Tag Archives : Basel II

Is human resource risk underestimated?

Basel II defines operational risk as the risk of loss resulting from inadequate or failed processes, people and systems or from external events. This definition includes legal risk but excludes strategic and reputational risk.

The operational risk concept embraces many different elements and dimensions. Risks attached to systems and processes are tangible, easier to quantify and easier to attach a risk owner with accountability and authority to manage these risks. Continue reading