Engineering Due Diligence
A half-day briefing for senior decision makers and corporate counsel
Cost effectively ensure risks are minimised and decisions are defensible
The briefing shows how to consider criticality, risk and reliability together in your organisation to ensure common law due diligence
… that all reasonable practical precautions are in place based on the balance of the significance of risks verses the effort required to reduce them …
• Properly address the different types of risk – business, project, and safety
• Ensure that precaution analysis takes priority over hazard analysis
• Conduct completeness checks to ensure no critical issues are overlooked
• Ensure outcomes are defensible – to clients, public, government and courts
• Align analysis with the organisation’s goals and objectives
• Satisfy common law requirements rather than just current standards
• Review the utility of the new ISO 31000 risk management standard
• Explain why many risk registers fail
• Consider the implications of the new Australian national model OHS legislation and regulations
MELBOURNE | Tuesday 12 October 2010, 8.30am – 12.30pm
BRISBANE | Tuesday 23 November 2010, 8.30am – 12.30pm
Fee | $595 per person (GST included), cost includes a copy of Risk & Reliability – An Introductory text (revised 7th edition)
Registration | training@r2a.com.au | F +61 3 9670 6360 | T +61 3 8631 3400
Briefing Leader | Richard Robinson BE BA FIEAust | Director R2A | www.r2a.com.au
ENGINEERING DUE DILIGENCE
Briefing Outline
Cost effectively ensure risks are minimised and decisions are defensible Half-day briefing for senior decision makers
Objective
The objectives of the briefing are:
a) To illustrate why current risk management processes have often stifled organisations and inhibited useful action, resulting in frustration and huge unnecessary expense; and
b) To explain how the current risk paradigm shift, from hazard based to solution (precaution) based risk management, resolves this issue in a way consistent with the common law duty of care.
The Issues
The frustration associated with current risk management process has resulted in questions, from R2A clients, usually at a board or general manager level, such as the ones below:
• We have applied the risk management process described in the Risk Management Standard. We have used reputable consultants to do this. We talked to every stakeholder we could. But when we went to act on the outcomes of all these deliberations, all hell broke loose including potential legal action. What happened, why did it happen and what can we do about it?
• We are required to have a risk register. It satisfies our audit requirements but it actually doesn’t work very well and causes enormous frustration. Can you help?
• Our organisation uses a 5x5 (or 3x3 or 6x4) risk characterisation tool. But as a board level decision making tool, it’s not making sense. Why is this?
• Does obtaining a license to trade from our regulator mean that we have satisfied our common law duty of care? That is, does achieving ALARP (As Low As Reasonably Practicable) in the eyes of our regulator satisfy the courts?
Context
To establish the context for Engineering Due Diligence, the concept of risk as a human construct will be explained along with the current dominant risk paradigms and due diligence requirements of the common law.
R2A Risk Management Process
This session will outline R2A’s top down approach to risk management, which has proved wholly successful with the above concerns to date. It adopts a V-model approach that sinks to the level of detail required to come to a judgment as to the actions to be taken. The key advantages of and differences between solution (precaution) and hazard based risk management will also be described. A summary table is shown below.
Industry Examples
Examples of how the above issues are successfully addressed by the solution (precaution) based risk management process will be provided.
Briefing Leader
Richard Robinson BE BA FIEAust, Director R2A
More information regarding Engineering Due Diligence is available here.