Operational risk management

[1] The U.S. Department of Defense summarizes the principles of ORM as follows:[2] The International Organization for Standardization defines the risk management process in a four-step model:[3] This process is cyclic as any changes to the situation (such as operating environment or needs of the unit) requires re-evaluation per step one.

The U.S. Department of Defense summarizes the deliberate level of ORM process in a five-step model:[2] The U.S. Navy summarizes the time-critical risk management process in a four-step model:[4] The three conditions of the Assess step are task loading, additive conditions, and human factors.

This refers to balancing resources in three different ways: This is accomplished in three different phases: Operational Risk Management (ORM) is not just a compliance requirement; it’s a foundation of business strategy that ensures long-term success.

[7] The role of the Chief Operational Risk Officer (CORO) continues to evolve and gain importance.

The position is also required for Banks that fall into the Basel II Advanced Measurement Approach "mandatory" category.