OM-1.2.6
The management information system of a banking organisation plays a key role in establishing and maintaining an effective operational risk management framework. Two key aspects of management information system are:
(a) 'Communication flow' serves the purpose of establishing a consistent operational risk management culture across the bank.
(b) 'Reporting flow' enables:
1. senior management to monitor the effectiveness of the risk management system for operational risk; and
2. the Board of Directors to oversee senior management performance.