Course Introduction
Learn operational risk management and its importance in overall risk frameworks. Identify, assess, and mitigate risks related to processes, systems, and human error, while developing a framework that includes incident reporting and risk controls.
Course Objectives:
- Understand the principles of operational risk management and its role in the overall risk framework of an organization.
- Learn how to identify, assess, and prioritize operational risks that can impact business processes.
- Develop skills to implement an operational risk management framework, focusing on risk identification, control, and mitigation strategies.
- Explore the role of technology, data, and analytics in monitoring operational risks.
- Learn how to create and implement risk control measures to prevent or mitigate operational losses.
- Understand the importance of incident reporting, root cause analysis, and risk monitoring in managing operational risks.
- Master the process of developing Key Risk Indicators (KRIs) to track operational risks.
- Understand the regulatory requirements and industry best practices related to operational risk management.
Who Should Attend?
This Risk Management Course would be best suited for:
- Risk Management Professionals – Executive Managers, Change Management staff, Organizational Development staff, Business Process Re-engineering consultants, human resources personnel and public servants who want to deepen their expertise in this specific issue
- All individuals whose responsibilities include the implementation of risk management plans especially for the improvement of broader organizational strategic objectives
Course Outline:
Introduction to Operational Risk Management (ORM):
- Definition and importance of operational risk management in an organization.
- Key ORM frameworks and standards (e.g., Basel III, ISO 31000).
Operational Risk Identification and Assessment:
- Identifying risks related to processes, systems, human error, and external events.
- Assessing operational risks based on likelihood and potential impact.
- Developing a risk register for operational risks.
Developing an Operational Risk Management Framework:
- Key components of an operational risk framework.
- Aligning operational risk management with the organization’s overall risk strategy.
- Roles and responsibilities in operational risk management.
Risk Control and Mitigation:
- Implementing controls to mitigate identified operational risks.
- Developing contingency plans for operational failures.
- Risk transfer strategies (e.g., insurance) and outsourcing risk management.
Incident Reporting and Root Cause Analysis:
- Setting up incident reporting systems and analyzing operational risk events.
- Using root cause analysis to prevent future operational failures.
Monitoring and Reporting Operational Risks:
- Developing Key Risk Indicators (KRIs) to monitor operational risks.
- Reporting operational risks to stakeholders and senior management.
Role of Technology in ORM:
- Leveraging technology and data analytics for real-time monitoring of operational risks.
- Implementing risk management software and automation tools.
Regulatory Requirements and Best Practices:
- Understanding the regulatory obligations for operational risk management (e.g., Basel III).
- Best practices for embedding operational risk management into day-to-day operations.
Case Studies and Real-World Applications:
- Examples of operational risk events and lessons learned from risk management failures.
- Case studies highlighting successful implementation of ORM frameworks.