Operational Risk Management: Optimal Inspection Policy
References
- (2007) A theory of friendly boards. J. Finance 62:217–250.Crossref, Google Scholar
- (2018) Operational investment and capital structure under asset-based lending. Manufacturing Service Oper. Management 20(4):637–654.Link, Google Scholar
- (2017) Competing to discover compliance violations: Self-inspections and enforcement policies. Working paper, Yale University, New Haven, CT.Google Scholar
- (2010) The 2007–2009 financial crisis: Learning the risk management lessons. Financial Services Research Forum, Nottingham.Google Scholar
- (2018) Introduction to the Special Issue on Research at the Interface of Finance, Operations, and Risk Management (iFORM): Recent contributions and future directions. Manufacturing Service Oper. Management 20(1):1–18.Link, Google Scholar
- (2019) A theory of model sophistication and operational risk. Working paper, London Business School, London.Google Scholar
- Basel Committee on Banking Supervision (2003) Operational risk transfers across financial sectors (BIS Consultative Document, Basel, Switzerland).Google Scholar
- Basel Committee on Banking Supervision (2006) The first pillar-minimum capital requirements (BIS Consultative Document, Basel, Switzerland).Google Scholar
- Basel Committee on Banking Supervision (2012) The internal audit function in banks (BIS Consultative Document, Basel, Switzerland).Google Scholar
- (2017) Operational it failures, it value-destruction, and board-level it governance changes. MIS Quart. 41(3):729–762.Crossref, Google Scholar
- (2010) Lumpy capacity investment and disinvestment dynamics. Oper. Res. 58(4):1178–1193.Link, Google Scholar
- (2009) Multitask principal-agent problems: Optimal contracts, fragility, and effort misallocation. J. Econom. Theory 144(1):175–211.Crossref, Google Scholar
- (2016) The impact of budget constraints on flexible vs. dedicated technology choice. Management Sci. 62(1):225–244.Link, Google Scholar
- (2008) Mandatory disclosure and operational risk: Evidence from hedge fund registration. J. Finance 63(6):2785–2815.Crossref, Google Scholar
- (2014) The audit committee: Management watchdog or personal friend of the CEO? Account. Rev. 89(1):113–145.Crossref, Google Scholar
- (2017) Sourcing under supplier responsibility risk: The effects of certification, audit, and contingency payment. Management Sci. 63(9):2795–2812.Link, Google Scholar
- (2020) Optimal monitoring schedule in dynamic contracts. Oper. Res. 68(5):1285–1314.Link, Google Scholar
- (2011) The determinants of operational risk in U.S. financial institutions. J. Financial Quant. Anal. 46(6):1683–1725.Crossref, Google Scholar
- (2010) Operational flexibility and financial hedging: Complements or substitutes? Management Sci. 56(6):1030–1045.Link, Google Scholar
- (2007) Stress Testing for Risk Control Under Basel II (Butterworth-Heinemann, Oxford, UK).Google Scholar
- (2014) The Essentials of Risk Management (McGraw-Hill, New York).Google Scholar
- (2002) Modeling, Measuring and Hedging Operational Risk (John Wiley and Sons, New York).Google Scholar
- (2002) Audit committee effectiveness: A synthesis of the empirical audit committee literature. J. Account. Lit. 21:38–75.Google Scholar
- (2012) Managing disruption risk: The interplay between operations and insurance. Management Sci. 58(10):1898–1915.Link, Google Scholar
- (2002) An Introduction to Market Risk Measurement (Wiley, Hoboken, NJ).Google Scholar
- (2019) Disruption risk mitigation in supply chains: The risk exposure index revisited. Oper. Res. 67(3):831–852.Link, Google Scholar
- (2013) Learning from others’ misfortune: Factors influencing knowledge acquisition to reduce operational risk. J. Oper. Management 31(1):52–61.Crossref, Google Scholar
- (2019) 11,484 violations: Surprise inspections hit N.Y. construction sites. New York Times, https://www.nytimes.com/2019/11/22/nyregion/nyc-dob-surprise-inspectors.html.Google Scholar
- (2018) How banks can manage operational risk. Bain & Company, https://www.bain.com/insights/how-banks-can-manage-operational-risk.Google Scholar
- (2017) Is operating flexibility harmful under debt? Management Sci. 63(6):1730–1761.Link, Google Scholar
- (2008) Operational risk. J. Banking Finance 32(5):870–879.Crossref, Google Scholar
