Performance Risk

From Open Risk Manual


Performance Risk in HR context captures all risks concerning adverse developments to the firm's human resource pool.


  • It includes Key Person Risk (the impact of defections of key individuals) and
  • the risk of under-performance of employees versus agreed contracts.


In Credit Risk context performance risk is associated with a party’s ability to meet its obligations under a contract, in particular to procure, manufacture and ship goods, or provide services in a timely fashion according to quality standards

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