Operational Risk Management (ORM) 2025 – 400 Free Practice Questions to Pass the Exam

The term 'loss event' specifically refers to any occurrence that results in financial loss or disruption to an organization. This can include various situations such as fraud, system failures, natural disasters, or other incidents that negatively impact the company's operations and financial standing. Understanding loss events is critical for organizations as it allows them to identify potential risks, monitor their impacts, and implement mitigation strategies.

The other options provided present concepts that are distinct from the definition of a loss event. A planned risk assessment meeting involves evaluating potential risks but does not characterize the occurrence of a loss itself. A successful operational strategy suggests effective management practices that enhance performance but does not pertain to adverse events, while an opportunity for business growth focuses on positive developments rather than negative occurrences like loss events. Thus, the correct choice effectively encapsulates the essence of what a loss event entails within the context of operational risk management.