(54cm) Management Role in the Building Siting Evaluation

Authors: 
Kulkarni, J., Risktec Solutions
Simoes, V., Risktec Solutions
Smith, K., Risktec Solutions
Facility Siting Studies can be done using two approaches, one is the “Consequence-Based” and the other is the “Risk-Based”. Both approaches have their own limitations.

The “Consequence-Based” approach generally lead to conservative results that might require action such as building relocation or retrofit. Both of which can be expensive. Where-as “Risk-Based” approach takes into consideration numerical values for both the consequence and the frequency (likelihood) for a range of credible scenarios affecting the buildings. Results could then be compared with the acceptable risk criteria to provide a more realistic view of the possible impact to occupants within the buildings. This approach, as opposed to others, can minimize subjectivity while providing a more rational decision making process for the management. “Risk-Based” approach also provide an additional level of analysis for the management to validate the HAZOPs or What-If studies.

The results from the “Risk-Based” facility siting could be used by management in:

  1. Better understand and identify the major contributors to risk and focus the spending on them allowing the company to minimize the risk to an acceptable level;
  2. Risk transfer (insurance), allowing the company to determine and work on minimizing insurance premiums;
  3. Incident Management, determining the right emergency response plans and exercises for example;
  4. Land-use restrictions.
  5. Better understanding for the stakeholders.