Providing an understanding of risk to build and optimize
risk management and preparedness programs.
Fires, hurricanes, workplace violence, supplier failure, and terrorism—the list of potential hazards is long. Casualties, property damage, business interruption, environmental contamination, customer defection, and regulatory scrutiny—are some of the potential impacts that could challenge your organization. What’s the likelihood that one of these hazards or others will impact your organization? What are the vulnerabilities that would contribute to greater losses? What can be done to minimize risk? An "all-hazards" risk assessment should answer these questions.
Managers make frequent decisions to accept, avoid, transfer or finance risk. Safety and security professionals build loss prevention and hazard mitigation programs. Emergency managers and business continuity practitioners build preparedness programs. Understanding hazard and operational risks—their likelihood and potential impacts—is a prerequisite for effective risk management. Loss prevention, hazard mitigation, emergency management, and business continuity programs require an in-depth understanding of potential risk. Completing a thorough risk assessment that answers the following questions is the only way to gain that understanding.
Preparedness, LLC can conduct a risk assessment to identify potential threats and hazards and their impacts; assess the adequacy of loss prevention, security, and hazard mitigation programs; provide detailed recommendations and specifications to minimize risk; and compile information to provide an integrated, multi-site and multi-department view of risk within the organization.
Our preparedness bulletins provide guidance for program development, implementation, and evaluation.
Conduct a risk assessment to identify the threats and hazards that could cause unacceptable impacts to the assets of your organization. Potential impacts are determined by the location and magnitude of the hazard, and vulnerabilities of the infrastructure, site, buildings, operations, systems, equipment, and people. A comprehensive risk assessment will provide a picture of risk that can be used to prioritize hazard mitigation and build other preparedness programs.
A BIA is a management-level analysis that identifies the potential impacts of business interruption and their escalation over time. Loss of revenue, loss of market share, deferred revenue (cash flow), increased expenses, regulatory fines, and contractual penalties (or loss of incentive bonuses) can be estimated. Impacts on relationships with customers, regulators, and other stakeholders are also considered.
There are many potential causes for supplier failure, and the impact to business operations can be significant. Analysis of supplier risk should begin by identifying the products that generate the most value to the organization. Next, identify the suppliers for those product lines. Survey all suppliers that are sole or single source then others that are considered highly valued. Construct a risk survey to help you understand the resiliency of your critical suppliers.
Emergency plans should include actions to protect life safety from foreseeable hazards identified during the risk assessment. Protective actions include evacuation, lockdown, and shelter-in-place. If an armed perpetrator is inside a building threatening or actively using a weapon to harm people, occupants must know whether to “run” from the building; “hide” from the perpetrator(s) (also known as “lockdown”), or “fight” (counter) the perpetrator.
Before the heavy snow warnings are broadcast and the frigid blasts of arctic weather arrive, it’s important to prepare your facility and your employees. Preparations before the severe weather can save costly damage to equipment and facilities and maintain important fire and life safety systems. Plans should also include actions to be taken if power or other utilities are interrupted.
Melting snow can combine with rain in the winter and early spring; severe thunderstorms can bring heavy rain in the spring and summer; or tropical cyclones can bring intense rainfall to the coastal and inland states in the summer and fall. Flash floods occur within six hours of a rain event, after a dam or levee failure, or following a sudden release of water held by an ice or debris jam.
Hurricane season begins each year on June 1. No matter the forecast for number of storms, major hurricanes, and land-falling hurricanes, it only takes one storm to cause many deaths and billions in damages. “Superstorm” Sandy was not technically a hurricane when it made landfall, but it caused billions in damages. Recovery efforts continue years later.
Summer is thunderstorm season, and thunderstorms bring lightning, heavy rainfall, hail, and tornadoes. Resulting fatalities, property damage, and losses from business interruption are significant. Natural hazards can’t be prevented, but emergency management can protect life, mitigation can reduce property damage, and business continuity planning can speed recovery and reduce operational impacts.
Since 2009 the world has not faced a significant pandemic, but experts warn it is just a matter of time. The Center for Infectious Disease Research and Policy (CIDRAP) reports that pandemics occur on average roughly three times per century. However, “scientists wouldn’t be all that shocked if pandemics started coming more frequently.” Now is the time to review, update, and exercise a pandemic preparedness program.
Will your preparedness program safeguard lives if there is a fire or active shooter? Will business continuity strategies enable you to continue priority operations when your building can’t be reoccupied? Will your communications plan enable you to quickly and effectively communicate with your customers and stakeholders as news is tweeted and blogged soon after emergency vehicles arrive? Auditing your program will answer these questions and identify opportunities for program improvement.