Fundamentals of Operational Risk Management: Understanding and Implementing Effective Tools, Policies and Frameworks

by Simon Ashby

Overview

Discover the key to building an operational risk management framework that protects your organization from increasing operational threats and losses.

Product Details

ISBN-13:	9781398622906
Publisher:	Kogan Page, Ltd.
Publication date:	12/30/2025
Edition description:	2nd ed.
Pages:	360
Product dimensions:	6.69(w) x 9.45(h) x 0.59(d)

About the Author

Simon Ashby has been an academic, a financial regulator and a senior operational risk manager in several UK financial institutions. He is currently a visiting professor at Vlerick Business School (Belgium), Bayes Business School (UK) and Exeter Business School (UK). He is a Fellow and former Chair of the Institute of Operational Risk. He is based in Plymouth, UK.

The IRM is a world leading professional body for risk management, driving excellence in managing risk to ensure organizations are ready for opportunities and threats of the future.

Table of Contents

** Chapter — 01: Understanding operational risk — Key concepts and management objectives; ** Chapter — 02: Embedding operational risk management; ** Chapter — 03: Categorizing operational risks; ** Chapter — 04: Risk culture; ** Chapter — 05: Risk appetite; ** Chapter — 06: Operational risk governance; ** Chapter — 07: Risk and control self—assessments; ** Chapter — 08: Operational loss events; ** Chapter — 09: Operational risk indicators; ** Chapter — 10: Scenario analysis and stress testing; ** Chapter — 11: Organizational resilience; ** Chapter — 12: Regulating operational risk

Editorial Reviews

"Managing operational risk is essential in this age of increasing uncertainty and complexity. Written by an authoritative expert in the field, this book provides clarity and practical insight, delivering a comprehensive and accessible framework for the management of operational risk. For both risk managers and those newer to the profession, the book is an essential guide to safeguarding operational integrity and driving strategic value through risk—aware decision—making. It should be an important resource for anyone serious about enhancing their risk practice."

Patrick J Ring

"Simon Ashby has managed to achieve the almost unthinkable: making an already great book even better. His usual brilliant combination of academic rigor and personal in—depth experience with operational risk management makes this book both insightful and fun to read. Adding the very current topic of geopolitical risks together with even more up—to—date real—world examples significantly adds to the book's appeal."

Thomas Kaiser

"This is a practical book, aptly illustrated by practical risk management practices around the world. As a former risk practitioner with a Big 4, my immediate sense is that this book can only have been written by someone who has gone through the trenches of operational risk management."

Petrus Gimbad

"It is becoming more and more clear that operational risk models are of limited use, while taking behavioural elements into account in risk culture, governance etc. is of tremendous importance. This book sets absolutely the right focus — and numerous case studies confirm that Simon is not just a seasoned academic, but very familiar with the important details of practical implementation as well. Really worthwhile reading!"

Professor Kaiser Risk Management Consulting & Goet Prof. Dr. Thomas Kaiser

"This is an excellent book, serving as an effective pragmatic tool for risk practitioners working in all three lines across the world, as well as a good guide for the academics in operational risk."

Dominic Wu

"The book is a well—structured and comprehensive guide for both practicing risk professionals and also for new learners who are aspiring to step into the operational risk management arena. There are ample real—world examples in the book that aids to put the theory to practice easily."

Nandini Devarajan

"This book is for both academic purposes and for business practices with real—world examples that everyone can learn from."

Miranti Gani

"Simon Ashby presents a very well structured, research—based and informative guide to operational risk management. This excellent book covers every key topic, from embedding risk culture to conducting scenario analysis. A remarkably rewarding source for practitioners."

Elena Pykhova

"Simon Ashby is very well placed through his long association with the Institute of Operational Risk to write what will prove to be the definitive book on operational risk. He challenges us to expand our understanding of operational risk to encompass 'unpredictable outcomes of the efficiency and effectiveness of operations.' Using a series of compelling case studies, he brings the subject alive. It is sobering to see how many of the selected case studies had underlying cultural drivers. I found the section on risk culture particularly practical in its insights to monitoring and taking action. The approach to operational risk event data establishes the benefits of learning from past events and ensuring recurrence is prevented, which surely is the essence of any robust approach to operational risk."

Alex Hindson