Which ORM step involves identifying risk vs gain?

Which ORM step involves identifying risk vs gain?

• A. Identify risk vs gain
• B. Identify hazards
• C. Assess Risks
• D. Execute decision

Answer: (A)

In ORM, the essential action is weighing the potential risk against the expected benefit to decide whether to proceed, modify the plan, or stop. This is the step where you determine if the mission’s gain justifies the hazards and what level of risk you’re willing to accept after applying controls. That balancing act—identifying risk versus gain and then making the call to proceed or adjust—is what guides the risk decision. Identifying hazards is about spotting what could cause harm, not about judging whether the overall risk is acceptable. Assessing risks involves evaluating how likely those hazards are and how severe they could be. Executing the decision is putting into action what was decided, including applying controls if needed.

In ORM, the essential action is weighing the potential risk against the expected benefit to decide whether to proceed, modify the plan, or stop. This is the step where you determine if the mission’s gain justifies the hazards and what level of risk you’re willing to accept after applying controls. That balancing act—identifying risk versus gain and then making the call to proceed or adjust—is what guides the risk decision.

Identifying hazards is about spotting what could cause harm, not about judging whether the overall risk is acceptable. Assessing risks involves evaluating how likely those hazards are and how severe they could be. Executing the decision is putting into action what was decided, including applying controls if needed.