When was the last time your team presented their plan to execute your next major milestone in your important project?
As you lean back in your chair and hear the “What”, “Why”, “Where”, “How” in the bullets and pictures on each of their presentation slides, you might be pleased with what you see.
Now, what is the alternative plan for this particular operation? Just in case.
The more you experience change and the real setbacks of your intended goals, achievements or anticipated outcomes, the realization occurs that you will need a “Plan B”.
You know, a back-up plan. Perhaps you even may need a fail-safe:
adjective
1: incorporating some feature for automatically counteracting the effect of an anticipated possible source of failure.
What is your universal unlock code? What is your alternative plan? How will you ensure the safety, security and service of your intended game plan today?
Unfortunately in business and in any other highly engineered or sophisticated operation that is vital to your growth and success, you will need to create an alternative plan.
Operational risk is defined as the risk of loss resulting from inadequate or failed processes, people, and systems or from external events. These risks are further defined as follows:
* Process risk – breakdown in established processes, failure to follow processes or inadequate process mapping within business lines.
* People risk – management failure, organizational structure or other human failures, which may be exacerbated by poor training, inadequate controls, poor staffing resources, or other factors.
* Systems risk – disruption and outright system failures in both internal and outsourced operations.
* External event risk – natural disasters, terrorism, and vandalism.
The definition includes Legal risk, which is the risk of loss resulting from failure to comply with laws as well as prudent ethical standards and contractual obligations. It also includes the exposure to litigation from all aspects of an institution’s activities.
How will you ensure the safety, security and service of your intended game plan today?
The teams who incorporate comprehensive Operational Risk Management (ORM) into each daily process, shall achieve their goals and will outperform the competition…
