| Popis: |
This paper presents the field based evidence on changes in risk management practices in Swiss banks after the subprime crisis. Prior to the crisis risk management was dominated by technology, i.e. use of IT tools and complex models. In the most general terms the study concludes that the Swiss banks are slowly moving towards the culture of quantitative skepticism. The study concludes that installing and maintaining risk culture based on natural skepticism is the most crucial part, as well as the biggest remaining challenge and opportunity to improvement of risk management. Usage of IT and proprietary models lost their focal point and became just a starting point of the holistic based risk analysis. As this study argues for a more systematic view of risk it is also an extension of that stream, which additionally argues for a more holistic, independent and systematic risk management. It is a direct extension of the works of Mikes (2009) and Power (2009), as the study provides evidence that the culture of empirical skepticism is dominant in Swiss banks. Further, it extends on related concepts of two risk methods and four risk types by providing empirical evidence from Switzerland. |
