RESOURCES

An Invisible Framework for Risk Management

Root Cause Analysis: The Bow Tie Model

Here are some of my favourite books and resources in risk management, often cited during my training courses.

 

General essays on risk management:

 

The Failure of Risk Management, Douglas Hubbard, Wiley, 2009: uses and misuses of risk ratings and other flaws in decision making. A great read.

 

How to Measure Anything, Douglas Hubbard, Wiley 3/E, 2014.: the title says it all. A smashing success leading to a third edition.

 

Antifragile, Nassim Talelb, 2012; A thought-provoking essay on the dangers of over-controlling daily volatility. One one of my all-time favourite books when it comes to risk management.

 

The Flaw of Averages, Sam Savage (preface by Harry Markowitz), 2009; the son of a academic Statistician, Sam grew up amongst Nobel Price laureates. He would reconcile anyone with statistics in his funny, entertaining and well-illustrated book on how simple mental math doesn’t apply to risk assessment.

 

On risk culture and psychological biases:

 

Influencer – the power to change anything, Patterson et al., 2007: a must read to change and influence risk culture. Inspiring.

 

Wilful blindness – Why we ignore the obvious at our peril, Margaret Heffernan, 2011: from housewives to Enron, how and why we look away when we don’t want to know. Humbling.

 

On tail risks and other risk management flaws:

 

Fooled by Randomness, Nassim Taleb: particularly relevant for investments in financial markets, but excellent for his view of tail risks and measurement uncertainty.

 

Against the Gods: a history of risk management, Peter Bernstein: Interesting for those curious of the history of science and risk management.

 

On operational risk management:

 

Operational Risk Management: Best Practices in the Financial Services Industry (The Wiley Finance Series), Ariane Chapelle, Wiley, 2018: provides a comprehensive overview of the most up to date methods and practices in operational risk management applied in financial services firms.

 

Reflections on Operational Risk Management, Ariane Chapelle, Risk Books, 2017: This book by Ariane Chapelle is a collection of 28 columns and articles, spanning more than five years.

 

The Risk Management Handbook: A Practical Guide to Managing the Multiple Dimensions of Risk, Ariane Chapelle & David Hillson, Kogan Page, 2016: The Risk Management Handbook gives a clear snapshot of the current state of play in the risk management landscape, and a look ahead to the key emerging issues in the field.

 

On operational risk measurement and modelling:

 

Operational Risk Assessment: The Commercial Imperative of a More Forensic and Transparent Approach (The Wiley Finance Series), Brendon Young, Rodney Coleman, 2009: a nice combination of risk management (part 1) and statistics (part 2) by two great authors.

 

Operational Risk Modelling, G. Peters, P. Shevchenko and M. Cruz, Wiley, 2015.The most recent book on the topic, by some of the very best experts in the field.

 

Below are some links to risk management websites, institutes and scholars you may find useful:

 

Risk Management Institutes

 

Below are some links to risk management websites, institutes and scholars you may find useful:

 

www.theirm.org

www.ior-institute.org

www.prmia.org

www.garp.org

 

Academic research engines:

 

www.ssrn.org

www.scholar.google.com

 

Data consortium and leading practice:

 

www.oricinternational.com

www.orx.org