Often abbreviated to ORM, operational risk management is the ongoing cycle of processes by which an organisation identifies risk, analyses risk value and ultimately implements the necessary controls to accept, mitigate or avoid each risk entirely. Or in other words, ORM refers to the entire risk management framework within an organisation to control, minimise and avoid risk. Operational risk incorporates any risk of loss resulting from failed or inadequate internal processes, systems or people, or any external events. ORM contributes toward the wider performance of the business, allowing goals and targets to be reached more effectively and efficiently.
This advanced tutorial has been designed for senior managers, business owners and anyone involved in risk management at any level. Explore the scope of operational risk and the benefits of operational risk management, along with how to implement an ORM strategy and ensure its effectiveness. Study new business development, types of people risk, health and safety risk categories, HRM practices, regulatory issues, statutory requirements and more.