Disaster Recovery Journal Summer 2023

How to Take Your Risk Management Skills to the Next Level By MOSTAFA SAYYADI & MICHAEL J. PROVITERA E xecutives are spending more time today concerned about operational risk management than ever before. Operational risk management is at the forefront of business success and has relative value in organizations throughout North America and the rest of the developed world. Executives who manage operational risk and use it as an important driving force for business suc cess find their clients to be more competi tive and on the cutting edge. In industrial-organizational econom ics, organizations were assumed to be

defenseless entities against threats, and opportunities happened in business envi ronments that were serendipitous versus planned and organized. Operational risk management is the counterpoint of this approach and has been developed to offset problems before they occur, to adjust or ship resources accordingly in the event of a threat. Today, the question remains, how can we establish the relationship between operational risk management and knowl edge management? The answer is that operational risk management is an opera tional approach to represent knowledge management and seeks to apply organi zational knowledge in order to effectively manage the risks associated with running a company. Similar to customer relationship management, knowledge management is an enabler for identifying and satisfying customers’ needs and manifests itself as

38 DISASTER RECOVERY JOURNAL | SUMMER 2023