RSK4801 Assignment 1

1862 Words Aug 23rd, 2014 8 Pages
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Assignment 01
Operational Risk Management

RSK 4801

Department of Finance, Risk Management and Banking
This tutorial letter contains important information about your module.

You have been appointed since the beginning of January as the Operational Risk Manager for
Benchmark Bank. In your first discussion with the Chief Risk Officer (CRO), she raised a concern that the risks are not properly classified by the business units and that she is uncomfortable with the accuracy of the loss reporting.

The CRO specifically requested you to analyse the reported losses and where necessary, correct the information to reflect the losses more accurately for the annual report. You obtained the current
Loss Register and noticed that
…show more content…
okwane branch Operational risk,
People

5

Staff fraud

Operational risk,
People

Fraudulent payment by staff member Cash centre

Operational risk,
People

BA 800 submitted incorrectly Operational risk,
People

Teller difference

Operational risk,
People

Teller difference

Operational risk,
People

Stolen cheque book Bob
Mugabe
Loaded incorrect
ATM fee increases for July
- EXCO decided not to backdate increases for sensitivity to reputational risk
Staff fraud

Operational risk,
External

Operational risk,
External
Operational risk,
People

Operational risk,
People

Lost guarantee P
Pompies
BA 800 submitted incorrectly (Jun)

6

Operational risk,
Process
Operational risk,
People

RSK4801
Irrecoverable
losses due to not follow up of excess reports
Bad debt written off: JMM
Construction
Bad debt written off: BC
Construction
Supplies
Access payment for motor car accident claim
Access payment for motor car accident claim
Access payment for motor car accident claim
Late registration of bonds due to strike penalties/interest claims to customers Staff fraud

Operational risk,
People

Credit risk

Credit risk

Operational risk,
People
Operational risk,
People
Operational risk,
People
Operational risk,
People

Operational risk,
People

Staff fraud

Operational risk,
People

Teller difference

Operational risk,
People

7

Teller difference

Operational risk,
People

Interest claim by client because of bad service
(customer not informed of change in interest rates)
Commodities

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