Critical Success Factors for the Implementation of an Operational Risk Management System for an Organization

In today’s world, most of the organizations are exposed to changes and these organizations have been affected by unsystematic changes such as changes in the political scenario, economic situation (uncertain interest rates, foreign exchange rates), social changes and systematic risk such as internal controls, corporate governance, and information technology systems. This highlights the importance of operational risk management systems in an organization, particularly those run-in situations of volatility and uncertainty. Organizations need to invest in operational risk management (ORM) systems to successfully implement it and make it effective. It is not enough to just have an ORM system for the different types of organizations and during the life cycle of an individual organization. It needs certain critical factors that make the ORM effective and successful. The aim of this study is to understand the operational risk management system better and identify the critical success factors for its effective implementation in an organization.