Transcript RISK MANAGEMENT FOR COMMUNITY EVENTS

RISK MANAGEMENT FOR
COMMUNITY EVENTS
Today’s Session
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Risk Management – why is it
important?
Risk Management and Risk
Assessment concepts
Steps in the process
Risk Assessment Tools
Risk Assessment worked examples
Risk Management – why is it important?
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Things don’t always “go to plan”, especially when there
isn’t a plan!
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People have many great ideas and the best intentions, but
it is important to give some thought as to whether it is
safe, financially viable or responsible to the community to
carry the idea out.
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If activities aren’t thoroughly planned there is a greater
likelihood of unexpected impacts occurring – hoping for
the best is not a reliable strategy!
Why is it important? cont’d
Risk Management
 On-site safety at an event or activity is paramount. The
public expects to be able to enjoy your event in safe and
secure surrounds - and you as event organisers need to
identify potential hazards during the planning of, and on
site during the event, and work to implement solutions.
 The principles can be applied to activities wholly
carried out by an organisation or to those carried out by
external groups that have a connection with a host
organisation, such as independent stall holders at a
festival.
Risk Management and Risk Assessment concepts
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Risk is defined as the chance of something happening that
will have an impact on objectives – it can be positive or
negative.
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Risk management involves applying a consistent approach to
identifying risks, assessing the impact of those risks and
identifying means to reduce the chance of the risk occurring
or lessen its impact if it does occur.
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Risk assessment is the process of risk identification, risk
analysis and risk evaluation and provides an indication of
whether action needs to be taken to deal with the risk under
consideration.
Risk Management
Risk Management strives to assist public, private or
community enterprises, groups and individuals to —
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create confidence to proceed with their project / activity,
increase expectation of success or preventing a loss,
plan in a structured, rather than haphazard manner, and
help identify the best way to use available resources and
comply with regulations.
It is not just about having insurance cover or avoiding legal
action.
Risk Management
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Risk assessment can be thought of as a process of
thinking ahead, of determining whether there is any
risk associated with an activity or procedure thinking about what could go wrong.
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Risk assessment is all about taking steps to avoid
or minimise the potential consequences of any
unwanted situation or event.
Steps in the Process
1. Establish the Context
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Ensure all parties involved in the activity
are aware of what is being proposed and
understand why.
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Examples:
- Murwillumbah Show
- your event
2. Identify Risks
Consider what types of risk the activity could be exposed
to, such as:
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financial loss – what happens if the event doesn’t
recoup costs or is faced with unexpected costs,
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damage to your property or equipment,
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environmental damage or breaches of approvals (eg
noise),
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injury to participants (members of the public and those
conducting the activity),
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damage to reputation.
3. Analyse Risk
Develop an understanding of the risk and consider:
 what likelihood there is of the identified risk occurring, and
 what the consequences would be if the risk did occur.
Sources of information to assist this:
 past records,
 relevant experience,
 published literature and
 specialist and expert judgements.
4. Evaluate Risk
Based on the previous analysis:
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make decisions on what risks need to have action
taken to address them, and
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establish priorities for where such action is to be
taken.
5. Treat Risks
Identify what actions can be taken to:
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avoid the risk altogether,
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reduce the likelihood of the risk occurring,
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reduce the consequences of the risk occurring if
it does occur,
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share the risk (eg contracts with others,
partnerships, insurance)
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accept the risk level.
Treat risks?
6. Monitor and Review
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During the course of the activity observe the
extent to which the actions are addressing the
issues.
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After the activity is over review to assess whether
the actions identified were suitable.
7. Communicate with everyone who is
involved:
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Having a well prepared risk plan is of little benefit
if the people who need to respond if issues arise are
not aware of the best manner to respond.
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Don’t assume everyone will know what to do.
Communicate, explain, train
Risk Assessment tools
Documentation of any risk assessment should be kept to
provide:
 evidence of a systematic approach,
 evidence of proper conduct of the process,
 a record of identified risks and a knowledge database,
 a basis for continuous monitoring and review and
 ability to share and communicate information.
Such documentation should identify the hazards and risks
considered, the rating of those risks and the control measures
proposed to bring them to an acceptable level.
Documentation can be in electronic or hard copy format –
whatever best suits the preparation and record-keeping
process.
Risk Assessment tools
A simple Risk Register format, showing the essential information required.
Event:
Hazard
Risk Category:
Probability
Consequence
Incident
Rating
Sub-category:
Control
Measures
Who to
implement
How to be
implemented
CONSEQUENCE
Risk Matrix
LIKELIHOOD
Very Likely
Likely
Possible
Unlikely
Very Unlikely
Major
Extreme
Extreme
High
Medium
Low
Long term
Extreme
High
High
Medium
Negligible
Short term
High
High
Medium
Low
Negligible
Minor
Medium
Medium
Low
Negligible
Negligible
Insignificant
Low
Negligible
Negligible
Negligible
Negligible
Definitions of Likelihood:
Likelihood Very Unlikely
Only ever occurs under exceptional circumstances
Unlikely
Conceivable but not likely to occur under normal
operations; no evidence of previous incidents
Possible
Not generally expected to occur but may under specific
circumstances
Likely
Will probably occur at some stage based on evidence
of previous incidents
Very Likely
Event expected to occur most times during normal
operations
Definitions of Consequence:
Consequence
Major
Multiple fatalities or extensive long term
injuries; worst case loss to organisation
Long term
Severe injuries or fatality to individual;
very high loss to organisation
Short term
Significant injury involving medical
treatment or hospitalisation; high loss to
organisation
Minor
Some medical treatment required;
medium loss to organisation
Insignificant
First Aid only required; minimal loss to
organisation
Risk Assessment examples:
Risk Category:
Event:
Sub-category:
Hazard
Likelihood
Consequence
Incident
Rating
Control
Measures
Who to
implement
How to be
implemented