Non- Financial Market Organizations:

The main purpose of our work is to introduce the concepts and implementation of solutions in Strategic Risk for organizations. Organizations of any size and any industry are requiring more and more capabilities to deal with risk, with uncertainty of markets, financial, operations and resources use. We consider that the integral view (Enterprise Risk Management) of risk in organizations as a way to deal with uncertainty. Using analytics as mitigant of risk is the value of using data in a smart way. Strategic Risk capacity and capabilities is for all organization in particular manufacturing and service companies in a digital/ automation transformation process.

Financial Market Organizations

Analytics in financial market organizations is ajournety of measurement systmes design and put in actions. Meausing events and creating metrics for transactions:

•  The risk associated with the impact on a project’s cash flow from higher funding costs or lack of availability of funds.  
• Interest risk, liquidity risk  
• Capital structure  
• Opportunity of new projects  
• Return on the projects  
• RAROC ecosystem metrics – METRICS  loss distributions, probability distributions of the metrics  
• Order statistics and percentiles: sampled values in order minimum, maximum, first quartile, median etc.  
• Risk model VAR, CVAR ecosystem operation analysis of portfolio, Moments of the distribution  
• Causality, Bayesian modeling
•  About Scenario Analysis and Goal Seeking.
• Scenario analysis and goal seeking can be used together in the same forecast.  
• Simulation models can be either physical or logical.  
• The Models based on Monte Carlo that have been build from finance/marketing perspective (model structure of a pro-forma financial statement  and studying the NPV distribution)  
• Testing (Monte Carlo, Bootstrapping, Randomization)  
• Optimization: Optimal Product Bundling using several approaches from bundling call-waiting, voice mail, caller ID etc. up to Internet of Things  
• Mix of tools: Segmentation and Pricing for a subscription based service

Analytics Process is equivalent to a Measurement System development and its Metrics Creation