The FSA has published a document entitled Operational Risk Management Practices - Feedback from a thematic review (the Report). The Report sets out the FSA’s findings from a survey of 30 firms that it undertook during the second half of 2006 and the first quarter of 2007. The Report seeks to raise industry awareness and is not FSA guidance. The FSA wants to help firms’ senior management and staff involved in operational risk management to compare their practices and assess their readiness to meet FSA requirements.

The main findings of the thematic review were that:

  • Firms of all sizes have a much more mature operational risk framework than they had in 2005.
  • The FSA found that some firms that were intending to implement the Standardised Approach had much work to do. Most of this work was needed in:
  • Better analysis and reporting of the information they were collecting.
  • Providing appropriate training.
  • Embedding operational risk policies and their chosen methodology.

View Operational Risk Management Practices - Feedback from a thematic review, (PDF 217KB), 30 October 2007