The goal of this project is to design and develop a framework for assessment and quantification of operational risk within an enterprise. This framework will provide insight into key operational risk factors, their relationships and estimated loss. This information will be useful in devising risk mitigation strategies for enterprises. 

As a first step, we plan to focus on a particular area of operational risk—namely, characterizing software project risks in an IT enterprise. The initial phase of this research will aim at understanding various internal and external events contributing to operational risk and establishing a high-level structure of risk factors. The next phase will involve developing analytical models based on key risk factors (including qualitative and quantitative information), to estimate operational loss. The research will mainly focus on understanding risk indicators and investigating novel analytical approaches to model operational loss.