Operational Resilience

Refreshed January 2024 | CPD time: 1 Hour 15 Minutes

The concept of ‘operational resilience’ has been receiving increased attention from financial services regulators, both in the UK and internationally, in recent years. The priority being given to the concept and the requirements which have been imposed on firms predate the coronavirus (COVID-19) pandemic. However, consideration of how firms adapt to large-scale and unexpected disruption to their business activities has taken on new importance in the light of the global pandemic of 2020-21, and the wider impact of the various ‘social distancing’ measures which were adopted. The purpose of the module is to provide an introduction to the concept of operational resilience and to the practical implications for firms of the UK regulators’ developing policy in this area. The module also briefly explores the relationship between operational resilience and the, perhaps, more familiar concept of risk management.