What principle is at the core of the Operational Risk Management (ORM) process?

The core principle of the Operational Risk Management (ORM) process is identifying and managing risks. ORM is designed to provide a systematic approach to help individuals and organizations make informed decisions about risk in various operational contexts. The essence of ORM lies in the proactive identification of potential hazards or risks associated with operations, assessing their potential impact, and implementing measures to manage or mitigate these risks effectively.

By focusing on this principle, ORM promotes a culture of awareness and preparedness, allowing personnel to operate safely while recognizing that risks cannot be entirely eliminated. Instead, they can be managed to acceptable levels through careful planning, training, and the application of safety measures. This process enhances safety outcomes, improves decision-making, and fosters an environment where risks are continuously evaluated and addressed.