Bank risk identification
The AI method is built on the bank method. The bank method is kept here as a reference, with its book, toolkit, playbook and articles.
Bank Risk Identification: The Complete Methodology
A guide to building a regulator-aligned risk identification process for banks, from ISO 31000, COSO ERM and twenty years of practice at global banks and insurers. Sixteen chapters run from governance and the taxonomy through top-down and bottom-up identification, reconciliation, scoring, risk interaction and documentation, to lessons from 179 bank failures.
The AI book keeps its six phases and their numbering, its reconciliation loop and its interaction matrix, and adds what AI needs: a new taxonomy, a register of AI risks, harm to individuals as a fifth impact dimension, and the AI Act and ISO/IEC 42001.
Bank method resources
The bank methodology
The method in summary.
Implementation playbook
How to build and run risk identification in a bank.
Risk identification toolkit
Templates, the CRO overview and prompts, sent by email.
Self-assessment
Score your current process.
Articles on bank risk identification
- I was Global Head of Risk Identification: here is what I learned
- Why most banks can't identify their own risks
- The one thing regulators always find missing
- 179 bank failures: the 10 failure modes that explain almost all of them
- The reconciliation loop: where risk identification dies
- Your risk heat map is lying to you
- What a bow-tie diagram actually tells you
- Quarterly re-identification: what the Fed expects
- The S&L crisis to SVB: how concentration blindness repeats
- Barings to Credit Suisse: why governance bypass keeps killing banks
- Wirecard and Greensill: emerging risk blindness in the 2020s
- Climate risk identification: it is not a standalone category