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Risk Management

  • 1.  Risk Management

    Posted 12-27-2017 13:50
    Dear all,


    I would like to know your thoughts and inputs to the following:

    How can we mitigate the risk in industry?

    What is the impact of a safety team on avoiding incidents ?


    I know incidents are critical issues might occur in industries. However, they can be prevented by many ways

    Your great knowledge and experiences will add more to mine


    Regards,
    Aljazi

    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------


  • 2.  RE: Risk Management

    LIFE MEMBER
    Posted 12-28-2017 08:46
    ​Books have been written to answer your question.  But in all the process safety incidents I have ever investigated, one or both of these are recurring contributors: 1) failure of operational discipline (usually a failure to follow procedures) and 2) failure to maintain equipment (primary containment integrity and/or safety-critical equipment) in good working order.  So the surest way a safety team can reduce risk is to ensure the fundamentals of following procedures and maintaining equipment are central to the organization's culture.

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    Donald Lorenzo PE
    Director, Training Solutions
    ABS Group
    Knoxville TN
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  • 3.  RE: Risk Management

    SENIOR MEMBER
    Posted 12-28-2017 09:20
    I concur with Donald's comments. As a risk engineer, I often advise clients to observe good psm and loss prevention. But the level of psm awareness varies even from oil majors to small plants. It's interesting to note that oil majors with good procedures and maintenance programs may suffer a major loss by not following them, while a small plant with a less sophisticated system may not suffer a loss because their systems of operation and maintenance are less complicated and easily followed by the operators.

    ---------------------------------
    Alexander Lua CCPSP,PPSE,CPENG,INTPE
    Risk Engineering Manager
    Insurance Company
    Auckland
    ---------------------------------





  • 4.  RE: Risk Management

    SENIOR MEMBER
    Posted 12-29-2017 02:25
    Í agree with the comments already given. Many of the reasons why the Bhopal gas disaster occurred are still observed in incidents in recent times. The CSB incident investigation report of the Caribbean Petroleum Tank terminal explosion and multiple fires (released by CSB in October 2015) finds that systemic failures at CAPECO included: (The highlighted failures are the same failures that happened in Bhopal)
    1. A history of poorly maintaining terminal operations;
    2. An inherent financial pressure to fill the tanks within the Planning Department's stipulated time, which was at odds with safety;
    3. A failure to learn from previous overfill incidents at the facility;
    4. A lack of preventative maintenance for the malfunctioning float and tape device, automatic tank gauge transmitters;
    5. An unreliable computer for calculating tank fill times;
    6. A lack of overfill prevention safeguards as an independent alarm;
    7. A lack of formal procedures for tank-filling operations for operators and managers;
    8. An insufficient mechanical integrity program for safety critical equipment;
    9. Poor adherence to human factors principles for safety critical equipment.



    ------------------------------
    Karthikeyan Balan
    Director
    Prism Consultants
    Chennai, India
    www.prismcon.in
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  • 5.  RE: Risk Management

    Posted 12-29-2017 07:18
    Thanks.

    I tried to search about the Bhopal incident. It was a disaster!

    There some common failures can be lead to incidents like what you mentioned. Lifting crane is one issue that could damage someone’s life.

    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------





  • 6.  RE: Risk Management

    Posted 12-29-2017 02:38
    Thanks Mr. Donald. I agree that books give a lot about this subject. In particular,I was looking for feedback from your experience.

    I have noticed there are some issues other than that.. sometimes we fail to pass the information to the operators/ contractors. I believe that safety advisors can be more active.



    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------





  • 7.  RE: Risk Management

    SENIOR MEMBER
    Posted 12-30-2017 07:19
    I think a safety team is a vital part of any safety program. If a priority of your company is to keep your plant running, you hire engineers. In the same way, if your company wants safety as a core focus, it should have dedicated safety personnel. The safety team also has to focus on getting the entire staff to buy in to the importance of safety however as it only takes one person not doing their job the right way/dangerously to jeopardize many others. Some of the ways that an old employer of mine mitigated risk was PHAs, safety audits, PSSRs, and a robust MOC process.

