Naslov
Operational Risk Management in Croatian Banks

Autori
Broz Tominac, Sanja ; Palijan, Ana

Vrsta, podvrsta i kategorija rada
Sažeci sa skupova, sažetak, znanstveni

Izvornik
15th EBES CONFERENCE -LISBON PROGRAM AND ABSTRACT BOOK / - Lisabon : EBES Publications, 2015

ISBN
978-605-64002-9-2

Skup
15th EBES CONFERENCE -LISBON

Mjesto i datum
Lisabon, Portugal, 08.01.2015. - 10.01.2015

Vrsta sudjelovanja
Ostalo

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
Bank; Operational Risk; Operational Risk Management; Indicators

Sažetak
The process of risk management is one of the fundamental programs for successful business in the modern economy, and due to the expansion and development of the market, higher importance is given to the operational risk. The banking system is exposed to various forms of risk such as credit risk, liquidity risk, interest rate risk, equity risk, foreign exchange risk and operational risk. Each banking institution can determine its own risk definition and define policies and programs to reduce it to the minimum, but it's important to point out that the bank must remain within the framework of an official definition, which specifies that the operational risk has possibility of negative effects on the business performance of the bank, as a result of inadequate or failed internal processes, people and systems, or from external events. Although the operational risk has been present from the very beginnings of the banking business, it wasn’t always considered important, neither some appropriate measurements for this type of risk, were required from the banks. The document Basel II put forth by the Basel Committee on Bank Supervision, which came into force on 31 December 2006 delineated the guidelines for management of operational risks and it’s measuring. The annual bank reports show how many capital requirements are intended for management of operational risk. Depending on specific criteria, for calculation of capital requirements, banks use a simple, standardized and/or advanced approach of calculation for initial capital requirements. The importance of operational risk management is the maximization of yield rate in banks for reaching better financial result of banking sector and thus the entire economy. In Republic of Croatia according to the data generated by Croatian national bank, most banks use standardized approach for calculation of capital requirements for operational risk. Conclusions for chosen banks are derived from data available on their websites.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA