XMBA 582 | Course Introduction and Application Information

Course Name
Risk Management
Code
Semester
Theory
(hour/week)
Application/Lab
(hour/week)
Local Credits
ECTS
XMBA 582
Fall/Spring
1
0
1
2

Prerequisites
None
Course Language
English
Course Type
Elective
Course Level
Second Cycle
Course Coordinator
Course Lecturer(s)
Assistant(s)
Course Objectives Main objective of the course is to define the main terms used for the financial risks such as market, credit, operational risks and enable students to review the methodologies and assumptions connected to these risks. Participants are also expected to enable to analyze and manage these risks during their business life. On the other hand, corporate risk management and dealing with the risks a firm faces stemming from its operation, i.e., quality production, physical assets, human assets, market leadership, IT and geopolitical risks are equally important as financial risks. Participants are encouraged to actively participate in class discussions and group or individual assignments in order to gain a better understanding of the taught issues, expanding their knowledge and career prospects. The course objective is to create an interactive learning.
Learning Outcomes The students who succeeded in this course;
  • o have a background on distinguishing, classifying, identifying, measuring and managing financial risks
  • Have a background on distinguishing, classifying, identifying, measuring and managing financial risks
  • Appreciate to hedge the risks that financial institutions face, and will learn how to minimize these risks
  • Explain the concept of risk and risk management and be familiarized with basic concepts and terminology.
  • Describe the range of risks that enterprises are facing
  • Understand how and why risk management needs to be incorporated into all business decision making and planning.
  • Apply effective tools for identifying, assessing and quantifying risk.
  • Develop and implement appropriate risk management strategies and advanced quantitative techniques
  • Develop presentational skills.
Course Content This course focuses on understanding and interpreting risk as a measure of uncertainty about future payoffs. During the course the techniques on quantifying risks will be done by application (Excel). Also, how to reduce risk through hedging and diversification will be demonstrated. The risk management topic will be approached with various theoretical lenses on organizational dynamics, with methodologies and tools for analysis, and using contemporary cases to demonstrate and discuss implications of risk management on business and corporate decisions. Special attention will be paid to stress testing and scenario analysis.

 



Course Category

Core Courses
Major Area Courses
X
Supportive Courses
Media and Management Skills Courses
Transferable Skill Courses

 

WEEKLY SUBJECTS AND RELATED PREPARATION STUDIES

Week Subjects Related Preparation
1 Orientation. Overview of the risk management approach Risk Management and Financial Institutions, Wiley, 2018, by John C. Hull; Chapters 2, 3, 4 and 5
2 Overview of the risk management approach Risk Management and Financial Institutions, Wiley, 2018, by John C. Hull; Chapters 2, 3, 4 and 5
3 Overview of the risk management approach Risk Management and Financial Institutions, Wiley, 2018, by John C. Hull; Chapters 2, 3, 4 and 5
4 Key concepts, data collection and analysis Quantification of market, credit and operational risks Stress testing and scenario analysis Money Banking and Financial Markets, 5th edition, McGraw Hill, 2017, by Cecchetti and Schoenholtz; Chapter-5
5 Key concepts, data collection and analysis Quantification of market, credit and operational risks Stress testing and scenario analysis Money Banking and Financial Markets, 5th edition, McGraw Hill, 2017, by Cecchetti and Schoenholtz; Chapter-5
6 Key concepts, data collection and analysis Quantification of market, credit and operational risks Stress testing and scenario analysis Money Banking and Financial Markets, 5th edition, McGraw Hill, 2017, by Cecchetti and Schoenholtz; Chapter-5
7 Key concepts, data collection and analysis Quantification of market, credit and operational risks Stress testing and scenario analysis Money Banking and Financial Markets, 5th edition, McGraw Hill, 2017, by Cecchetti and Schoenholtz; Chapter-5
8 Case Study-1 HBS Case study database
9 Case Study-1 HBS Case study database
10 Case Study-1 HBS Case study database
11 Case Study-1 HBS Case study database
12 Case Study-2 HBS Case study database
13 Case Study-2 HBS Case study database
14 Case Study-2 HBS Case study database
15 Case Study-2 HBS Case study database
16 Review

 

Course Textbooks

PPT Slides and HBR course pack link will be provided

References

INTERNET: Various talks and videos and web-sites (www.bis.org) JP Morgan RiskMetricsTM TD

 

EVALUATION SYSTEM

Semester Requirements Number Percentage
Participation
4
40
Laboratory / Application
Field Work
Quizzes / Studio Critiques
Homework / Assignments
2
60
Presentation / Jury
Project
Seminar / Workshop
Portfolios
Midterms / Oral Exams
Final / Oral Exam
Total

Contribution of Semester Work to Final Grade
6
100
Contribution of Final Work to Final Grade
Total

ECTS / WORKLOAD TABLE

Activities Number Duration (Hours) Workload
Course Hours
Including exam week: 16 x total hours
16
1
16
Laboratory / Application Hours
Including exam week: 16 x total hours
16
Study Hours Out of Class
4
4
Field Work
Quizzes / Studio Critiques
Homework / Assignments
2
15
Presentation / Jury
Project
Seminar / Workshop
Portfolios
Midterms / Oral Exams
Final / Oral Exam
    Total
62

 

COURSE LEARNING OUTCOMES AND PROGRAM QUALIFICATIONS RELATIONSHIP

#
Program Qualifications / Outcomes
* Level of Contribution
1
2
3
4
5
1

Broaden and deepen the knowledge about business administration at the master’s level,

X
2

Acquiring interdisciplinary knowledge and being capable to apply it,

X
3

Understanding the multidisciplinary nature of business administration, and analyze theoretical and practical information and skills gain through master’s degree on interdisciplinary dimension,

X
4

Being able to handle specialistic problems on business administration independently, and resolve them by using scientific methods, assess the results and apply them in case of necessity,

X
5

Improving new strategic approaches by thinking within innovative and holistic ways, finding solutions by taking responsibility and being able to change management during the unforeseen and complicated events in the field of business administration,

X
6

Developing strategies, policies and implementation plans to address the issues in the fields of business administration and management, and evaluating the consequences according to the processes of quality,

X
7

Digesting the necessity to apply the values of business ethics, teaching and controlling to act according to social, scientific and ethical values under any circumstances such as data collection, evaluation, announcing and practicing in the field of Business Administration,

X
8

Being able to use a foreign language for both chasing the scientific publication and developing proper communication with colleagues from other countries, in written and verbal ways .

X
9

Being able to use computer programs needed in the field business administration as well as information and communication technologies in advanced levels .

X

*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest