... If you don't accept failure as a possibility, you don't set high goals, you don't branch out, you don't try - you don't take the risk ... |
Module
Quantification
This module is a key component to completing the overall risk management framework: embedded into the core application, this module directly draws relevant data from all modules, using no 3rd-party/external programs, no interfaces or data transformations whatsoever.
Collected data and/or risk estimations captured via assessments are the basis for the calculation of loss distributions. Full support is given for Basel AMA measures. Users can estimate adequate distribution functions and risk measures (VaR) for the regulatory combinations of business lines and event types or for structures defined internally.
Support is also given for definition of a standardized procedure to extend the internal database with external or consortium data, with sparse or a lack of data being enriched via expert estimation. Results from the supervision of Key Risk Indicators or of Assessments can be used as conditioning information.