English
Početna
FacebookTwitterGoogle Bookmarks

Najnoviji broj

Management 81
ISSN 1820-0222
ISSN 2406-0658 (Online)
Operational Risk Management in Financial Institutions

 

UDK: 005.334:336.71/.73

DOI: 10.7595/management.fon.2013.0004

 

The current economic crisis and a great number of individual examples indicates that the cumulative operational risks in the financial industry cause domino effects, which can lead financial institutions to the zone of extreme losses, or even to bankruptcy. Furthermore, operational risks are heterogeneous and very complex and can generate disproportionately high losses, since they interact with other risks (multiplying their effects). In the conditions of the global financial crisis, operational risk becomes a dominant risk. Additionally, the cumulative operational risks can act independently or supplementary as the cause of crisis in the financial system. This has been proved during the last couple of decades both in Serbia and in the broader area of the Central and Southeast Europe. The experience so far has confirmed that current statistical and mathematical methods for measuring VaR have not yielded the expected results, especially from the aspect of valid and precise risk assessment. Internal and external events that initiate operational risks are very specific and unpredictable. That is why VaR has to be adjusted, although it is a standard risk measure in the deposit financial institutions. Accordingly, the paper provides the alternative solutions for the projected risk models in order to calculate the events of low or middle value, i.e., to envisage the probabilities for the external events in order to absorb, or to efficiently manage the risks.

Keywords: Operational risk, financial crisis, loss, heterogeneousness, volatility, model risk, moral hazard

 

Dejan Jednak1, Jovo Jednak2

1Privredna banka Beograd a.d., Beograd

2Belgrade Business School, Belgrade

 

Download article: Operational Risk Management in Financial Institutions

 

Dodaj komentar

Sigurnosni kod
Osveži

Prihvaćeni radovi

Prihvaćeni neobjavljeni radovi

Vesti

Broj 81
sreda, 01 mart 2017
Izdanje broj 81, časopisa za teoriju i praksu menadžmenta - "Management", je objavljeno i može se preuzeti sa našeg sajta u rubrici 'Pregled brojeva'. Izdanje je objavljeno samo u engleskoj verziji.
Broj 80
sreda, 23 novembar 2016
Izdanje broj 80, časopisa za teoriju i praksu menadžmenta - "Management", je objavljeno i može se preuzeti sa našeg sajta u rubrici 'Pregled brojeva'.
Broj 79
petak, 02 septembar 2016
Izdanje broj 79, časopisa za teoriju i praksu menadžmenta - "Management", je objavljeno. Članci od kojih se sadrži mogu se preuzeti sa našeg sajta u rubrici 'Pregled brojeva'.
Broj 78
petak, 20 maj 2016
Izdanje broj 78, časopisa za teoriju i praksu menadžmenta - "Management", je objavljeno. Članci od kojih se sadrži mogu se preuzeti sa našeg sajta u rubrici 'Pregled brojeva'.
Broj 77
sreda, 24 februar 2016
Izdanje broj 77, časopisa za teoriju i praksu menadžmenta - "Management", je objavljeno. Članci od kojih se sadrži mogu se preuzeti sa našeg sajta u rubrici 'Pregled brojeva'.
Copyright © 2011 - Management - Časopis za teoriju i praksu menadžmenta