What are the actions taken or measures that are put in place to eliminate a hazard or reduce the associated identified risk defined as?

The actions taken or measures implemented to eliminate a hazard or reduce its associated risk are fundamentally referred to as controls. Controls are essential components in risk management frameworks and are designed to reduce exposure to potential losses by prescribing specific actions, behaviors, or policies that address identified risks effectively.

In the context of operational risk management, controls are typically categorized as preventive, detective, or corrective. Preventive controls are put in place to avert incidents before they occur, while detective controls aim to identify and address any issues that arise in a timely manner. Corrective controls are designed to address and fix the harm after it has occurred.

While mitigation strategies and preventative measures also focus on reducing risks, these terms are often broader in scope and may not cover the complete range of specific actions that define controls. Mitigation strategies can include techniques beyond immediate action measures, such as risk transfer or avoidance, which may not be strictly classified as controls. Risk assessments, on the other hand, are the processes undertaken to identify and evaluate risks, but they do not inherently involve the actions taken to manage those risks.

Thus, controls specifically encapsulate the actions adopted to directly manage risks and are crucial in achieving effective operational risk management.