Dear Prof. Prokopowicz,

Since you have asked this question and I feel we have published some research on it , I feel inclined to answer your question so that it benefits you and others who read these posts. The credit risk management process and the IT or information related risk management process (that is quite a new term which we have addressed since quite some time now, thanks to you for concretising it so precisely) can be studied both from the insider i.e. the corporate engineering or management point of view as well as the market or outsider engineering or management point of view. Mallick, Sarkar, Roy, Duttachaudhuri and Chakraborty (2001, 2007), Mallick (2011), Mallick, Hamburger and Mallick (2016, 2017, 2018) have shown that in various quantitative and physical ways this econophysical question can be answered by building a systems classified and systems integrated (Mallick (1993, 2011, 2014)) method and also field by which the two types of fluctuations in the data and the associated risk can affect the overall entropy of the stock market and the efficiency properties of individual investor actions. More specifically we have shown that financial risk as measured by fluctuations in the Debt-Equity ratios of companies can be differentiated from IT risk in the form of the reporting period or the industrial sector classification code of the companies in a systemic and systematic way. This also contains the flavour of the insider-outsider School.This is analytically solvable by factorisation (Mallick et.al.) by the spacextime rescaling

of the mathematical-statistical and cybernetic information theoretic data space.

S.K.Mallick,

for S.K.Mallick, Somak Raychaudhury, Sandipan Mallick,

RHMHM School,

USA, Japan, India.

The concept of Expected Loss can be calculated for both risks, financial and iT, for the former using probability of default and for the last applying some inferences for losses on data leaks or on systems downtime.

I would consider credit risk separately from IT cyber risk. If we were to seek intersection between the two, we might miss the risk elements discrete to each. Considered separately, the could then be combined using Monte Carlo.

i cant agree more with Chris. i think both will reflect a subjective look and combining them together will be "a risky" option as well as it will be based on simulations and subjective/weighted criteria. i believe both needs to be measured seperatley then used to inform the decesion making process feeding into the over all risk framework to provide proactive measures to offer more control

The above discussion inspired me to the following considerations:

In recent years, have the banks mainly improved the process of managing the online banking risk?

In recent years, have commercial banks in the field of online banking risk management been developed in relation to the development of online mobile banking?

Are more expenditures in commercial banks spent on improving the risk management of data transfer in online banking in recent years than on improving credit risk management?

Please reply

Best wishes

In the context of the above considerations, the following question is also current:

Is the security of information transfer on the Internet, the issue of cybercrime are currently one of the most important topics in the issue of the development of online e-banking?

Is the question of the security of information transfer on the Internet, the issue of cybercrime in the development of online mobile banking and electronic banking risk management are currently one of the most important topics in the development of online e-banking?

In my opinion, the issue of the security of information transfer on the Internet, the issue of cybercrime in the development of online mobile banking and electronic banking risk management are currently one of the most important topics in the topic of the possibility of developing online electronic banking.

From all risk categories that are researched and for whom risk management systems are being improved in commercial banks, it is the risk management of information systems and data transfer security risk in electronic banking that is currently the type of commercial banking risk that banks currently devote the most to improving process management of information systems risk and data transfer security risk in online electronic banking.

Do you agree with my opinion on this matter?

In view of the above, I am asking you the following question:

Is the security of information transfer on the Internet, the issue of cybercrime are currently one of the most important topics in the issue of the development of online e-banking?

Please reply

I invite you to the discussion

Thank you very much for your response and participation in the discussion

Best wishes

Dear Friends and Colleagues of RG

In recent years, in financial institutions, but also others, more and more funds are spent on building information security systems and improving IT risk management processes and information transfer on the Internet. In banks, improvement of IT systems risk management and information transfer processes on the Internet is treated as just as important as the management of classic banking and financial risk categories, such as credit risk management.

Do you agree with my opinion on this matter?

