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Policy Implications for Improving Operational Risk Management of Commercial Banks: A Case Study in Vietnam

Qubahan Academic Journal | 2026

Paper Details

Authors: Vy P.D.; Tam P.T.

DOI: 10.48161/qaj.v6n1a2067

Journal: Qubahan Academic Journal

Year: 2026

Publisher: Qubahan

Document Type: Article

Open Access: All Open Access; Gold Open Access; Green Open Access

Cited by: 1

Abstract

This study investigates the impact of organizational factors and digital transformation on operational risk management (ORM) in Vietnamese commercial banks. Employing a mixed-methods approach, qualitative interviews with 25 senior risk experts helped refine measurement scales, followed by a large-scale quantitative survey with 958 valid responses. Structural equation modeling (SEM) reveals that the internal environment is the most influential driver of ORM, while the awareness and operation of the ERM framework (AOF) play a critical mediating role. Results emphasize that effective ORM requires a strong risk-aware culture, integrated digital systems, and clear risk communication. The study contributes theoretically by demonstrating a dual-channel mechanism, direct and mediated, through which organizational and technological factors shape ORM effectiveness. Practically, the findings highlight that sustainable ORM requires fostering a risk-aware culture, enhancing communication, aligning technology with ERM frameworks, and integrating risk management into strategic objectives. Policy recommendations emphasize the importance of leadership commitment, ethical governance, and systematic training to strengthen the internal environment and institutionalize ERM maturity, thereby enabling Vietnamese banks to build resilience and competitiveness in an increasingly digitalized financial landscape. Finally, enhancing leadership accountability, strengthening risk culture, and embedding ERM into daily operations and strategy. © 2026, Qubahan. All rights reserved.

Keywords

digital transformation; management sciences; policy; risk management; technology