What is the first step in the Operational Risk Management (ORM) process?

The first step in the Operational Risk Management (ORM) process is to assess the hazards. This step is crucial because it involves identifying and understanding potential risks that can affect the operation or mission. By assessing hazards, individuals or teams can recognize what could go wrong and evaluate the potential consequences of those hazards.

During the hazard assessment, relevant factors such as the nature of the tasks being performed, involvement of personnel, and potential environmental impacts are examined. This foundational step allows for an informed understanding of the risks before proceeding to develop strategies for managing those risks, including making decisions, implementing controls, and ultimately supervising activities to ensure safety and risk mitigation.

Overall, by beginning with a thorough assessment of hazards, the ORM process sets the stage for effective and informed decision-making in subsequent steps.