What are the 4 main types of operational risk?
There are five categories of operational risk: people risk, process risk, systems risk, external events risk, and legal and compliance risk.
What are the 7 Basel categories?
Theft and Fraud Fraud / credit fraud / worthless deposits Theft / extortion / embezzlement / robbery Misappropriation of assets Malicious destruction of assets Forgery Check kiting Smuggling Account take-over / impersonation / etc.
Which of the following types of risk is included in the Basel Committee on Banking Supervision’s widely adopted definition of operational risk?
The Basel Committee defines operational risk in Basel II and Basel III as: The risk of loss resulting from inadequate or failed internal processes, people and systems or from external events. This definition includes legal risk, but excludes strategic and reputational risk.
What are the main types of categories of risks for your project?
There are four main types of project risks: technical, external, organizational, and project management. Within those four types are several more specific examples of risk.
What are examples of operational risks?
What Are Examples of Operational Risk?
- Employee conduct and employee error.
- Breach of private data resulting from cybersecurity attacks.
- Technology risks tied to automation, robotics, and artificial intelligence.
- Business processes and controls.
- Physical events that can disrupt a business, such as natural catastrophes.
What are the seven event types of operational risk?
Here are the seven categories of operational risk laid out in Basel II:
- Internal fraud.
- External fraud.
- Employment practices and workplace safety.
- Clients, products and business practice.
- Damage to physical assets.
- Business disruption and systems failures.
- Execution, delivery and process management.
What are strategic risks examples?
Strategic risk examples
- Strategic decisions that are unclear or poorly made.
- Changes in senior management and leadership.
- The introduction of new products or services.
- Mergers and acquisitions which prove unsuccessful.
- Market or industry changes, such as a shift in the needs or expectations of customers.