Please reply

I invite you to the discussion

Thank you very much

Dear Friends and Colleagues of RG

The issues of risk management in the context of determinants of the global financial crisis, globalization processes, technological progress and other factors I described in the publications:

Article APPLICATION OF DATA BASE SYSTEMS BIG DATA AND BUSINESS INTEL...

Article GLOBALIZATIONAL AND NORMATIVE DETERMINANTS OF THE IMPROVEMEN...

Article Determinants of credit risk management in the context of the...

Article Importance and implementation of improvement process of prud...

Article The role and application of Keynesian macroeconomic anti-cri...

Article THE SHADOW BANKING AS AN EXAMPLE OF INEFFICIENCIES IN THE FU...

I invite you to discussion and cooperation.

Best wishes

Consequently, interesting observations, conclusions and conclusions appeared in the context of the considerations during the above discussion.

I would like to add to the above discussion the following conclusion, formulated as a summary of my previous considerations on this subject:

Considering the intensive development of electronic online banking, and recently mobile, in the key area of ​​banking, ie in the management processes of various financial risk categories and other risk categories, integration of these analytical processes regarding the analysis and protection of various categories of risk can be carried out. Integration can lead to optimizing the costs of running analytical processes. Optimization of costs when integrating various analytical processes can be implemented by employing advanced information processing technologies. Industry 4.0. The current technological revolution described as Industry 4.0 is determined by the development of the following advanced information processing technologies: Big Data database technologies, cloud computing, machine learning, Internet of Things, artificial intelligence, Business Intelligence and other advanced data mining technologies. These technologies, in combination with the Business Analytics analytics and Business Intelligence analysts, enable the integration of risk management processes in the bank, ie different financial risk categories (credit risk, liquidity risk, debt risk, currency risk), other risk categories that banks have been researching for some time (operational risk, market risk, systemic risk, political risk) and new risk categories related to the development of online electrobial banking, including mobile (IT systems risk, electronic banking systems risk, the risk of online mobile systems, the risk of data transfer on the Internet, etc. ). The integration of analytical processes carried out at the bank's headquarters in the risk management department may lead to analytical integration of mainly quantitative analysis of these various risk categories to optimize, implement the next stage of automation and objectivization of analytical processes.

What do you think about this topic?

Please reply

Dear Colleagues and Friends from RG, In recent years, the use of machine learning technologies in detecting defects, faults, errors in systems, in data processing processes, etc. has been developed. These are potential for the development of this type of applications of this technology. Machine learning technologies are then developed into more advanced, multi-criteria data processing processes referred to as Artificial Intelligence technologies. These technologies are one of the key technologies of the current fourth technological revolution Industry 4.0. I conduct research in the field of improving credit risk management processes and cyber crime risk management, data transfer on the Internet, and development of electronic internet and mobile banking. I am interested in the application of the Industry 4.0 technology, especially the machine learning technology and artificial intelligence technologies in improving credit risk management processes and cyber crime risk management, data transfer on the Internet, development of electronic internet and mobile banking.

Do you agree with me on the above?

I conduct research in this area. The conclusions of the research I published in scientific publications that are available on the Research Gate portal.

In view of the above, I am asking you the following questions:

- What are the applications of Industry 4.0 technology, and especially the technologies of Learning Machines and / or Artificial Intelligence in improving credit risk management processes and cyber crime risk management, data transfer on the Internet, development of electronic internet and mobile banking?

- What are the examples of banks that are currently implementing technology application projects Learning Machines and / or Artificial Intelligence in improving credit risk management processes and cyber crime risk management, data transfer on the Internet, development of electronic internet and mobile banking?

- Are scientific publications available that describe the applications of Industry 4.0 technology, and in particular Machine Learning and Artificial Intelligence technologies in improving credit risk management and / or cyber risk management, data transfer on the Internet, and development of electronic internet and mobile banking?

- What do you think about this topic?

- What is your opinion on this topic?

Please reply.

I invite you to discussion and scientific cooperation.

Thank you very much.

Best wishes.

Dariusz Prokopowicz