After the financial crisis, risk management is more important than ever. With this new online course, you will get a solid foundation and in-depth knowledge of Operational Risk Management. You will learn how to set an implement a risk management strategy, what the main drivers of risk management are, and how to make sure that you spread and manage your risks most effectively. This course takes a hands-on approach and gives you knowledge you can apply on a daily basis.
This detailed set of e-learning courses will help you understand all aspects of Operational Risk Management including methodologies, how to mitigate risk, measuring and managing operational risk. You will also learn about risk modeling, legal and regulatory risks, emerging challenges and systems and software tools for proper risk management.
Send us a quick email to try out our Operational Risk Management courses and get a free trial.
Operational Risk Management (21 modules)
Learning time per module: 2 - 3 hours
1. Introduction to Operational Risk Management
- Defining operational risk
- Significance of operational risk
- Operational risk management programs
- Addressing operational risk
- Measuring and modeling operational risk
2. Basic Concepts
- Loss events
- Risk Factors, loss types and event/ factor controllability
- Dependencies between Risk Factors and Events
- Attribution of Loss
3. Regulatory Treatment of Operational Risk under Basel II
- Introduction, Definitions and data issues
- Measurement Methodologies
- Role of Pillars 2 and 3
- Sound Practices
4. Operational Risk in Various Banking Sectors
- Introduction and Spectrum of Risks
- Accounting policies, costing and pricing models
- Private banking sector
5. Operational Risk in insurance
- Risks exclusive to insurance and Regulatory Issues
- Alternative Risk Transfer and Finite Risk Captives
- Captives
6. Developing objectives and identifying risks
- Risk Management Agenda
- Risk Management Targets
- Risk Management Organization and Policies
- Benchmarking Internal Processes and Resources
- Identifying Process and Resource Risks
- Identifying Risk Factors
- Identifying and Categorizing Loss Events
7. Estimating potential losses – Data
- Challenges to Operational Risk analysis
- General measurement techniques
- Historical analysis
- Subjective risk assessment
8. Estimating potential losses – Loss distributions
- Overview of probability distributions
- Building a distribution
- Probability distributions
- Estimating risk factors
- Choosing an event distribution
- Operational Risk database
9. Analyzing risks
- Aggregating risks
- Monte Carlo loss simulation
- Risk management alternatives
- Analyzing loss events
- Analyzing risky processes and resources
- Analyzing risk factors
10. Loss prediction and prevention
- Loss prediction
- Loss prevention
- Process reengineering and work restructuring
- Product redesign and automation
- Human factors engineering
- ERP and reliability maintenance
11. Loss control
- Diagnostic controls and Inventory management
- Redundant systems and boundary systems
- Computer security and physical security management
- Internal and external audit
12. Loss reduction and risk avoidance
- Legal risk reduction and loss isolation
- Contingency Planning
- Crisis Management
- Risk avoidance
- Quality management
- Human resources management
- Organizational design, Culture and relationship management
13. Risk financing
- Financial restructuring
- Asset-Liability Management
- Corporate diversification
- Insurance
- Self-Insurance
- Hedging using derivatives
- Contractual risk transfer
14. Measurement framework
- Operational Risk Management cycle
- Framework criteria and assumptions
- Current framework approaches
- Measurement process for ORM
- Delta and EVT methodologies
15. Operational Risk Management in practice
- Learning and response loops
- Guidelines for effective reporting
- Event reports and Operational profiles
- Risk reports
- Evaluating and updating the risk model
- Implementing bank-wide ORM
16. Enterprise-wide Risk Management (ERM)
- Role of technology
- Enterprise-wide risk information systems
- Challenges to ERM
- Project Management for ERM systems
17. Basic and causal models
- Operational Risk Management (ORM) model
- Top-down risk models
- Bottom-up risk models
- Selecting a risk model
- Causal models
18. Legal risk and taxation rules
- Contract enforcement
- Board of directors and shareholder activism
- Management responsibility for legal risk
- Transparency and collateral
- Shifting ground in international taxation
19. E-banking
- Operational risks associated with Electronic Banking
- Security risk
- Systems design, implementation, and maintenance flaws
- Customer misuse of products and services
20. Systems and software tools
- Framework/Components of an operational risk system
- Operational risk software
- AMELIA
- MICROBANK
- Relex software
- ALGORITHMICS
21. Barings Case study
- How the massive losses were incurred
- Lessons to be drawn from the incident
Bonus: Technical Calculators in your Operational Risk Management course
1. Probability Distributions
2. Capital Charge Under the Basic Indicator Approach
3. Capital Charge Under the Standardized Approach
4. Internal Measurement Approach
This course is part of Vast Talent's risk management training library, which includes detailed courses in operational risk management, credit risk, market risk, liquidity risk and more.
Of course, we also offer risk management certifications training for the FRM, PRM and Associate PRM to boost your career in risk management.
