Business Continuity Management: Time for a Strategic Role?

Against a background of increasing threats, business continuity management (BCM) has emerged in many industries as a systematic process to counter the effects of crises and interruptions, although its potential to play a more strategic role is still largely under-explored. This article examines the organisational antecedents of BCM and develops a conceptual approach to posit that BCM, in actively ensuring operational continuity, has a role in preserving competitive advantage. Such value preservation is central to the business continuity/business strategy relationship, and gives rise to the central purpose of the paper; to discuss whether firms’ BCM can be seen as strategic rather than purely functional.If so, what form does such provision take in terms of planning, organisation and culture? Evidence from six UK-based financial services firms illustrates differing approaches to business continuity, with two firms showing BCM provision more clearly aligned towards a mission-critical strategic role. Practical precepts for implementation are presented, together with a diagnostic drawing attention to the key determinants of enhanced value preservation.     

Defining Susceptibility for Microbial Risk Assessment: Results of a Workshop

An interdisciplinary workshop was convened by the George Washington University in June 2001 to discuss how to incorporate new knowledge about susceptibility to microbial pathogens into risk assessment and management strategies. Experts from government, academic, and private sector organizations discussed definitions, methods, data needs, and issues related to susceptibility in microbial risk assessment. The participants agreed that modeling approaches need to account for the highly specific nature of host-pathogen relationships, and the wide variability of infectivity, immunity, disease transmission, and outcome rates within microbial species and strains. Concerns were raised about distinguishing between exposure and dose more clearly, interpreting experimental and outbreak data correctly, and using thresholds and possibly linearity at low doses. Recommendations were made to advance microbial risk assessment by defining specific terms and concepts more precisely, designing explicit conceptual frameworks to guide development of more complex models and data collection, addressing susceptibility in all steps of the model, measuring components of immunity to characterize susceptibility, reexamining underlying assumptions, applying default methods appropriately, obtaining more mechanistic data to improve default methods, and developing more biologically relevant and continuous risk estimators. The interrelated impacts of selecting specific subpopulations and health outcomes, and of increasing model complexity and data demands, were considered in the contexts of public policy goals and resources required. The participants stated that zero risk is unattainable, so targeted and effective risk reduction and communication strategies are essential not only to raise pubic awareness about water quality but also to protect the most susceptible members of the population.     

European management and European business schools: Insights from the history of business schools

This article looks at the history of business schools and identifies specific characteristics that are common to European management schools. On the basis of these characteristics, European management is subsequently defined as a cross-cultural, societal management approach based on interdisciplinary principles. In a final step, a closer look is taken at how European business schools should prepare their students for the unique European management context. It is suggested that such schools should provide courses on cross-cultural management and courses explaining the interdependencies between the private and public sector, offer students opportunities to experience other cultures over the course of their studies, and teach management from an interdisciplinary and practically-oriented perspective.     

Whither Risk Assessment: New Challenges and Opportunities a Third of a Century After the Red Book

Six multi‐decade‐long members of SRA reflect on the 1983 Red Book in order to examine the evolving relationship between risk assessment and risk management; the diffusion of risk assessment practice to risk areas such as homeland security and transportation; the quality of chemical risk databases; challenges from other groups to elements at the core of risk assessment practice; and our collective efforts to communicate risk assessment to a diverse set of critical groups that do not understand risk, risk assessment, or many other risk‐related issues. The authors reflect on the 10 recommendations in the Red Book and present several pressing challenges for risk assessment practitioners.     

