What are the 7 risk categories?
There are five categories of operational risk: people risk, process risk, systems risk, external events risk, and legal and compliance risk.
What are risk categories?
Risk Categories Definition. Risk categories can be defined as the classification of risks as per the business activities of the organization and provides a structured overview of the underlying and potential risks faced by them. Most commonly used risk classifications include strategic, financial, operational, people, regulatory and finance.
What are the three types of external risks?
Economic factors, natural factors, and political factors are the three types of external risks. A risk breakdown structure, or RBS for short, is a hierarchical chart that breaks down project risks from higher-level categories to lower-level risk categories.
What are the Basel risk categories?
The Basel Risk Categories The Basel guidelines are the gold standard when it comes to identifying and managing operational risks. This is the reason why every organization tries to align its risk management practices with those recommended by the Bank of International Settlements. The guidelines provided are quite exhaustive.