The process of managing operational risk as an 'innovative' bank risk type: a case study from Bosnia and Herzegovina
by Emira Kozarevic; Safet Kozarevic
International Journal of Financial Innovation in Banking (IJFIB), Vol. 1, No. 1/2, 2016

Abstract: Despite the fact that operational risks are as old as banks, operational risk management has become one of the new challenges for bank management since they face the new capital accord (i.e., Basel II). Basel II 'opened the door' to operational risks and proposed specific rules for operational risk management, including approaches for evaluation of these risks as well as calculation the level of the required capital. Hence, this can be viewed as an 'innovative' bank risk type and, in the paper, we discuss specificities of managing of operational risks with a focus on the banking sector of Bosnia and Herzegovina. Operational risks depend on the level of market development (emerging or developed). Since they are higher in emerging markets (such as Bosnia and Herzegovina), investment in decision support systems should aim to reduce operational risks exposure.

Online publication date: Tue, 17-May-2016

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Financial Innovation in Banking (IJFIB):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com