QRA Model‐Based Risk Impact Analysis of Traffic Flow in Urban Road Tunnels

Road tunnels are vital infrastructures providing underground vehicular passageways for commuters and motorists. Various quantitative risk assessment (QRA) models have recently been developed and employed to evaluate the safety levels of road tunnels in terms of societal risk (as measured by the F/N curve). For a particular road tunnel, traffic volume and proportion of heavy goods vehicles (HGVs) are two adjustable parameters that may significantly affect the societal risk, and are thus very useful in implementing risk reduction solutions. To evaluate the impact the two contributing factors have on the risk, this article first presents an approach that employs a QRA model to generate societal risk for a series of possible combinations of the two factors. Some combinations may result in F/N curves that do not fulfill a predetermined safety target. This article thus proposes an “excess risk index” in order to quantify the road tunnel risk magnitudes that do not pass the safety target. The two‐factor impact analysis can be illustrated by a contour chart based on the excess risk. Finally, the methodology has been applied to Singapore's KPE road tunnel and the results show that in terms of meeting the test safety target for societal risk, the traffic capacity of the tunnel should be no more than 1,200 vehs/h/lane, with a maximum proportion of 18% HGVs.     

Safety Management and Public Spaces: Restoring Balance

Since 2000, the reputation of health and safety in the United Kingdom has been tarnished, so much so that it has become the subject of both a media circus and a government inquiry. This not only threatens the worthy goals of health and safety, but also impacts upon the associated tool of risk assessment itself such that "risk assessment" is increasingly seen by the public at large as a term inviting ridicule, even abuse. The main thrust of the government's examination of health and safety has been its concern that safety requirements were placing a disproportionate burden on business. However, there is another source of discontent, which is public chagrin over the impact of injury control measures upon life beyond the conventional workplace, in particular upon the public spaces that people frequent in their leisure time and on the activities they engage in there. This article provides a perspective on this second dimension of the crisis in confidence. It describes how many U.K. agencies with responsibilities for a wide portfolio of public amenities ranging from the provision of play spaces for the young to the management of publicly accessible countryside, the maintenance of urban and rural trees, the stewardship of sites of cultural heritage, and the pursuit of outdoor educational activities have responded to some conflicts posed to their services by the new safety culture. It concludes with a discussion of implications for the management of public space and for risk assessment itself.     

Foundational Issues in Risk Assessment and Risk Management

In spite of the maturity reached by many of the methods used in risk assessment and risk management, broad consensus has not been established on fundamental concepts and principles. The risk fields still suffer from a lack of clarity on many key scientific pillars. The purpose of this article is to point to this situation and through some illustrating examples discuss the challenges that the fields here face. Moreover, the purpose of the article is to reflect on how to improve the present situation and enhance the risk fields. We argue that the establishment of some common scientific pillars as well as a strong and continuous research focus on foundational issues are critical success factors. The article specifically addresses the role of the peer‐reviewed journals and the international standards in the fields. We hope that the article can contribute to a revitalization of the discussion of foundational issues in risk assessment and risk management.     

A Risk Analysis Model in Concurrent Engineering Product Development

Concurrent engineering has been widely accepted as a viable strategy for companies to reduce time to market and achieve overall cost savings. This article analyzes various risks and challenges in product development under the concurrent engineering environment. A three‐dimensional early warning approach for product development risk management is proposed by integrating graphical evaluation and review technique (GERT) and failure modes and effects analysis (FMEA). Simulation models are created to solve our proposed concurrent engineering product development risk management model. Solutions lead to identification of key risk controlling points. This article demonstrates the value of our approach to risk analysis as a means to monitor various risks typical in the manufacturing sector. This article has three main contributions. First, we establish a conceptual framework to classify various risks in concurrent engineering (CE) product development (PD). Second, we propose use of existing quantitative approaches for PD risk analysis purposes: GERT, FMEA, and product database management (PDM). Based on quantitative tools, we create our approach for risk management of CE PD and discuss solutions of the models. Third, we demonstrate the value of applying our approach using data from a typical Chinese motor company.     

