What can be a consequence of neglecting ORM practices?

Neglecting Operational Risk Management (ORM) practices can lead to a heightened risk of accidents and incidents. ORM is designed to identify, assess, and control risks associated with operational activities. When these practices are overlooked, organizations may fail to recognize potential hazards, leading to unsafe conditions or actions that could result in accidents. This lack of awareness can culminate in severe operational failures, injuries, or even fatalities, which could otherwise be prevented through proper risk management. Effective ORM fosters a culture of safety and accountability, ensuring that risks are adequately addressed to protect personnel and operations.

The correct answer illustrates a core principle of ORM: that proactively managing risk is crucial for maintaining safety and operational integrity. Increased operational efficiency, wider employee satisfaction, and improved financial stability typically arise from robust ORM practices rather than from neglecting them. Thus, overlooking ORM can have detrimental consequences that undermine these positive outcomes.