Case-Based Risk Analysis Report
Case-Based Risk Analysis Report
Seaports are the bedrock of global trade. These facilities are much important in such that, a decline in the volume in the port system carries with it serious economic culminations. As stated in the 1997 Economic Benefit Study of California Ports and Harbors, the closure of even just a single port or harbor out of over forty ports and harbors of California’s system would weigh down other ports and harbors and would remarkably decline the Pacific Coast’s volume to transport goods and make rich use of ocean resources (Rust and King, 1997). Checked discharge of port systems makes them essential interchange in the transportation networks that join the coast to points inshore. In contrast to an intersection between roadways, a port is a great infrastructure investment. The special requirements of each manner of transportation that uses a port should be accommodated. Therefore, seaports are normally stabilized in one huge port area. If that infrastructure gets damaged and loses volume, shipment may not solely use another route as would be the case in the incident the roadway junction was to get damaged. In the example of California, the shipment would probably need to be re-routed not just out of the region but feasibly out of the state by that means creating a new set of logical issues for those who are handling the shipment of cargo and damaging the local economy of the region in which the port is situated. Natural tragedies can likely destroy a seaport. Any damage to port structures that diminishes their functionality will curb the capacity of a port which will result not just in financial losses connected with the replacement cost of the facility structures but will result as well in losses owing to downtime. This paper identifies the key issues which have a notable influence on risks connected with engineering activities based on risk assessment and management.
Identification and Risk Analysis
A strong relationship exists between risk and reward. It is commonly impossible in achieving the business gains without considering at least some risks. Therefore, the aim of risk management is not to entirely get rid of risk. In most instances, risk management attempts to optimize the risk-reward proportion within the circles of the risk tolerance of one's business. Below are potential risks on the industrial level.
Accidents. Larger machinery such as cranes and considerable storage capabilities in industries have the potential to increase the risks of accidents as well as damage to personnel, or equipment.
Pollution. This is another potential risk which can result from hazardous material release. The costs of clean up and fines can be tremendous. Because of lost revenues, an industry or port can shut down operations.
Technology. While enabling international trade, comes with its own risks as well with industries more dependent on IT systems than ever before for equipment management and repair. systems are in danger of cyber-crime and commercial and economic hurt industrial operators.
Natural disasters. These environmental disasters include asset sabotage, earthquakes, hurricanes, and terrorism. If such disasters occur, they will have a catastrophic damage to industrial infrastructure or even deaths. Disaster exposure, whether biological, chemical, or physical can produce a deadly response and may affect air, soil, water, organic resources, or the entire ecosystem and also plants and animals including humans and the environment where they live.
Internal failures. The business's internal systems, people, or processes, fail unexpectedly resulting in unforeseen outside incidents such as the breakdown of transformational systems.
Financial. This has to do with how the business is handling money. The likelihood that situations in the economy will be increasing one’s costs or reducing one’s sales.
Legal. The possibility that new regulations will upset one’s business or that one will sustain expenses and losses because of a legal dispute.
Even small engineering activities like construction have become more complex, and demand greater planning and innovation than ever before. New regulations, shorter deadlines, new features, new materials, and the push for greener structures drive an ever-changing terrain that requires contractors to incorporate technology to foretell and mitigate construction risk if one wants to be successful. According to KPMG’s International sector leader Armstrong, projects have become greater, bolder, and more complex- and with complexity appears risk. Many businesses are not even aware of the accountability or risks of an occurrence happening while they are conducting business across the globe. Furthermore, the legal and regulatory orders are further complicating this issue because they can be as diverse as the languages spoken, usually including highly complicated legal frameworks. In an effort to protect the surroundings while controlling societal costs, many countries are now bettering the legal and regulatory framework on the remediation and prevention of ecological damage. Among the biggest risks would be looking today are scheduling risks, cost connected risks, and worksite safety. These risks can be mitigated or reduced by the use of cloud-based software as a tool in helping to keep the life force of communication flowing, systemizing safety processes, and keeping conflicting and other issues from blasting a hole in the budget. When it comes to the safety such as in construction, one requires having the relevant information that is organized and readily available at one’s fingertips as it can prevent or mitigate many issues. While the target is always to attain the original considerable completion date, managing those anticipations is still remaining a huge challenge. Predicting the future is hard, to utter the least. One should tap all resources to create a genuinely effective productive schedule, and ensure that everyone has a reprint. Have it fixed on the contract demands and development at the milestone degree. The plan always to simplify the schedule into more achievable durations.
Plan for Measuring and Monitoring Performance
Measuring and monitoring performance is the longest chapter in the performance control cycle. During this stage, the evaluator/manager is supposed to be keeping an eye on the performance associated with the set objectives and always monitor it in order to keep it on the right path. In that way, the justification of this phase is not just to measure and evaluate the final outcome but to regulate the general performance all through the entire period between plan setting and evaluation. This provides the true importance to the performance management plan for it is a plan for management and not just for analysis of the performance. For this reason, service organizations are starting to view the performance from a large organizational perspective (Gomez and Yasin, 2013).
Risk perception is the intuitive judgment that individuals make about the severity and characteristics of a risk. Risk perception is normally used in reference to threats to the environment or health and natural hazards. For many decades, researchers have strongly shown that humans' instinctive judgment of risks differs from mathematics assessment of risks. For instance, even though Tianjin sea area is a high seismic activity area, the risk that resident of Tianjin will perish in an earthquake is mathematically smaller than respective to the risk that one will perish in a road accident. However, residents of Tianjin are much comfortable with driving but scared of being struck by an earthquake. The reason why this happens is that humans do not process and respond to risks purposely (Karl, 2018). They have intuitive beliefs concerning risks that do not match mathematical evaluation of risks. In conclusion, risk perception influences the people’s behaviors.
Risk communication is the technique of informing people about potential dangers to them, their community, or property. According to scholars, risk communication is a science-based process to effectively communicate in situations of high controversy, concern, or stress (Savoia, Lin, & Gamhewage, 2017). From the risk manager’s outlook, the aim of risk communication is to assist residents of affected communities to comprehend the approach of risk assessment and management, informing scientifically logical outlook of the likely dangers, and to involve in making decisions about how risk should be controlled. The tools of risk communication are visual, verbal, written statements comprising information about risk. In conclusion, risk communication is a crucial tool for distributing information and comprehension about risk control decision. This comprehension should enable stakeholders and other key people to establish a logical conclusion about how their decision will influence their values and interests.
The whole human undertaking is designed towards setting and attaining goals. Goals are part of each and every manner of life. So without setting or establishing goals and objectives, life turns out to be a progression of disorderly one does not control. Setting goals and objectives using the SMART principle, it brings trackability and structure into one’s goals and objectives. Rather than fuzzy resolutions, SMART goal establishment creates verifiable course towards a sure objective, with understandable milestones and an evaluation of the goals accessibility (Srivastava, 2015). The initial step in defining risk management goals and objectives is to define one’s organization’s shared prospects (Lawrey, 2015). And once the shared prospects have been expressed, the general risk management goals and objectives should be defined.
Goals and Objectives
* To design and...