Question
Customer service in a bank branch has been disrupted for
2 hours, due to failure of the central server. What type of risk is this?Solution
Operational Risk: Defined as per Basel committee as the risk of loss (direct loss) resulting from inadequate or failed internal processes, people and systems or from external events. The events under operational risk leading to losses could include: 1.   Internal fraud, 2.   External fraud, 3.   Employment practices and workplace safety, 4.   clients, products and business practices, 5.   Damage to physical assets, 6.   Business disruption and system failures, 7.   Execution, delivery and process management
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