What are the risk levels associated with ORM?

The risk levels associated with Operational Risk Management (ORM) are categorized as In-Depth, Deliberate, and Time Critical. This classification reflects the varying levels of detail and consideration required to manage risks effectively based on the situation.

In-Depth risk management involves thorough analysis and planning, where risks are extensively evaluated, and multiple contingencies are developed. This level is essential for complex projects or decisions that have significant stakes, enabling teams to foresee potential issues and prepare adequately.

Deliberate risk management applies a more measured approach where risks are assessed with considerable thought but may not require exhaustive analysis. This is often used in routine operations where standard procedures are in place, allowing for efficient decision-making without extensive resources.

Time Critical risk management focuses on making rapid decisions with limited information, often in urgent scenarios where immediate action is required. This approach acknowledges that in high-pressure situations, a swift response might be necessary to mitigate risks, even though comprehensive analysis is not feasible.

The other classifications—such as Low, Medium, and High; Corporate, Operational, and Tactical; or Simple, Complex, and Challenging—do not align with the specific framework of ORM that aids in practical decision-making in varying situations during risk evaluation and management. Instead, they reflect different contexts