Delineation: Operational risk is the potential for loss arising from inadequate internal processes, people & systems or from external factors.
ORM in NPCI: Operational Risk Management is an integral part of the NPCI's Risk Management framework. The objective of NPCI's Operational Risk Management framework is to identify, evaluate, control, measure, monitor and report operational risks across the organization.
NPCI operates with a robust system of internal control where in periodic Risk assessments are conducted to arrive at the Operational Risk profile for the Organization.
Continuous monitoring and reporting of Operational risk is a key component in NPCI's Operational Risk Management framework which helps in maintaining the integrity of internal controls & improves efficiency in the day to day operations.