Loss Event Database

Many banks in Indonesia have failed in the process of transformation towards their vision, due to a lack of awareness in managing risk and not growing a risk-based culture. The external and internal environment of the banking system is experiencing rapid development which will be followed by increasingly complex risks for banking business activities. Loss Event Database is a solution to perform the function of identifying and measuring Operational Risk Self-Assessment. The research method used to design and build a Loss Event Database refers to the Evolutionary Prototyping model where at each stage, the involvement of developers and users is intensely carried out. The implementation of Operational Risk Self-Assessment through the development of a Loss Event Database using the Evolutionary Prototyping model is able to reduce the operational risk rating from the Moderate to Low to Moderate level, meeting the requirements of good corporate governance in accordance with applicable regulations and best practices in the banking world.