Calculate operational risks according to internal models

Trigger: A scheduled regulatory reporting cycle or the aggregation of new operational loss event data initiates the risk calculation.

1. Gather internal loss data, external risk events, and business environment indicators
2. Map gathered data to predefined operational risk scenarios and business lines
3. Execute internal quantitative risk models to simulate potential losses
4. Validate model outputs and perform stress testing against extreme parameters
5. Calculate total operational risk capital requirements
6. Generate risk exposure and capital allocation reports for management and regulators

Outcome: Operational risk exposures are quantified and the required economic and regulatory capital is formally determined.