Operational Risk Management for Microfinance Institutions

15 January 2009

The ‘Operational Risk Management’ course is one of the four courses in the Operational Management Curriculum, along with ‘Business Planning’, 'Information Systems’ and ‘New Product Development’. This four-day course helps microfinance institutions develop and improve the quality of their own risk management processes and focuses on problem prevention and early problem identification and control. Participants are provided with guidelines for establishing operational activities that assist an MFI to identify its vulnerabilities, design and implement controls and monitor the effectiveness of controls. Through exercises, group discussions and case studies, participants review concepts such as internal controls, fraud, and internal and external audit.

Training Materials:

Operational Risk Management Participant Materials: Trainer Notes
Operational Risk Management Participant Materials: Handouts
CGAP Training Operational Risk Management Overheads


CGAP is pleased to make the course materials from the CGAP Skills for Microfinance Managers course series publicly available. Although the course materials have been well tested and revised CGAP cannot ensure that the materials and all calculations are fully accurate. The latest update of these materials was done in 2012-13 to include dimensions of client protection and social performance management. The microfinance industry continues to evolve and new standards continue to emerge. As a result, the course materials may not reflect the latest practices in the microfinance industry. Although CGAP has made every attempt to produce high-quality course materials, ultimately it is the technical skills, training experience and preparation of the trainers that guarantee the quality of the course itself and the successful transfer of skills and knowledge to course participants.

Please note that CGAP recognizes only those partners and trainers that went through its certification process as CGAP training partners from 1997 to 2008. Others who offer a course using materials from one of the CGAP Skills for Microfinance Managers courses should not refer to themselves as CGAP trainers or CGAP-certified.

CGAP also requests that all those who offer the "Operational Risk Management for Microfinance Institutions" course use the following text in their marketing materials and course descriptions: “The Operational Risk Management for Microfinance Institutions" course is based on the materials developed by CGAP that are publicly available on www.cgap.org. CGAP is a leading independent resource for objective information, expert opinion, and innovative solutions for microfinance. CGAP works with the financial industry, governments and investors to expand access to financial services for poor people around the world.”