ORE2 tailings tactical and strategic

As stated earlier ORE2_Tailings™ allows to define in a clear, transparent, and reproducible way which risks are tolerable or intolerable. Among the intolerable risks ORE2_Tailings™ allows to define which risks are tactical and which ones are strategic.

We discussed tactical and strategic planning for dam portfolio using ORE2_Tailings™  in https://www.riskope.com/2021/06/30/tactical-and-strategic-planning-for-dam-portfolio-using-ore2_tailings/.

 In our reports we show that risks of the considered portfolio belong to a three families as follows:

• tolerable, meaning they are below the risk tolerance of the client. These risks are tolerable, meaning they should not receive any attention until all the other risks are under control;
• intolerable, meaning above tolerance), but manageable. These risks could receive mitigations (for a cost) which push them down, below the tolerance threshold before hitting the credibility threshold. These risks can be mitigated to a selected level of mitigation vs. available funds;
• intolerable and unmanageable. These risks cannot realistically (financially) “slide” below tolerance. Management should find a way to “live with these risks” or “change the system” in order to alter those risks. “Living with the risks” means finding ways to reduce them as far as rationally and sustainably possible. This requires following a risk informed decision making structured process.

In Chapter 10 we show howone can deploy ORE2_Tailings™  during the mitigation design process in order to support decision-making.

The process depicted in Chapter 10 allows to transparently and rationally discuss what constitute an attainable and sustainable level of mitigation. This is possible even for slopes/dams that are above the societal acceptability criteria and will remain above corporate tolerance despite rational, sustainable and well-balanced decisions related to risk mitigation.

Take away #8: Tactical and strategic risks.

Tagged with: decision, Intolerable, risk, Risk Assessment, Strategic, Tactical planning, tolerance

Category: Consequences, Hazard, Mitigations, Optimum Risk Estimates, ORE2_Tailings, Probabilities, Risk analysis, Risk management, Tolerance/Acceptability, Uncategorized