Operational risk is the risk of loss resulting from inadequate or failed internal processes, people, and systems, or from external events. It's about the risks that arise from the day-to-day running of a business. In logistics, operational risks can include: Process failures: Such as errors in order picking or incorrect inventory recording. People failures: Like employee mistakes, fraud, or lack of training. System failures: For instance, IT system crashes that disrupt operations. External events: Such as natural disasters, power outages, or regulatory changes that impact operations.

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In logistics, operational risks can include:

Process failures: Such as errors in order picking or incorrect inventory recording.
People failures: Like employee mistakes, fraud, or lack of training.
System failures: For instance, IT system crashes that disrupt operations.
External events: Such as natural disasters, power outages, or regulatory changes that impact operations.

Operational risk

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