Vol: 3, Issue: 2 2013

Page: 65-72

Risk Profiling and Generation of Solutions in Banks

Imran Ahmad

Risk profiling is a more elaborate task. It involves working on the risk return profiles based on probability of occurrence and impact it will have on the organisation. Generation of solutions Based on risk profiling, solutions are generated. The solutions may be:- 1) Risk Avoidance 2) Risk Transfer 3) Risk Acceptance Monitoring and updating Monitoring and updating are continuous processes. Once again, when the factors affecting the risk profile of an organisation are identified and well communicated internally, the process of monitoring becomes a very smooth task. A well oiled machinery of information flows and reporting, which is the responsibility of the top management, is critical to the task.