OPERATIONAL RISK MANAGEMENT：操作风险管理.doc

The data analysis and interpretation in not present in the report. Findings suggestions and conclusions are not appropriate. all the three should be modified or re written. all the three should be in bullet points OPERATIONAL RISK MANAGEMENT AT STATE BANK OF HYDERABAD  TEXT FONT SIZE IN WHOLE REPORT SHOULD BE 12. SIDEHEADING AND HEADINGS FONT SIZE SHOULD BE 12. MAIN HEADINGS SIZE SHOULD BE 14. FONT OF COMPLETE REPORT SHOULD BE TIMES NEW ROMAN ABSTRACT Financial institutions are in the business of risk management and reallocation.Growing number of high-profile operational loss events worldwide have led banks and supervisors to increasingly view operational risk management as an inclusive discipline. Management of specific operational risks is not a new practice; it has always been important for banks to try to prevent fraud, maintain the integrity of internal controls, reduce errors in transaction processing, and so on. However, what is relatively new is the view of operational risk management as a comprehensive practice comparable to the management of credit and market risk. Management of operational risk is taken to mean the identification, assessment, monitoring and control / mitigation of this risk. The guidelines for management of Operational risk were issued by RBI based on the Basel – II accord. The banks are expected to know its exposure to Operational risks. The Basel Committee has put forward a framework for management and computation of capital charge. Three options are provided for calculating operational risk capital charges. These are in a ‘continuum’ of increasing sophistication and risk sensitivity and in the order of their increasing complexity, viz., (i) the Basic Indicator Approach (ii) the Standardised Approach and (iii) Advanced Measurement Approaches. The project studies the risk management methods adopted by State Ba