期刊名称：International Journal of Finance & Banking Studies
印刷版ISSN：2147-4486
出版年度：2017
卷号：6
期号：3
页码：39-50
语种：English
出版社：Society for the Study of Business & Finance
摘要：Operational risk threatens banks financial viability and long-term sustainability. The purpose of this paper is to explore the effect of operational risk on financial performance of commercial banks in Kenya. The qualitative research design and ordered logistic model were employed. The data was analysed with the aid of STATA software. The conclusion of the study was that there exists an inverse relationship between operational risk and financial performance. The study also finds that bank size moderates the effect internal and external fraud on financial performance of commercial banks in Kenya by shrinking it. Bank size moderates the effect execution, delivery and process management on financial performance of commercial banks in Kenya by enhancing it. Commercial banks’ management should adhere to the guidelines and procedures provided by the Central bank of Kenya on operational risk management
其他摘要：Operational risk threatens banks financial viability and long-term sustainability. The purpose of this paper is to explore the effect of operational risk on financial performance of commercial banks in Kenya. The qualitative research design and ordered logistic model were employed. The data was analysed with the aid of STATA software. The conclusion of the study was that there exists an inverse relationship between operational risk and financial performance. The study also finds that bank size moderates the effect internal and external fraud on financial performance of commercial banks in Kenya by shrinking it. Bank size moderates the effect execution, delivery and process management on financial performance of commercial banks in Kenya by enhancing it. Commercial banks’ management should adhere to the guidelines and procedures provided by the Central bank of Kenya on operational risk management
