System and method for creating risk profiles for use in managing operational risk

A computer-based method for creating a risk profile for a business unit of an enterprise for managing operational risk, comprising:

• assessing a plurality of functional risk areas for a business unit of an enterprise;
• determining a control environment rating for one or more of the plurality of assessed functional risk areas responsive to the assessment of the one or more functional risk areas;
• and
• determining a residual risk rating for one or more of the plurality of assessed functional risk areas responsive to the assessment of the one or more functional risk areas.

A computer readable medium containing a computer software for creating a risk profile for a business unit of an enterprise, the computer software comprising program instructions that:

• assess a plurality of first level operational loss event types for a business unit of an enterprise;
• determine a first control environment rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types;
• and
• determine a first residual risk rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types.

A computer based system for creating a risk profile for a business unit of an enterprise, comprising:

• a first user interface for assessing a plurality of first level operational loss event types for a business unit of an enterprise;
• a second user interface for determining a first control environment rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types;
• a third user interface for determining a first residual risk rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types;
• and
• a database for storing the first control environment rating information and the first residual environment rating information.

A user interface for creating a risk profile for a business unit of an enterprise, comprising:

• a first area for assessing a plurality of first level operational loss event types for a business unit of an enterprise;
• a second area for determining a first control environment rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types;
• and
• a third area for determining a first residual risk rating for one or more of the plurality of assessed first level operational loss event types responsive to the assessment of the one or more first level operational loss event types.