Efficient and effective operational risk management processes and controls drive better business decisions in less time. Unfortunately, the relationship between operational risk management and data storage, integration and access is often misunderstood.
The good news is that companies are taking steps toward more data-driven approaches to their risk-based decisions.
To its credit, the industry has started to make the implementation of better operational risk management tools and processes a priority, not only to increase safety and environmental performance but also because it makes business sense.
Risk management failures are leading factors to some of the largest and most expensive environmental disasters the petroleum industry has ever seen. Cutting corners to save time or money shouldn’t happen when process efficiencies and cost savings can be easily realized through better data capture, storage, and dissemination. The importance of, and access to, quality data cannot be understated. Data management starts with well-structured data and sound practices to manage semi and unstructured data.
Too often, critical business decisions are made based on siloed and sometimes stale data. The smooth transfer of information, in real-time, across multiple departments and disciplines in different – often remote – locations can help to prevent costly, catastrophic events. While the best intentions are to save $1 today, the organization will end up spending $10 tomorrow.
Operational risk management is evolving rapidly due to the adoption of new technologies and the use of additional data. Today’s advanced practices, employed by leading-edge companies, are more targeted, more efficient, and result in operational excellence and truly integrated business decision-making.
Change can be difficult, but without good data, the future, which includes machine learning and AI, is a pipe dream. In order to put data to work, you must have good quality and structured data. The window of opportunity to digitize your data is small – don’t be left behind. Resource Energy Solutions (RES) can help.