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Lesson 4.6 - Operational Incident Severity

Not Every Problem Is a P1

A client complains about one delayed order. Another Dealer reports “system down” without verification. Meanwhile, a genuine quote source-wide disconnect affects multiple symbols.

The Desk needs a common language for impact and urgency.

Severity Example Typical Response
P4 Isolated minor issue, no broad impact Record and monitor
P3 Limited symbol/client impact Investigate and notify Shift Leader / follow-up
P2 Material impact to a product/group/system function Cross-team escalation
P1 Widespread trading, connectivity or risk impact Immediate incident management
Detect Verify
Verify Assess Scope
Scope Classify Severity
Severity Communicate Facts
Communicate Execute Approved Response
Act Monitor Recovery
Monitor Document / Review

Every initial incident update should include:

  • Time.
  • What is observed.
  • Affected systems/symbols/client scope.
  • Verified facts.
  • Current impact.
  • Action already taken.
  • Next update time.

quote source-Wide Disconnect

Observed: - Multiple symbols lose Quote Source B participation. - Bridge logs show session disconnect. - Routing shifts to backup quote source route. - Spreads widen on affected symbols. - Client impact remains limited, but potential risk is material.

Likely classification: P2 initially, with escalation if backup routing cannot maintain execution quality.

❌ Calling a P1 before verification. ❌ Understating a broad impact because one screen looks normal. ❌ Reporting opinions as facts. ❌ Failing to specify impact and next action. ❌ Closing incident without monitoring recovery.

Severity classification helps Dealing Room respond proportionately. Good incident response begins with verified facts, scope and disciplined communication.


End of Chapter 4 Module A

Completion Criteria

  • Can explain the key risk or operational objective of this lesson
  • Can identify the required systems, data, or evidence to review
  • Can describe the correct escalation or handling process
  • Has completed Shift Leader / follow-up review or practical confirmation