We use a simple illustrative example to show how Key Risk Indicators (KRI) and Loss Events can be used to estimate operational risk capital associated with a given risk. RCSA results. Computer failure: – Our RCSA exercise has determined a number of Key Risk Indicators (KRI).
RCSA RCSA (Risk Control Self Assessment) is an empowering method/process by which management and staff of all levels collectively identify and evaluate risks and associated controls. It is a technique that adds value by increasing an operating unit’s involvement in designing and maintaining control and
Operational Risk Operational Risk (OR) is the risk of direct and indirect loss resulting from inadequate or failed internal processes, people and systems or from external events. This definition includes legal risk but excludes reputational and strategic risks. According to the Basel II accord, a
Farewell, Sabeen. I think she had the most fun today. Sabeen Mahmud, a fluent speaker of colloquial French in many languages, would have had a field day with words. Starting off with “the bastards never showed up in such large numbers when I was alive”.
You made me cry, Sabeen Mahmud. Karachi is an insane city. A true Karachiite can never live anywhere else. A visitor can never understand why that is so. The fascination is irrational and does not compute. Some think it is an asylum gone wild, others