Description
Risk management underscores the fact that the survival of an organization depends heavily on its capabilities to anticipate and prepare for the change rather than just waiting for the change and react to it.
Project Title
An exploratory study on
“Risk Management in Banking
Sector”
Submitted By
Mr. XXXXX XXXXXXX
MBA in Banking (Finance)
XXXXX University
!APT"R #
#$TR%&'T#%$
()( T!"M" %F T!" ST'&*
Risk management underscores the fact that the survival of an organization
depends heavily on its capabilities to anticipate and prepare for the change
rather than just aiting for the change and react to it. !he objective of risk
management is not to prohibit or prevent risk taking activity" but to ensure
that the risks are consciously taken ith full knoledge" purpose and clear
understanding so that it can be measured and mitigated. #t also prevents an
institution from su$ering unacceptable loss causing an institution to su$er or
materially damage its competitive position. %unctions of risk management
should actually be bank speci&c dictated by the size and 'uality of balance
sheet" complexity of functions" technical( professional manpoer and the
status of M#) in place in that bank.
()+ #$TR%&'T#%$
Risk, the meaning of *Risk+ as per ,ebster+s comprehensive dictionary is -a
chance of encountering harm or loss" hazard" danger. or -to expose to a
chance of injury or loss.. !hus" something that has potential to cause harm
or loss to one or more planned objectives is called Risk.
!he ord risk is derived from an #talian ord -Risicare. hich means -!o
/are.. #t is an expression of danger of an adverse deviation in the actual
result from any expected result.
0anks for #nternational )ettlement 10#)2 has de&ned it as3 -Risk is the threat
that an event or action ill adversely a$ect an organization+s ability to
achieve its objectives and successfully execute its strategies..
Risk Management, Risk Management is a planned method of dealing ith
the potential loss or damage. #t is an ongoing process of risk appraisal
through various methods and tools hich continuously
• Assess hat could go rong
• /etermine hich risks are important to deal ith
• #mplement strategies to deal ith those risks
()- ST'&* PR%B."M
0asel ## norms came as an attempt to reduce the gap in point of vies
beteen con4ict practices. !herefore" the implementation of those
resolutions emerged by the banks. Regarding this issue the survey has been
made.
)tudy problem can be stated as follos5
To /0at e1tent banks 0a2e im3lemented Basel ## norms related to
en0ancing internal control in t0e banks4
()5 %B6"T#7"S
? 6overing di$erent aspects of risk assessment
? #dentifying keys for e$ective risk management
? !o understand the challenges and impact of #mplementing 0asel ##
? !o analyze the current progress of 0asel ## in 7ubli.
()8 M"T!%&%.%9*
? 8iterature Revie
? /ata collection
? 9rimary information5 9ersonal intervie( :uestionnaire
? )econdary information5 !hrough internet" Manuals" ;ournals"
Audit(Annual reports
? !he 0ene&ts and limitation of 0asel ##
? !he 6hallenges of #mplementing 0asel ##
? #mpact of 0asel ##
? Research method
? %indings and suggestions
? 6onclusion
!APT"R ##
.#TR"T'R" R"7#":
+)( #$TR%&'T#%$
Basel # Accord, !he 0asel 6ommittee on 0anking )upervision" hich came
into existence in ?" volunteered to develop a frameork for sound
banking practices internationally. #n
Risk management underscores the fact that the survival of an organization depends heavily on its capabilities to anticipate and prepare for the change rather than just waiting for the change and react to it.
Project Title
An exploratory study on
“Risk Management in Banking
Sector”
Submitted By
Mr. XXXXX XXXXXXX
MBA in Banking (Finance)
XXXXX University
!APT"R #
#$TR%&'T#%$
()( T!"M" %F T!" ST'&*
Risk management underscores the fact that the survival of an organization
depends heavily on its capabilities to anticipate and prepare for the change
rather than just aiting for the change and react to it. !he objective of risk
management is not to prohibit or prevent risk taking activity" but to ensure
that the risks are consciously taken ith full knoledge" purpose and clear
understanding so that it can be measured and mitigated. #t also prevents an
institution from su$ering unacceptable loss causing an institution to su$er or
materially damage its competitive position. %unctions of risk management
should actually be bank speci&c dictated by the size and 'uality of balance
sheet" complexity of functions" technical( professional manpoer and the
status of M#) in place in that bank.
()+ #$TR%&'T#%$
Risk, the meaning of *Risk+ as per ,ebster+s comprehensive dictionary is -a
chance of encountering harm or loss" hazard" danger. or -to expose to a
chance of injury or loss.. !hus" something that has potential to cause harm
or loss to one or more planned objectives is called Risk.
!he ord risk is derived from an #talian ord -Risicare. hich means -!o
/are.. #t is an expression of danger of an adverse deviation in the actual
result from any expected result.
0anks for #nternational )ettlement 10#)2 has de&ned it as3 -Risk is the threat
that an event or action ill adversely a$ect an organization+s ability to
achieve its objectives and successfully execute its strategies..
Risk Management, Risk Management is a planned method of dealing ith
the potential loss or damage. #t is an ongoing process of risk appraisal
through various methods and tools hich continuously
• Assess hat could go rong
• /etermine hich risks are important to deal ith
• #mplement strategies to deal ith those risks
()- ST'&* PR%B."M
0asel ## norms came as an attempt to reduce the gap in point of vies
beteen con4ict practices. !herefore" the implementation of those
resolutions emerged by the banks. Regarding this issue the survey has been
made.
)tudy problem can be stated as follos5
To /0at e1tent banks 0a2e im3lemented Basel ## norms related to
en0ancing internal control in t0e banks4
()5 %B6"T#7"S
? 6overing di$erent aspects of risk assessment
? #dentifying keys for e$ective risk management
? !o understand the challenges and impact of #mplementing 0asel ##
? !o analyze the current progress of 0asel ## in 7ubli.
()8 M"T!%&%.%9*
? 8iterature Revie
? /ata collection
? 9rimary information5 9ersonal intervie( :uestionnaire
? )econdary information5 !hrough internet" Manuals" ;ournals"
Audit(Annual reports
? !he 0ene&ts and limitation of 0asel ##
? !he 6hallenges of #mplementing 0asel ##
? #mpact of 0asel ##
? Research method
? %indings and suggestions
? 6onclusion
!APT"R ##
.#TR"T'R" R"7#":
+)( #$TR%&'T#%$
Basel # Accord, !he 0asel 6ommittee on 0anking )upervision" hich came
into existence in ?" volunteered to develop a frameork for sound
banking practices internationally. #n