- JPMorgan Chase & Co (2013) Report of JPMorgan Chase & Co. Management Task Force Regarding 2012 CIO Losses. https://ypfs.som.yale.edu/node/2821.Google Scholar
- (2012) Managing risks: A new framework. Harvard Bus. Rev. 90(6).Google Scholar
- (2015) Time to come clean? Disclosure and inspection policies for green production. Oper. Res. 63(1):1–20.Link, Google Scholar
- (2018) Integrated commodity inventory management and financial hedging: A dynamic mean-variance analysis. Prod. Oper. Management 27(6):1052–1073.Crossref, Google Scholar
- (2002) The Theory of Incentives: The Principal-Agent Model (Princeton University Press, Princeton, NJ).Crossref, Google Scholar
- (2017) Technical note – Optimal long-term supply contracts with asymmetric demand information. Oper. Res. 65(5):1275–1284.Link, Google Scholar
- (2015) Joint inventory and cash management for multidivisional supply chains. Oper. Res. 63(5):1098–1116.Link, Google Scholar
- (2010) Legal Risk in the Financial Markets (Oxford University Press, Oxford, UK).Google Scholar
- (2002) The near-miss management of operational risk. J. Risk Finance 4(1):25–36.Crossref, Google Scholar
- ORX (2014) 2014 ORX Report on Operational Risk Loss Data. ORX Report, https://managingrisktogether.orx.org/.Google Scholar
- (2016) Systematic risk in supply chain networks. Management Sci. 62(6):1755–1777.Link, Google Scholar
- (2016) Supplier evasion of a buyer’s audit: Implications for motivating supplier social and environmental responsibility. Manufacturing Service Oper. Management 18(2):184–197.Link, Google Scholar
- (2003) Incentive efficient control of a make-to-stock production system. Oper. Res. 51(3):371–386.Link, Google Scholar
- (2014) Managing Operational Risk: Practical Strategies to Identify and Mitigate Operational Risk within Financial Institutions (Springer, New York).Google Scholar
- (2018) Wells Fargo admits more than 500 customers lost their homes due to “calculation error.” Fox Business, https://www.foxbusiness.com/features/wells-fargo-admits-more-than-500-customers-lost-their-homes-due-to-calculation-error.Google Scholar
- (2015) Identifying risks and mitigating disruptions in the automotive supply chain. Interfaces 45(5):375–390.Link, Google Scholar
- (2013) Clydesdale suffers 42 million pound hit for home loan errors. Reuters, https://www.reuters.com/article/uk-clydesdale-fine-idUKLNE98P00R20130926.Google Scholar
- (2018) Optimal contract to induce continued effort. Management Sci. 64(9):4193–4217.Link, Google Scholar
- (2018) Sourcing from suppliers with financial constraints and performance risk. Manufacturing Service Oper. Management 20:70–84.Link, Google Scholar
- (2006) The Theory of Corporate Finance (Princeton University Press, Princeton, NJ).Google Scholar
- (2017) Buyer intermediation in supplier finance. Management Sci. 64(12):5631–5650.Link, Google Scholar
- (2015) Hedging commodity procurement in a bilateral supply chain. Manufacturing Service Oper. Management 17(2):221–235.Link, Google Scholar
- (2016) Inducing environmental disclosures: A dynamic mechanism design approach. Oper. Res. 64(2):371–389.Link, Google Scholar
- (2013) Board composition and operational risk events of financial institutions. J. Banking Finance 37:2042–2051.Crossref, Google Scholar
- (2012) Unit-contingent power purchase agreement and asymmetric information about plant outage. Manufacturing Service Oper. Management 14(2):245–261.Link, Google Scholar
- (2022) The impact of workload on operational risk: Evidence from a commercial bank. Management Sci. 68(4):2668–2693.Link, Google Scholar
- (2017) Budget allocations in operational risk management. Probab. Engrg. Inform. Sci. (Jul):1–26.Google Scholar
- (2020) Operational risk management: A stochastic control framework with preventive and corrective controls. Oper. Res. 68(6):1804–1825.Link, Google Scholar
- (2018) Tracking-error models for multiple benchmarks: Theory and empirical performance. Working Paper, New York University, New York. Google Scholar
- (2018) Trade credit, risk sharing, and inventory financing portfolios. Management Sci. 64:3667–3689.Link, Google Scholar
- (2008) A dynamic principal-agent model with hidden information: Sequential optimality through truthful state revolution. Oper. Res. 56(3):681–696.Link, Google Scholar
- (2019) Strategic financing and information revelation amid market competition. Working paper, New York University, New York.Google Scholar

