Training on Risk Management & Strengthening Internal Controls in Banks
Risk management as a component of the internal control mechanism of any organization is as important as the reason for the existence of that organization. This is because any organization without a risk management system in place may as well not be in existence since they may lose the profit and the whole capital together. Every organization needs to put in place risk management and internal control systems in order to achieve the ultimate objectives of the organization.
One of the most critical components of safe and sound bank management is constituted by an effective and efficient system of internal controls, which help to ensure that the goals and objectives of a bank will be met, that long-term profitability targets will be achieved, and maintain reliable financial and managerial reporting.
This course aims to equip participants with the necessary knowledge and skills to effectively manage risks within financial institutions, with a specific focus on enhancing internal controls.
Target Participants
This course is designed for professionals, practitioners, regulators, and policymakers working in the banking and financial sectors. It is suitable for risk managers, internal auditors, compliance officers, finance professionals, and anyone involved in managing risks within banks or financial institutions.
What You Will Learn
By the end of this course the participants will be able to:
- Understand the importance of maintaining an effective balance between risk-taking and internal control measures
- Explore strategies to optimize risk management while ensuring robust internal controls
- Explain the benefits of adopting an enterprise-wide perspective when addressing risk and internal control
- Explore preventive, detective, and corrective controls to mitigate risks effectively
- Align risk mitigation strategies with organizational goals and objectives
- Implement an effective fraud prevention process within banks
- Promote a culture of integrity, ethics, and compliance across the organization
Course Duration
Classroom Based – 5 Days
Online – 7 Days
Introduction to Risk Management and Internal Controls in Banks
- Overview of risk management principles and frameworks
- Role of risk management in ensuring the stability and sustainability of banks
- African and international perspectives on risk management in banking
- Essential Elements of Internal Control Systems
Regulatory Environment and International Standards
- Regulatory requirements and supervisory guidelines for risk management in banks
- Introduction to international standards such as Basel III and IFRS 9
- Comparative analysis of regulatory frameworks across African countries
Risk Identification and Assessment Techniques
- Types of Risk in Banking
- Techniques for identifying various risks faced by banks (credit risk, market risk, operational risk, etc.).
- Quantitative and qualitative risk assessment methods
- Mitigation strategies for each type of risk
- Supervision by Risk
Designing and Implementing Internal Control Systems
- Principles and practices for designing robust internal control systems
- Control activities, segregation of duties, and monitoring mechanisms
- Integrating risk management and internal control practices across different functions
- Considerations for implementing internal controls in diverse banking environments
Monitoring and Testing Internal Controls
- Techniques for ongoing monitoring and testing of internal controls
- Importance of internal audit, compliance testing, and risk assessments
- Utilization of technology and data analytics in enhancing control effectiveness
Strengthening Internal Controls: Case Studies and Best Practices
- Successful initiatives and strategies for strengthening internal controls in banks
- Lessons learned from regulatory enforcement actions and control failures
- Practical guidance on implementing internal control improvements
Fraud Prevention and Ethical Culture
- Strategies for preventing and detecting fraud in banking operations
- Fostering an ethical culture within the organization
- Case studies highlighting successful fraud prevention measures
Linking Risk Management to Business Planning
- Integrating risk considerations into the overall business planning process
- Balancing risk-taking with long-term profitability goals
- Practical exercises on risk-informed decision-making
Impact of technological innovation, digitization, and cybersecurity on risk management
- Increased Complexity of Risk
- Investment in Risk Management Technologies
- Implementing robust cybersecurity measure
