Risk analysis is a key element of Asset Management. Not only can risk analysis techniques help organisations to understand their technical and economic risks, they are also necessary to support organisations determine the appropriate balance of cost, risk and performance suitable to the organisation’s context and goals.
To assure WHS legislative obligations are met, organisational safety risk exposures must be known, analysed and mitigated So Far As Reasonably Practicable (SFARP). To do this defensibly, and to assure that other organisational risks are known and mitigated within the organisation’s risk appetite, proven good practice risk analysis techniques should be utilised.
ISO 31010 Risk management – Risk assessment techniques describes a number of Risk Analysis techniques suitable for use within the Asset Management discipline. Capability Partners is experienced in applying a wide range of risk analysis techniques in various industries and contexts. As a result, CP can support organisations undertake:
- Failure Modes and Effects Analysis (FMEA) or Failure Modes, Effects and Criticality Analysis (FMECA) to support design improvements, resource prioritisation, and risk identification for the development of maintenance, operating programs and emergency response plans
- Hazard and Operability (HAZOP) Studies to identify and evaluate risks in processes and operations
- Reliability Centred Maintenance to determine the maintenance program which will achieve Organisational Objectives
- Spares Analysis and development of Rotable Pools
- Root Cause Analysis (RCA) to determine the technical, procedural and organisational factors which contribute to asset faults and system non-conformances
- Human Reliability Analysis (HRA) to identify and mitigate human limitations which can impact asset and system performance
- Bow Tie Analysis to identify preventative and mitigative controls, determine the probability and effects of failure of those controls, and communicate the risk environment throughout the organisation
- Cost-Benefit Analysis (e.g. Life Cycle Costing, Net Present Value, Return on Net Assets, Return on capital Employed) in conjunction with other risk assessment tools, to support organisations in identifying and achieving the desired balance between cost, risk and performance
With regard to the risk analysis techniques identified, Capability Partners can:
- Provide decision support by applying risk analysis techniques to develop solutions to specific problems
- Support organisations undertake these analyses in the workplace
- Critically review risk analyses undertaken internally or by a third party
- Utilise these techniques to determine whether legislative and regulatory requirements are being complied with
- Support organisations in developing processes for when and how to implement these techniques to support decision making
- Develop Emergency/Contingency Plans
Additional Risk Analysis Techniques that CP can support are given under “Reliability Modelling and Analysis Techniques”.