives and operational risk managers of financial firms who want to establish the best policies for bridling operational risk at a firmwide and enterprise–wide level. The techniques and practices presented here include:
∗ Dynamic risk monitoring and reporting–implement a continuum of data and risk tools for effective identification, assessment, mitigation, and finance
∗ Risk assessment, modeling, and risk–adjusted performance measures–calculate, monitor, and manage the effects of operational losses on firmwide and business unit levels
∗ Operational risk technology and systems–ensure program efficiency by leveraging technology in enterprise–wide data gathering
∗ Market perception–develop a plan and ongoing discipline for protecting corporate integrity and managing crises that may impact a firm′s reputation, brand, or franchise
∗ Insurance and risk finance programs–design, evaluate, and fine–tune insurance and developing financial programs for operational risks