Part of the operational risk at an institution. Information technology risks can be divided into internal and external risks. – Internal IT risks primarily include faulty or incorrectly implemented IT systems, problems with internal computer networks, or system crashes due to self-inflicted power failures (short circuit). – External IT risks are, for example, the dangers posed by computer viruses, hacker activities, breaches of security in Internet banking and electronic payment transactions, and the collapse of external networks (network breakdown). – Because IT has increasingly evolved from a purely auxiliary function to a key factor within banking operations, the supervisory authorities are also paying particular attention to these risks. In addition, under Section 25a of the German Banking Act (KWG), banks in Germany are required by law to establish appropriate security measures against computer failure, computer misuse, and computer crime. – According to Basel II, these are risks that must be given particular weighting when rating a company. This is because IT has become a key factor within the corporate value [added] chain almost everywhere. It has been proven that one day of failure of the IT systems (or even just one area, such as the checkout system) at a large retail company can mean that the company runs into the red. – See also outsourcing, back-off area, Federal Information Security Agency, call center, fault tolerance, flash crash, business continuity, information assurance, infrastructure providing, insourcing, intermittency, outsourcing risks, risk, operational, service line, power risk, technology risks, transfer risks, video conferencing, maintenance time.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/