Operational vs. Clinical Risk Management

From our Partners at ProAssurance

Risk management is the ongoing and systematic process of identifying, evaluating, and mitigating the potential threats, vulnerabilities, and events that negatively impact businesses or organizations. This article focuses on two types of risk management: operational and clinical risk management.

Operational Risk Management

Operational risk management focuses on how businesses run and the human-made errors inherent in operations that effectively threaten a business’ assets and reputation. The causes of risk are as unique as any organization, but the primary sources are usually people (including workforces), incomplete or failed processes, system issues (software or equipment vulnerabilities), and external events (geopolitical events, broken contracts). Operational risk assessment begins with identifying what could go wrong in the day-to-day activities and prioritizing those issues by severity using data benchmarks and industry knowledge. A designated member of upper management will guide team members on developing effective strategies to help report reduce, anticipate, and prevent these risks while maintaining government compliance.

Clinical Risk Management

The purpose of clinical risk management is to identify and mitigate risks and adverse events associated with patient care. Clinical risk management addresses the circumstances and human-made practices that contribute to medical errors, compromise safety, and that negatively impact a healthcare institution. The process endorses a culture of teamwork, training, and transparency, relying on the willingness of all parties involved in patient care to participate in the development of an effective risk management plan. These plans guide the development or revision of protocols and procedures with the aim of improving quality of care, promoting safe practices, and reducing the potential for liabilities.

Further information on operational and clinical risk management is available in ProAssurance’s Knowledge Center: https://proassurance.com/knowledge-center/operational-and-clinical-risk-management