Foundational Issues in Risk Assessment and Risk Management

This is a perspective article on foundational issues in risk assessment and management. The aim is to discuss the needs, obstacles, and challenges for the establishment of a renewed, strong scientific foundation for risk assessment and risk management suited for the current and future technological challenges. The focus is on (i) reviewing and discussing the present situation and (ii) identifying how to best proceed in the future, to develop the risk discipline in the directions needed. The article provides some reflections on the interpretation and understanding of the concept of “foundations of risk assessment and risk management” and the challenges therein. One main recommendation is that different arenas and moments for discussion are needed to specifically address foundational issues in a way that embraces the many disciplinary communities involved (from social scientists to engineers, from behavioral scientists to statisticians, from health physicists to lawyers, etc.). One such opportunity is sought in the constitution of a novel specialty group of the Society of Risk Analysis.     

Historical Relationship Between Performance Assessment for Radioactive Waste Disposal and Other Types of Risk Assessment

This article describes the evolution of the process for assessing the hazards of a geologic disposal system for radioactive waste and, similarly, nuclear power reactors, and the relationship of this process with other assessments of risk, particularly assessments of hazards from manufactured carcinogenic chemicals during use and disposal. This perspective reviews the common history of scientific concepts for risk assessment developed until the 1950s. Computational tools and techniques developed in the late 1950s and early 1960s to analyze the reliability of nuclear weapon delivery systems were adopted in the early 1970s for probabilistic risk assessment of nuclear power reactors, a technology for which behavior was unknown. In turn, these analyses became an important foundation for performance assessment of nuclear waste disposal in the late 1970s. The evaluation of risk to human health and the environment from chemical hazards is built on methods for assessing the dose response of radionuclides in the 1950s. Despite a shared background, however, societal events, often in the form of legislation, have affected the development path for risk assessment for human health, producing dissimilarities between these risk assessments and those for nuclear facilities. An important difference is the regulator's interest in accounting for uncertainty.     

Challenges to the Emiratisation process: content analysis

After the discovery of oil in 1970s, the United Arab Emirates experienced explosive growth and was able to establish a strong economy in 30 years. Since then, the country has attracted foreign direct investment, and it has maintained its growth strategy by relying on foreign skilled labourers from around the world. Consequently, Emirati nationals were predominantly recruited to and preferred the public sector. Today, as government growth stagnates, the United Arab Emirates’ government is encouraging the private sector to recruit more Emirati nationals. This paper analyzes the current Emiratisation process by looking into the barriers to it via a content analysis of business-focused newspapers published in the country. Unlike previous research, this paper prioritizes the challenges in descending order: skill standards, salary and benefits, and business hours. These challenges have impeded the recruitment of Emirati nationals into the private sector.     

The development of strategic management in the non‐profit context: Intellectual capital in social service non‐profit organizations

Very little systematic research has examined the applicability of strategic management concepts including SWOT (strengths, weaknesses, opportunities and threats) analysis, industrial organization, resource‐based view and core competency, knowledge‐based view, Balanced Scorecard and intellectual capital (IC) through the lens of strategic management development in the non‐profit context. This paper aims to examine the above concepts in the light of the unique non‐profit environment and determine which one is most applicable to social service non‐profit organizations (SSNPOs) in the knowledge economy. Based on a review of the development of strategic management with a focus on the above concepts within the non‐profit context, this paper argues that the IC concept is more effective compared with the other concepts in the social service non‐profit sector. The paper is considered as a starting point and serves as a milestone in applying IC as a strategic management conceptual framework in the social service non‐profit sector. It helps to build a nascent body of literature suggesting that IC can be used as a competent strategic management conceptual framework in the social service non‐profit sector. A better understanding of the strategic management development in the non‐profit context also helps non‐profit leaders to appreciate that IC is the most appropriate strategic management concept in SSNPOs. The increased awareness of the IC concept in SSNPOs, as a result of this paper, will probably generate further research from both academic scholars and non‐profit practitioners.     

