Fundamentals of Operational Risk Management

Threats and disruptions to the operations of any organisation can have major consequences. From IT disruptions, cyberattacks, and third-party issues to serious fraud, conduct risks, and geopolitical challenges, there are numerous issues that can impact the success of an organisation.

Understanding the key principles of an effective operational risk management programme allows organisations to protect themselves from this growing number of threats. Fundamentals of Operational Risk Management outlines how to implement an operational risk management framework which is embedded in day-to-day business activities for established risk professionals. Covering how to understand an organisation's existing risk appetite and risk culture to the key tools for managing operational risks such as categorisation, risk and control self-assessment, and scenario analysis, this book provides a step-by-step guide to improving operational risk management.

This new edition brings new coverage of emerging operational risks related to AI, ESG, extended enterprise, and supply chains. It also includes a new chapter that shows an organisation how to manage the impact that geopolitical risks can have on their operations. With global real-world examples of major operational risk events across different industries, this book shows the important role that operational risk management can play in an organisation's success.