Operational Risk Management Refresher Training 30 SW/SEG

Why ORM? You've done it a thousand times. It comes naturally to you. Nothing could possibly go wrong, right ?

Think Again!

ORM is just Common Sense!!

What is ORM? Definition Safety vs ORM The Basic Principles of ORM ORM Six Steps Three Levels of ORM Questions

Operational Risk Management A way to identify hazards and assess risks, revealing what actions will maximize mission effectiveness and minimize losses.

Safety’s Place Hazards, risks, and losses associated with the safety of personnel and property are an essential part of any RA, but ...

Basic Principles of Risk Management 1. Accept no Unnecessary Risks 2. Make Risk Decisions at the Appropriate Level 3. Accept Risk When Benefits Outweigh the Costs 4. Integrate ORM into Operations and Planning at all Levels

Three Levels of ORM Time Critical Deliberate Strategic Each requires a different amount of time and detail Can Range from 1 minute to 1 week All are ORM and use the Six Steps

Time Critical ORM DDD (dumb, different, dangerous) Individuals taking time to think before acting DDD (dumb, different, dangerous) Start Step 1, “What could go wrong” – rest follow On-and Off-Duty applications Risk Management culture

Deliberate Process ORM Focus on a problem/improvement area Run through first three steps to provide options for decision maker Primarily for on-duty purposes Checklist ORM Integrates ORM into everyday operations Requires ORM process to start Duty applications – also works for leaves, TDYs, high risk activities

Strategic ORM Evaluate risks before operations start Focus on planning process Evaluate risks before operations start Save money and time Takes the longest amount of time – produces greatest results

ORM Six Step Process

Step 1 - Identify the Hazard What could go wrong? Make sure you understand the task and scope of the operation Use the experts to identify hazards Use Your Resources

Step 2 - Assess the Risk How likely and how big a loss is possible? Attempt to measure “expected loss” Severity x Probability

Sample Risk Matrix

Step 3 - Analyze Risk Control Measures What can we do? Produce as many viable options as possible for leadership to consider Include all parties projected to be affected by, or take part in any proposed changes Devise a game-plan to avoid, reduce/ eliminate, spread, transfer, or delay the risk

Step 4 - Make Control Decisions What are the best options? Risk decisions should be made by the person directly responsible for the operation Solution: Provide supervisors with the best situational awareness possible

Step 5 - Implement Control Measures How do we make it happen? Brief to affected parties and integrate into daily operations Commit necessary resources to plan Time, Money, People

Step 6 - Supervise and Review Evaluate implementation and effectiveness of game-plan Determine if objectives are met Document entire effort to ensure validity and preservation for future assessments

What’s my role in ORM

Personal Risk Management You don’t have to do a formal assessment Run these steps in your mind Think before you Act Dumb, Different, Dangerous Use ORM--Protect Yourself--Have more Fun!

Way Ahead Use Personal Risk Management IDENTIFY HAZARDS! Use risk management to improve effectiveness and safety

ORM Resources 30 SW ORM Training Guide 30 SWI 90-901, ORM AFI 90-901 ORM Program AFPAM 90-902 Guidelines and Tools USAF Risk Management Information System (AFSC website: https://rmis.kirtland.af.mil/index.asp) 30 SW ORM website – link on the VAFB Intranet

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