Integrating Software into PRA: A Test-Based Approach

Probabilistic risk assessment (PRA) is a methodology to assess the probability of failure or success of a system's operation. PRA has been proved to be a systematic, logical, and comprehensive technique for risk assessment. Software plays an increasing role in modern safety critical systems. A significant number of failures can be attributed to software failures. Unfortunately, current probabilistic risk assessment concentrates on representing the behavior of hardware systems, humans, and their contributions (to a limited extent) to risk but neglects the contributions of software due to a lack of understanding of software failure phenomena. It is thus imperative to consider and model the impact of software to reflect the risk in current and future systems. The objective of our research is to develop a methodology to account for the impact of software on system failure that can be used in the classical PRA analysis process. A test-based approach for integrating software into PRA is discussed in this article. This approach includes identification of software functions to be modeled in the PRA, modeling of the software contributions in the ESD, and fault tree. The approach also introduces the concepts of input tree and output tree and proposes a quantification strategy that uses a software safety testing technique. The method is applied to an example system, PACS.     

Improving Health Risk Assessment as a Basis for Public Health Decisions in the 21st Century

One-fifth of the way through the 21st century, a commonality of factors with those of the last 50 years may offer the opportunity to address unfinished business and current challenges. The recommendations include: (1) Resisting the tendency to oversimplify scientific assessments by reliance on single disciplines in lieu of clear weight-of-evidence expressions, and on single quantitative point estimates of health protective values for policy decisions; (2) Improving the separation of science and judgment in risk assessment through the use of clear expressions of the range of judgments that bracket protective quantitative levels for public health protection; (3) Use of comparative risk to achieve the greatest gains in health and the environment; and (4) Where applicable, reversal of the risk assessment and risk management steps to facilitate timely and substantive improvements in public health and the environment. Lessons learned and improvements in the risk assessment process are applied to the unprecedented challenges of the 21st century such as, pandemics and climate change. The beneficial application of the risk assessment and risk management paradigm to ensure timely research with consistency and transparency of assessments is presented. Institutions with mandated stability and leadership roles at the national and international levels are essential to ensure timely interdisciplinary scientific assessment at the interface with public policy as a basis for organized policy decisions, to meet time sensitive goals, and to inform the public.     

Measures of Societal Risk and Their Potential Use in Civil Aviation

This article seeks to clarify the conceptual foundations of measures of societal risk, to investigate how such measures may be used validly in commonly encountered policy contexts, and to explore the application of these measures in the field of civil aviation. The article begins by examining standard measures of societal and individual risk (SR and IR), with attention given to ethical as well as analytical considerations. A comprehensive technical analysis of SR is provided, encompassing scalar risk measures, barrier functions, and a utility‐based formulation, and clarifications are offered with respect to the treatment of SR in recent publications. The policy context for SR measures is shown to be critically important, and an extension to a hierarchical setting is developed. The prospects for applying SR to civil aviation are then considered, and some technical and conceptual issues are identified. SR appears to be a useful analytical tool in this context, provided that careful attention is given to these issues.     

From Ideal to Real Risk: Philosophy of Causation Meets Risk Analysis

A question has been raised in recent years as to whether the risk field, including analysis, assessment, and management, ought to be considered a discipline on its own. As suggested by Terje Aven, unification of the risk field would require a common understanding of basic concepts, such as risk and probability; hence, more discussion is needed of what he calls “foundational issues.” In this article, we show that causation is a foundational issue of risk, and that a proper understanding of it is crucial. We propose that some old ideas about the nature of causation must be abandoned in order to overcome certain persisting challenges facing risk experts over the last decade. In particular, we discuss the challenge of including causally relevant knowledge from the local context when studying risk. Although it is uncontroversial that the receptor plays an important role for risk evaluations, we show how the implementation of receptor‐based frameworks is hindered by methodological shortcomings that can be traced back to Humean orthodoxies about causation. We argue that the first step toward the development of frameworks better suited to make realistic risk predictions is to reconceptualize causation, by examining a philosophical alternative to the Humean understanding. In this article, we show how our preferred account, causal dispositionalism, offers a different perspective in how risk is evaluated and understood.     

