SECTION 2 Use test
Competent authorities shall assess that an institution uses the AMA for internal purposes by confirming at least the following:
that the institution's operational risk measurement system is used to manage operational risks across different business lines, units or legal entities within the organisation structure;
that the operational risk measurement system is embedded within the various entities of the group and, where it is used at a consolidated level, that the parent institution's AMA framework is extended to the subsidiaries, and that those subsidiaries' operational risk and business environment and internal control factors (BEICF) referred to in Articles 322(1) and 322(6) of Regulation (EU) No 575/2013 are incorporated in the group-wide AMA calculations;
that the operational risk measurement system is used also for the purposes of the institution's internal capital adequacy assessment process referred to in Article 73 of Directive 2013/36/EU.