operational risk management (orm) 721 air mobility operations group. 1. identify the threats of harm...
TRANSCRIPT
Operational Risk Management(ORM)
721 Air Mobility Operations Group
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1. Identifythe Threats of Harm
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
4. MakeControlDecisions
5. ImplementRisk Controls
6. Superviseand Review
ORM PUBLICATIONS
•AFPD 90-9, Operational Risk Management
•AFI 90-901, Operational Risk Management
•AFPAM 90-902, Operational Risk Management Guidelines and Tools
.1. Identifythe Threats of Harm
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
WHAT IS ORM?
• ORM is a logic-based common-sense approach to making calculated decisions on human and material factors before, during, and after missions, activities, and operations both on- and off-duty.
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1. Identifythe Threats of Harm
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
WHAT IS ORM?.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
•Using common sense and not being stupid!
•Problem -- Common sense isn’t always common and to some people it doesn’t always make sense.
OPERATIONAL RISK MANAGEMENT
•Why do I need it?–It could save your life
•Who should use it?–Everyone
•When do I use it?–All of the time--on-and-off duty
•How do I use it?–Read on
.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
TYPES OF ORM
•Time- Critical (done in your head)–Takes only a minute or so to do–You do this each day (hopefully)
•Deliberate–This may take a few hours or it could take weeks
•Strategic–Very long term (could take months or years)
.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Example of Time-Critical ORM
•You just finished working a 12-hour shift and your buddy says, “Why don’t we drive to Dallas?”
•What are the risks?
•How serious are the risks?
•Analyze the situation
•Make your decisions and implement risk controls
.1. Identifythe Threats of Harm
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
Example of Time-Critical ORM
• Risks–Falling asleep while driving–Running off the road–Colliding with an on-coming vehicle
• How serious?–Very, you could kill someone - maybe you
• Analyze the situation... –Sure, I’ll go to Dallas---but first I need some sleep
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2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Fundamental Goals of ORM
•Enhance mission effectiveness
•Integrate ORM into mission processes
•Train all AF personnel to manage risks in all their on-and off-duty activities
•Identify opportunities to increase Air Force combat effectiveness
.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
ORM PRINCIPLES
•Accept no unnecessary risks
•Make risk decisions at the appropriate level
•Accept risks when benefits outweigh costs
•Integrate ORM into AF doctrine and planning at all levels
.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Accept No Unnecessary Risk
•Risk is the probability and severity of failure or loss resulting from exposure to various threats of harm
•Three reasons for unnecessary risk:–Not aware of the risk–An incorrect assessment of cost versus benefit–Interpreting “bold risk taking” as gambling
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2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Make Risk Decisions at theAppropriate Level
•Who will answer in the event of an accident?
•Who is the senior person at the scene of the task?
•Who knows the full benefits and cost of a risk?
•What level makes the most operational sense?
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2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Accept Risks When BenefitsOutweigh the Costs
•The three key questions are:
–What is the potential cost of a risk versus the benefit it may produce?–What is the cost of taking a risk versus the cost of not taking a risk?–Do the total benefits outweigh the total costs?
.
2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Integrate ORM Into AF Doctrine and Planning
At all Levels
•Risks are more easily assessed and managed in the planning stages of a task
•Early integration provides the decision maker the greatest opportunity to apply ORM principles
•Use the Air Force 6-Step Process
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2. Assessthe Risk
3. AnalyzeRisk ControlMeasures
6. Superviseand Review
5. ImplementRisk Controls
4. MakeControldecisions
1. Identifythe Threats of Harm
Step 1 - Hazard ID
� Threats of Harm – Any real or potential condition that can cause mission degradation, injury, illness, or death to personnel or property damage to or loss of equipment or property
Step 2 - Risk Assessment
� Use the Risk Assessment Matrix to assign a “Value” to threats of harm (AFPAM 91-215)�Assessment Pitfalls:
–Over Optimism - “It can’t happen to us. We’re already doing it.”–Inaccuracy - Misunderstood data–Alarmism - “The sky’s falling!”–Prejudice - Hidden agenda vs facts
Step 3 - Analyze Risk ControlMeasures
� There are three actions involved in this step:
– Identify Control Options–Determine Control Effects–Prioritize Risk Controls
Action 1 - Identify ControlMeasures
� Reject - Risk Outweighs the Benefit
�Avoid - Do it a Different Way
�Delay - Problem May Go Away
�Transfer - Contract Out the Task
�Reduce - Incorporate Safety Devices
Action 2 - Determine ControlEffects What is the impact on the probability and severity of the threat of harm?
�What will the risk control cost?
�How will various risk control options work together?
Action 3 - Prioritize RiskControls
� Get operator input
� The best controls minimize the threats of harm to an acceptable level, while allowing completion of the mission.
Step 4 - Make Control Decisions
� Select the best risk control
�Choose the right time to implement the control
�Decide on the appropriate level of implementation.
Step 5 - Implement RiskControls
� Make implementation clear–Involve all personnel and coordinate as needed
�Establish accountability–Who will be responsible
�Provide support–Give feedback on results
Why Implementation Sometimes Fails
� Operators dislike it
�Leaders dislike it
�It’s too costly
�It’s misunderstood
�Wrong control for the problem
Step 6 - Supervise & Review
�Supervise - Assure controls are effective and detect needed changes
�Review - Was the benefit worth the cost
�Feedback - Cross talk and supply feedback up and down the chain of command
Final Thoughts
� All AF instructions/directives incorporate ORM into processes and need continued emphasis
� Some level of risk management must be used for all tasks and operations
�ORM is simply applying common sense on and off-duty
ORM Information
�For additional information Go to the Air Force Safety Center website at http://www-afsc.saia.af.mil/