
156 Operational Risk Control
Sometimes compromises are necessary because, in the general case, one of the
design criteria is availability of skills, data, and financial resources to do the
required job. While money would not buy a solution, lack of money may inhibit
developing one. Finally, due attention has to be paid to expandability. Credit
institutions deal with almost steady change in their volume of transactions, nature
of business, and losses from operational risks associated to both of them. A
flexible model is the best approach, and senior management must look after this
issue of flexibility.
7.6 Databasing and datamining information on operational ...