Q.2.2

Effective risk management does not function in a vacuum and rarely survives a leadership failure. The risk management function can review, inform, advise, monitor, measure and even resign. Discuss the management principles which risk management culture addresses.

Q.2.3

Governance structures are the formally approved organisational risk management structures and committees that govern operational risk management.

In light of this definition above, explain the two components of the governance structure for operational risk.

(Note: No graphical illustration required)