Anonymous shelf assessment
Operational Risk: Measurement and Modelling
Shelf score 7.5 / 10
On Operational Risk: Measurement and Modelling · Jack L. King · John Wiley & Sons
Published 4 July 2026
Foundational Wiley text on measuring and modelling operational risk.
Overview
This work addresses the measurement and modelling of operational risk, a critical component of risk management for financial institutions. It introduces Delta-EVT and Bayesian network causal models, providing a comprehensive framework for understanding and mitigating operational risk. The text combines theoretical insights with practical applications, offering step-by-step descriptions and real-world examples to enhance understanding.
As operational risk gains recognition as a significant source of financial waste, this book serves as a foundational resource for risk managers and students alike. It aims to establish a shared framework and set of definitions that can be applied across various sectors, particularly within the financial industry.
By area & interest
Measurement Techniques
The book introduces Delta-EVT, a novel technique that integrates existing methods for complete operational risk loss measurement.
Bayesian Networks
It covers the construction of causal models using Bayesian networks, providing a structured approach to understanding risk factors.
Practical Applications
Real-world examples and comprehensive procedures are included to facilitate the application of theoretical concepts in practical scenarios.
Historical Context
The text offers background information on the history and motivation for addressing operational risk, enriching the reader's understanding of its significance.
Basis of this assessment
The assessment is based on catalogue information and Google Books description.
Strengths
The book provides a thorough exploration of operational risk measurement techniques and practical applications, making it a valuable resource for both theoretical and applied perspectives.
Limitations
The publication is focused on foundational concepts and may not cover the latest developments in operational risk management since its release in 2001.
Ideal reader
This text is ideal for risk managers and students seeking a foundational understanding of operational risk measurement and modelling techniques.