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    Stephen Guelda
    R&D Engineer
    Zeochem
    Louisville KY
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  • 8.  RE: Risk Management

    SENIOR MEMBER
    Posted 12-30-2017 10:22
    If you have not heard of the name Trevor Kletz, you should look him up and read him.   I will give you just one teaser from his many tidbits of wisdom concerning process safety and inherent safety in chemical processing:  "If you don't have it, it can't leak."

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    John Sharland PE,FSFPE
    Bridgewater MA
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  • 9.  RE: Risk Management

    Posted 12-30-2017 12:46
    Thank you so much ! I will look him up

    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------





  • 10.  RE: Risk Management

    SENIOR MEMBER
    Posted 12-30-2017 22:08
    Interestingly, I just finished reading a book titled Inviting Disaster-Lessons from the Edge of Technology, and the author, James R. Chiles , delves into various disasters, Bhopal included, and finds that in many cases, the cause of the mishaps were something that occurred prior to the actual incident.

    The Apollo 13, incident started with a damaged pipe that was undetected by the supplier, followed by unauthorized  procedures after testing, that only became apparent when the oxygen tank was "stirred".

    In an incident like the Apollo 13 near disaster (in terms of loss of life), literally every nut and bolt an piece of circuitry is examined with a fin-toothed comb by investigators.

    Unfortunately, most plant disasters are not subject to such rigorous analysis; a cause, or causes is found, and corrections or improvements are made. In many cases a plant will resume operation.

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    Stephen Brecht, BChE



    Retired
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  • 11.  RE: Risk Management

    Posted 01-02-2018 09:55
    Thanks Brecht for sharing valuable information. Some incidents occur because of lack of knowledge. Contractors sometimes are not trained very well. They are given the directions but need more.

    I am thinking about how to enhance safety culture in industry.


    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------





  • 12.  RE: Risk Management

    SENIOR MEMBER
    Posted 01-03-2018 22:47
    Unfortunately, as long as production and profits prevail among plant operators, safety will always be the "that won't happen here" attitude taken by supervisors and managers who haven't experienced a significant loss due to an accident.

    When those in charge of a plant or operation realize the potential losses resulting from an accident, they MAY consider safety in a serious vein.

    I still remember a supervisors'  meeting almost 40 years ago where the company insurer indicated that just by having our personnel wear their bump caps or hard hats, the company's insurance premium would be reduced by six figures!

    prior to the meeting the 6ft plant manager would wander through the plant with no head protection. About a week later he was never seen without head protection.

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    Stephen Brecht, BChE



    Retired
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  • 13.  RE: Risk Management

    Posted 01-04-2018 07:54
    Agree one that you mentioned.


    I do believe that sometimes you need to speak with seriousness. Some people do not realize the risk until a disaster happens!





    ---------------------------------
    Aljazi Alshareef
    Environmental engineer
    Petrorabigh
    Jeddah
    ---------------------------------





  • 14.  RE: Risk Management

    FELLOW
    Posted 01-03-2018 00:22
    One of the best ways to mitigate risk is to institutionalize use of a risk management tool such as Failure Modes and Effects Analysis.  With this tool, which is fairly simple in concept and has a quick learning curve, all possible failures of an existing plant (or new plant design or system in a plant such as computers) are listed and scored with respect to magnitude, possible frequency, and detectability. These 3 numbers are multiplied together to provide a risk value. Those failures with risk scoring above an agreed upon threshhold are the focus of team efforts to pursue modifications of the process or operation or system, or a redesign in order to reduce the risk. Tools such as this are in common use in many large companies.    Note: while many of the responses to the posed discussion focus on safety, tools such as FMEAs deal can deal with many different  areas of risk (e.g., environmenal impact, profitability, throughput, etc.) I.e., there are many areas of risk other than safety.

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    Joseph Alford
    Zionsville IN
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