Firms seek to improve use of key risk indicators
KRIs are useful tools, say risk managers, but can also be a source of frustration
Many financial firms are trying to improve the way they use key risk indicators (KRIs), including by moving towards more predictive KRIs and trying to improve data availability, say practitioners. However, there remains a lot of work to be done.
"Just because you can think of some very interesting risk indicators, it doesn't mean your data will support it," says Niels Kaas, head of operational risk strategy, methodology and regulation at Nordea. "Or, if the data is available, the sourcing of it
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