Foundational Challenges for Advancing the Field and Discipline of Risk Analysis

Risk analysis as a field and discipline is about concepts, principles, approaches, methods, and models for understanding, assessing, communicating, managing, and governing risk. The foundation of this field and discipline has been subject to continuous discussion since its origin some 40 years ago with the establishment of the Society for Risk Analysis and the Risk Analysis journal. This article provides a perspective on critical foundational challenges that this field and discipline faces today, for risk analysis to develop and have societal impact. Topics discussed include fundamental questions important for defining the risk field, discipline, and science; the multidisciplinary and interdisciplinary features of risk analysis; the interactions and dependencies with other sciences; terminology and fundamental principles; and current developments and trends, such as the use of artificial intelligence.     

A Bayesian Approach to Integrated Ecological and Human Health Risk Assessment for the South River,Virginia Mercury‐Contaminated Site

We conducted a regional‐scale integrated ecological and human health risk assessment by applying the relative risk model with Bayesian networks (BN‐RRM) to a case study of the South River, Virginia mercury‐contaminated site. Risk to four ecological services of the South River (human health, water quality, recreation, and the recreational fishery) was evaluated using a multiple stressor–multiple endpoint approach. These four ecological services were selected as endpoints based on stakeholder feedback and prioritized management goals for the river. The BN‐RRM approach allowed for the calculation of relative risk to 14 biotic, human health, recreation, and water quality endpoints from chemical and ecological stressors in five risk regions of the South River. Results indicated that water quality and the recreational fishery were the ecological services at highest risk in the South River. Human health risk for users of the South River was low relative to the risk to other endpoints. Risk to recreation in the South River was moderate with little spatial variability among the five risk regions. Sensitivity and uncertainty analysis identified stressors and other parameters that influence risk for each endpoint in each risk region. This research demonstrates a probabilistic approach to integrated ecological and human health risk assessment that considers the effects of chemical and ecological stressors across the landscape.     

A Discourse on the Incorporation of Organizational Factors into Probabilistic Risk Assessment: Key Questions and Categorical Review

This article presents a discourse on the incorporation of organizational factors into probabilistic risk assessment (PRA)/probabilistic safety assessment (PSA), a topic of debate since the 1980s that has spurred discussions among industry, regulatory agencies, and the research community. The main contributions of this article include (1) identifying the four key open questions associated with this topic; (2) framing ongoing debates by considering differing perspectives around each question; (3) offering a categorical review of existing studies on this topic to justify the selection of each question and to analyze the challenges related to each perspective; and (4) highlighting the directions of research required to reach a final resolution for each question. The four key questions are: (I) How significant is the contribution of organizational factors to accidents and incidents? (II) How critical, with respect to improving risk assessment, is the explicit incorporation of organizational factors into PRA? (III) What theoretical bases are needed for explicit incorporation of organizational factors into PRA? (IV) What methodological bases are needed for the explicit incorporation of organizational factors into PRA? Questions I and II mainly analyze PRA literature from the nuclear domain. For Questions III and IV, a broader review and categorization is conducted of those existing cross-disciplinary studies that have evaluated the effects of organizational factors on safety (not solely PRA-based) to shed more light on future research needs.     

Is Epidemiology the Key to Cumulative Risk Assessment?

Although cumulative risk assessment by definition evaluates the joint effects of chemical and nonchemical stressors, studies to date have not considered both dimensions, in part because toxicological studies cannot capture many stressors of interest. Epidemiology can potentially include all relevant stressors, but developing and extracting the necessary information is challenging given some of the inherent limitations of epidemiology. In this article, I propose a conceptual framework within which epidemiological studies could be evaluated for their inclusion into cumulative risk assessment, including a problem formulation/planning and scoping step that focuses on stressors meaningful for risk management decisions, extension of the chemical mixtures framework to include nonchemical stressors, and formal consideration of vulnerability characteristics of the population. In the long term, broadening the applicability and informativeness of cumulative risk assessment will require enhanced communication and collaboration between epidemiologists and risk assessors, in which the structure of social and environmental epidemiological analyses may be informed in part by the needs of cumulative risk assessment.