The Relationship between Operational Performance and Financial Risk in Private Banks in Iraq

Abstract

This research aims to demonstrate the importance of both operational performance and financial risk in the life of organizations and their business, and hence the relationship of the impact of financial risk on operational performance. In order to achieve the results of this research and to show the extent of the impact and relationship with each other, we relied on the analytical method, in order to ensure the reliability and accuracy of the results we reached. The research society was represented by a group of 18 banks operating in the private sector, and listed in the Baghdad Stock Exchange, The problem of the study was formulated in a statement of the impact of financial risk on operational performance. A virtual model was constructed in a descriptive format, which is the most important step in the scientific studies, to reflect the picture of the summary of the relationship between the two variables in order to construct a specific system that reflects the research and its hypotheses. To clarify the relationships between the two variables in an inexplicable manner. The measurement of the operating performance was used to measure the margin of sales, while the financial risk was measured by the probability of their occurrence. In order to measure the variables of the research, a set of statistical tools was used through the Spss program and Excel 2010 to extract financial indicators and knowledge of the banks research sample, in order to reach the final outcome.