
152 Operational Risk Control
The reader will remember that the standard approach outlines eight business lines
and seven operational risk event types. An analytical internal operational risk
measurement model should do better than that. It might take, for instance, twenty or
more business channels and a dozen or more op risk event types. This shows that IMA
is not a standard approach under a different name, but one that has built-in greater
flexibility and can be adapted to the business lines and operational risks faced by a
specific bank.
There are, however, shortcomings associated to the internal measurement
approach, which mean that IMA is not so ...