Risk Management in Banking Essay Example | Topics and Well Written Essays - 2250 words

Risk Management in Banking - Essay Example The new deposit account offered by Andrew Bank Ltd. may have a number of unforeseen risks, since the response of the target customers is unknown. Therefore, the management of the bank must adopt a risk management model that is effective enough to identify the future risks, the bank will be exposed to after introducing the Abide a Wee While Deposit Account. In order to measure risk, the key factors or risk factors that are likely to cause unpredictability in the returns from the new account should be considered (Crouhy, Galai and Mark, 2006). There are a number of problems associated with models of risk management, and which will help analyze the risks likely to face Andrew Bank after introducing the new bank offering. Some of the problems are discussed in details below. Risk management models are expensive in terms of, production and implementation: Creating a risk management model consumes a lot of time, since all the risk factors must be adequately analyzed, and all necessary information considered. The risk analysis manager must make sure that all the risk factors are identified, and that the relevant data concerning the factors is collected, so as to make more accurate predictions about the future. The risk factors that need to be considered include; lending rates, economic conditions, government policies and political environment among other factors. Models may be even more expensive, in situations where they prove to be ineffective, for example, where the model employed improperly manages an expected risk. The cost of preparing a model may even go higher, since its preparation require experienced personnel who must be compensated for their services. The models may not be reliable: Due to the unpredictable nature of the future, models can not be a hundred percent accurate. Therefore, a rigid model may lead to poor

Criminal Cases in Healthcare Essay Example | Topics and Well Written Essays - 750 words

Criminal Cases in Healthcare - Essay Example The identified case for review is available from The New York Times. Flegenheimer authored the article that was published on 25 May 2012. In the case, a patient called Martin was awarded 120 million dollars as compensation for brain damage caused by negligence among healthcare personnel. The identified liability was proportionately shared among five parties, Jacobi Medical Centre, Kings County Hospital Centre, Brookdale University Hospital and Medical Centre, healthcare personnel and the plaintiff (Flegenheimer, 2012, p. 1). Facts of the case identify mismanagement of the patient’s treatment at the different hospitals where she sought medical attention because of seizure. The allegedly improper care led to health complications including Martin’s brain damage and adverse skin complication (Flegenheimer, 2012). The scope of the case identifies professional malpractice – negligence – among the involved care personnel with a limited scope of contributory negligence from the plaintiff. Based on the essentials of a contract, as implied by a physician-patient relationship, healthcare personnel and a care organization, by vicarious liability, have legal obligations to handle a patient with uttermost care that is reasonable within the professional practice. Failure to observe such care identifies criminal and civil negligence (Witt, 2006). Martin’s position as a patient at the care facilities and her subsequent injuries satisfy the legal essentials of negligence that includes existence of a duty of care, breach of that duty and a subsequent loss due to the breach (Madden, 2003). Contributory negligence, however, partially shifts liability to the patient (Lunenburg & Ornstein, 2007). The doctrine of negligence and contributory negligence implies liability on both the defendant and the plaintiff for failing to take due care in managing the plaintiff’s conditions. The care