What are the three levels of Operational Risk Management?

The three levels of Operational Risk Management are classified as In-depth, Deliberate, and Time Critical, which correspond to different contexts and timeframes in which risk management is applied.

In-depth risk management involves thorough analysis and planning, often utilized in long-term projects or operations, where risks can be identified and mitigated well in advance. It allows for a comprehensive understanding of potential hazards, enabling the implementation of extensive strategies and controls to manage risk effectively.

Deliberate risk management occurs in situations that require some urgency but still allow for planning and thoughtful decision-making. This level is often used in scenarios where there is some lead time to evaluate risks and develop a plan of action, thus balancing the need for control with the realities of operational tempo.

Time Critical risk management is applied in fast-paced situations where decisions must be made quickly. This level focuses on immediate risk assessment and management, often in response to unexpected events or emergencies. The ability to make rapid decisions can be crucial in these contexts to mitigate risks effectively and respond to threats as they arise.

This three-tiered approach provides a flexible framework that adapts to the situational demands of risk management, ensuring that different scenarios are handled with appropriate strategies based on the urgency and complexity of the risks involved.