ANIL KUMAR SHARMA

Principles of Risk Management

Risk Management

RISK MANAGEMENT

RISK REDUCTION
RISK ASSESSMENT
Activity Option Analysis Implementation
Characterisation


 Monitoring
Hazard Identification


Decision Making Audit or Review
Risk Estimation

RISK EVALUATION
RISK ANALYSIS
RISK ASSESSMENT
Regulation 3(1) of the ‘Management of Health and Safety at Work
Regulations 1992 states:-
 Risk assessment can be a
‘very straightforward process based on judgement requiring
no specialist skills or complicated techniques.’
Quantitative Risk Assessment (QRA)
The Risk Management Process
Risk Management Process : Risk
 Assessing The Risks : QRA

Commonly used in the high technology

industries, QRA tends to deal with the
avoidance of low probability events with
serious consequences to the plant and the
surrounding environment.
Risk Management Process : Risk Assessment
Risk Management Process : Risk
Risk Management Process : Control
Risk Management Process : Risk Control
Risk Management Process : ALARP
Failure Modes and Effect Analysis
Hazard & Operability Studies
HAZOP : A Team Approach
HAZOP
 HAZOP

V3

V4
B
A
V2
V1
V5

A < B = Explosion C
Fault Tree Analysis
Fault Tree Analysis
 Fault Tree Event

Lamp does not

light
LAMP
No current
through the lamp

POWER
UNIT

+ BATTERY Faulty No power supply

Lamp to the lamp

-
FUSE SWITCH
No power feed Broken circuit

Broken Defective Defective

No Power No Power
Circuit switch fuse
from battery from unit
Determine Risk
SEVERITY OF HARM
Likelihood of harm
 Risk Management Process
RISK LEVEL ACTION AND TIMESCALE

TRIVIAL No action is required and no documentary records need to be kept.

TOLERABLE No additional controls are required. Consideration may be given to a

more cost-effective solution or improvement that imposes no additional
cost burden. Monitoring is required to ensure that the controls are
maintained.

MODERATE Efforts should be made to reduce the risk, but the costs of prevention
should b e carefully measured and limited. Risk reduction measures
should be implemented within a defined time period.
Where the moderate risk is associated with extremely harmful
consequences, further assessment may be necessary to establish
more precisely the likelihood of harm as a basis for determining the
need for improved control measures.

SUBSTANTIAL Work should not be started until the risk has been reduced.
Considerable resources may have to be allocated to reduce the risk.
Where the risk involves work in progress, urgent action should be
taken.
INTOLERABLE Work should not be started or continued until the risk has been
reduced. If it is not possible to reduce risk even with unlimited
resources, work has to remain prohibited.
 Risk Management Process

ALARP : risk is reduced to a level of

ALARP, at a point in time in relation to the
difficulty and cost in achieving a
commensurate level of risk reduction
Risk Management Process
Risk Management Process : Bow Tie Diagram
 Risk Management Process : Control Barriers

Adverse
incidents
Hazard Supervision Communication Competence &
barrier barrier barrier accidents
Hierarchy of Controls

If you see a Hazard,

Eliminate it
Hierarchy of Controls

If you can’t eliminate it,

Substitute it
Hierarchy of Controls

If you can’t substitute it,

Control it
Hierarchy of Controls

AND,

Administrative Controls
Hierarchy of Controls

AND,

Wear Appropriate PPE