Michael Grimwade
Michael Grimwade first worked in operational risk management more than 25 years ago. He is head of op risk for ICBC Standard Bank and has held senior op risk management roles at MUFG Securities, RBS and Lloyds TSB. Prior to this he was a management consultant with PwC and Deloitte Consulting. He has also been a director of the Institute of Operational Risk, and is currently chair of the Association of Foreign Banks’ operational risk expert panel. Michael is the author of a number of articles on setting appetite for op risk, scenario analysis techniques, climate change, quantifying emerging risks and modelling op risk capital. He received an award in 2014 from the Institute of Operational Risk for his contribution to the profession. His second book, Ten Laws of Operational Risk, was published in December 2021.
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Book contributions by Michael Grimwade
Articles by Michael Grimwade
In a downturn, mitigation beats litigation every time
Economic shocks increase op risks for banks, but institutions can take steps to limit the danger
How climate change may impact operational risk
This paper uses the ten laws of operational risk along with taxonomies for inadequacies or failures and their impacts, and it also draws parallels with past crises, in order to make systematic predictions.
‘It’s the economy’: forecasting an op risk climate change spike
History of op risk suggests economic impacts of climate change could exacerbate losses, writes op risk head
Ten laws of operational risk
This paper sets out ten laws that govern the behavior of operational risk relating to the occurrence and detection/duration of events; the rapidity with which firms suffer losses; the lags in crystallization of losses; and internal and external drivers…
Applying existing scenario techniques to the quantification of emerging operational risks
This paper sets out techniques for: (a) identifying systematically emerging threats, their timescales, and interrelationships (eg, feedback loops and domino effects); (b) quantifying operational risks through structured scenario analysis processes that…
How will banks suffer large op risk losses in the future?
Eight interlocking trends mean more multi-billion-dollar losses to come
Why did the crisis cause such large op risk losses?
Huge losses from the 2008 crisis can be seen as a short option position