Your Shopping Cart
By using this site you agree to our use of cookies. Please refer to our privacy policy for more information. Close
Hello. Sign In
Your Account

Log In to ComplianceOnline
Welcome back! Please log in below to continue.
0
Cart
Toll Free:
+1-888-717-2436
+1-888-717-2436
Industries
- Banking & Financial Services
- BANKING & FINANCIAL SERVICES
- Banks and Credit Unions
- Financial Services and Trading
- Insurance
- Accounting and Taxation
- Life Sciences
- Hitech, Aero & Manufacturing
- HITECH, AERO & MANUFACTURING
- Quality & Safety
- Standards and Methodology
- Energy & Utilities
- ENERGY & UTILITIES
- IT Security
- Reliability (NERC / FERC)
- Quality and Safety
- Risk Management
- CPG & Retail
- CPG & RETAIL
- Retail Audit
- Quality & Safety
- Social Compliance
- Healthcare
- Food & Dietary Supplements
- Cross Industry Functions
Webinars
By Industries
Seminars
Quality Control Laboratory Compliance - cGMPs and GLPs
Process Validation Guidance Requirements (FDA and EU Annex 15: ...
FDA Recalls - Before You Start, and After You Finish
Biostatistics for the Non-Statistician
Data Integrity: FDA/EU Requirements and Implementation
Managing Domestic and Foreign FDA Inspections and the ...
Recordkeeping and Documentation in a GLP Laboratory ...
Reduce costs for compliance with data integrity: 21 CFR Part 11 ...
Change Control Best Practices - Avoiding Unintended ...
Technical Writing for Pharma, Biotech and Medical Devices
Standards
Aerospace
Agriculture and Farm Machinery
Automotive, Aircraft & Marine technology
Banking, Corp. finance & Sox
Biotech & Pharmaceutical Standards
Chemical technology
Civil engineering and construction
Computer Hardware
Electrical Engineering
Electronic Equipment
ANSI
Audit Net
BIN
BPA
Business Basics
Complianceonline
IT Governance
LabCompliance
Quality-Control-Plan
RCGLOBAL
SHOQ Quality Assurance Manuals
SEPT
Home
› Best Practices
Australian Prudential Standard APS 115 Capital Adequacy: Advanced Measurement Approaches to Operational Risk – Overview and Summary of Requirements
- By: Staff Editor
- Date: November 25, 2011
Instituted in November 2007 under the Banking Act, the Australian Prudential Standard, APS 115 Capital Adequacy: Advanced Measurement Approaches to Operational Risk, gives the requirements that authorized deposit taking institutions must meet both at the time of initial implementation and on an ongoing basis for regulatory capital purposes.
Applicability
This Prudential Standard applies to authorized deposit taking institutions (ADI) that are seeking or have been given approval to use an advanced measurement approach (AMA) to operational risk for the purpose of determining regulatory capital.
What is an AMA?
An AMA is an advanced approach used to measure an ADI’s regulatory capital for operational risk that has been approved by the Australian Prudential Regulation Authority (APRA).
What is operational risk?
According to the Prudential Standard, operational risk is the risk of loss resulting from inadequate or failed internal processes, people and systems, from external events. Operational risk includes legal risk but not strategic and reputational risks.
The operational risk management framework is the organizational structures, processes and systems used in identifying, assessing, measuring, monitoring, controlling and mitigating operational risk.
Key Principles for Complying with this Standard
ADIs that receive approval from the APRA to use an AMA must:
- Have in place a robust operational risk management framework and a conceptually sound operational risk measurement system
- Hold regulatory capital proportionate with its exposure to operational risk.
Adopting the Advanced Management Approach
The APRA generally requires approved ADIs to apply the Advanced Management Approach or AMA across all business activities.
An ADI can use a combination of the AMA and the standardized approach to operational risk for measuring its ORRC (an approach referred to as partial use) in cases where an ADI:
- Moves from the standardized approach to operational risk
- Undertakes a new business activity
- Has acquired a new business through a merger or acquisition
- Has certain immaterial business activities
Summary & Overview of Requirements
Operational Risk Management Framework
|
|
Operational Risk Measurement System
|
An ADI’s operational risk measurement framework must be:
|
ORRC (Operational Risk Regulatory Capital)
|
|
Board of Directors and Senior Management
|
|
Documentation
|
The operational risk management framework should be documented comprehensively and in detail
|
Internal reporting
|
The ADI must implement a process of regular, internal monitoring of its operational risk profile
|
Independent review
|
The operation risk management framework must be reviewed independently during:
|
Additional Resources
Compliance Trainings

Pregnancy in the Workplace: Strategies to Protect Your Organization from Pregnancy Discrimination Claims
By - Christopher W. Olmsted
On Demand Access Anytime
By - Christopher W. Olmsted
On Demand Access Anytime

How to Vet an IRB: Expose and Fix Problems Before They Threaten Your Trial
By - Madhavi Diwanji
On Demand Access Anytime
By - Madhavi Diwanji
On Demand Access Anytime

Compliance Standards
Best Sellers
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
-
By: Miles HutchinsonAdd to CartPrice: $249
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
-
San Francisco, CA | Aug 6-7, 2020
-
Virtual Seminar | Jul 16-17, 2020
-
Virtual Seminar | Jun 18-19, 2020
-
Los Angeles, CA | Aug 20-21, 2020
-
Virtual Seminar | Jul 16-17, 2020
-
Virtual Seminar | Jun 25-26, 2020
-
Virtual Seminar | Jun 10, 2020
-
Virtual Seminar | Jun 3-4, 2020
-
Virtual Seminar | Jul 6-7, 2020
-
San Francisco, CA | Oct 22-23, 2020
-
Virtual Seminar | Jul 9-10, 2020
-
Virtual Seminar | Jun 3-4, 2020
-
Virtual Seminar | June 3-4, 2020
-
Miami, FL | Jul 29-31, 2020
-
Virtual Seminar | Jun 17, 2020
-
Provider: ANSIAdd to CartPrice: $142
- Add to Cart
- Add to Cart
- Add to Cart
-
Provider: ANSIAdd to CartPrice: $120
-
Provider: ANSIAdd to CartPrice: $250
-
Provider: SEPTAdd to CartPrice: $299
- Add to Cart
-
Provider: Quality-Control-PlanAdd to CartPrice: $37
- Add to Cart
-
Provider: At-PQCAdd to CartPrice: $397
- Add to Cart
- Add to Cart
- Add to Cart
- Add to Cart
You Recently Viewed
