Question

To get to a remote village, you have to cross a wooden bridge that spans a deep chasm. concerned about the structural integrity of the bridge you halt and request aviation support through your chain-of-command to cross the gap. halting before crossing and requesting aviation support to cross the gap reflects which risk management principle?
a) accept rest when benefits outweigh the cost
b) accept no unnecessary risk
c) anticipate and manage risk by planning
d) make wrist decision at the right level

Answer 1

Answer:

B) accept no unnecessary risk

Explanation:

Operational risk management (ORM) clearly states that you should only accept risk when benefits outweigh the cost. ORM was developed by the US Department of Defense in order to reduce operational risk. Operational risk is usually not contemplated by traditional management since the risk of being murdered and utterly destroyed is not common for civilians, but is a constant risk during military operations.

The four basic principles of ORM include:

1. Accept risk when benefits outweigh the cost.
2. Accept no unnecessary risk: in this case, trying to cross the river using an unstable and poorly built bridge is an unnecessary risk.
3. Anticipate and manage risk by planning.
4. Make risk decisions in the right time at the right level.