Assignment No 1

1. Occurrence of singe or sequence of events that produce unintended loss is called

Accident
2. Chemical or physical condition that has potential to cause damage to people,
property or environmental is called Hazard
3. Measure of expected effects of the results of an incident is called as
Consequences.
4. Relationship between the frequency and number of people suffering a given
level of harm from realization of hazard is called as Societal risk.
5. Estimation of uncertainties associated with the entire process of risk assessment
is called as Risk characterization
6. Frank and Morgan technique for industrial fire risk assessment can be a
suitable tool for evaluating industrial fire risk and prioritizing units in general
level of an industrial complex especially chemicals company.
7. The control score for a department in an oil industry is given as 156 and hazard
score is 152.the calculate the percentage risk index is 24.04
8. Action taken to control or reduce risk is called risk aversion
9. In the context of risk assessment; what do you understand by the term risk
A probability or threat of damage, injury, liability, loss, or any other
negative occurrence that is caused by external or internal vulnerabilities,
and that may be avoided through action and assessment.
10.FN Curves are used for representing societal risk.
11.Prevention of hazard occurrence through proper hazard identification,
assessment and elimination is called Hazard Evaluation
12.Define individual risk and societal risk.
Individual Risk
Individual risk is defined as frequency at which every individual may be
expected to sustain a given level of harm from realization of hazard. It accounts
usually for risk of death only. It is expressed as risks per year remember

individual is related to an individual person, which encounters or has risk of

death.
Societal risk
It is defined as relationship between the frequency and the number of people
suffering a given level of harm from realization of hazard. Societal risk are
expressed as FN curves, showing the cumulative frequency which is F with
respect to the number of fatalities which is N. Annual fatality rate is an outcome
of this kind of study in which the frequency and fatality data are combined into
a convenient single measure of group risk.
13.What is the difference between safety and risk ?
Risk is the probability of the realization of potential for loss or damage or
injury,and safety is a condition which gives you freedom from hazard, risk,
accident which may cause injury, damage and loss to material or property
damage and even death.
14.What are the application issues of risk assessment
To avoid future accidents
To implement health and safety policy
Reduce the losses
Avoid hazard
15.State the golden rules of good HSE management program
All operations and tasks will be risk assessed and the appropriate control
measures (precautions) implemented giving due regard for the hierarchy of
control measures.
Work will not commence until a safe system of work has been devised and
implemented.
Work will not commence without a task specific safety briefing.
Those involved in the work will be competent, medically fit and sufficiently
rested.
Emergency response plans, including rescue plan, will be in place before
commencing
any work.
Everyone has the right and obligation to stop work that is considered unsafe
.

16.What do you understand by loss? What do you understand by acceptable risk?

As an employee of an oil industry, how do you react to the term acceptable risk?
Loss
If a term there is an accident, if at all I have methodology to define the accident
in terms of probable risk, any accident will always result in a loss. Now, the loss
can be expressed in terms of human terms, in financial terms, in legal terms. For

example, in human terms the loss of life, serious injury, and serious illness
etcetera. If we considered the loss in financial terms then cost to replace the
equipment, cost of shut down or the down time etcetera; if you look at the loss
in legal terms it can be assist as claims, insurance, liability etcetera.
Acceptable Risk
Risk is acceptable to regulatory agency and also to public. Level of human
and/or material injury or loss from an industrial process that is considered to be
tolerable by a society or authorities in view of the social, political, and
economic cost-benefit analysis.
17.Explain about safety assurance and safety assessment methods
The purpose of Safety Assurance is to evaluate the overall effectiveness of risk
controls and safety management system The organization should be monitoring
your systems and operations to ensure that new hazards are identified, ensure
compliance with regulatory requirements applicable to the SMS, and ensure that
your Safety Assurance function is based upon the comprehensive system
description as described in the System and Task Analysis Process. And Safety
Assessment method
18.What are goal setting regimes and rule based regimes?
The goal setting regimes are listed below
Duty holder assesses risk
It should demonstrate its understanding
It should controls cover management
Keeps pace with new knowledge
Opportunity for workforce engagement
The rule based regimes are listed below
Legislator sets rules
Emphasizes compliance rather than outcomes
Slow to respond
Less emphasis on continuous improvement
Less work force involvement

19.Explain the importance of safety in HSE management through a schematic

illustration?

The importance of safety in HSE management can be explained

diagrammatically through the above figure. The procedural violations done by
this group is carry forward by inter-individual phenomenon. There is no
communication protocol between the groups, because there is an inadequate
shift handovers; that results a further complication in facilities in equipment.
The outer tablet of organization and management, there is a violation culture
existing in the organization; there has been serious maintenance error. This
capsule added to previous all complications makes things more difficult for the
outer profile, which is external environment. So, this depending upon, what are
the facilities we have in the work place.
If any error or violation created by individual group, when this gets aligned with
all the subsequent errors done at different levels and it can be called at disaster

20. Calculate the risk ranking for each department

Exposure Hazard Control Property Business
Dept
Score
Score
Value
Interruption
(x
) Cost (x
)
A
257
304
2900
1400
B
71
239
890
1200
C
181
180
1700
720
D
152
156
290
418
E
156
142
520
890
F
113
336
2910
3100

Composite Score
Personnel Exposure
900
653
1610
642
460
1860

5200
2743
4030
1350
1870
7870

Let us consider a process industry which has got departments A, B, C, D, E, F.

For each department, I have conducted a survey and I know the hazard score of
each department which I taken from the table. And the control score present in
each department which I also taken from the table. Now for each department I
know what is the property value of the department, what is the business
interruption cost of the department and therefore, I will now work out what is a
composite score a based upon personnel and exposure in dollars. This final
column is what I am interested in for each department; ultimately my aim is
each department should be ranked depending upon their risk exposure level. So,
I am looking for financing the risk - that is why ultimately the hazard and
control measures are converted or expected to be converted in terms of dollars.
Dept

Risk
factor

Relative
risk

% Risk
index

A
B
C
D
E
F

47
168
-1
4
-14
223
Check

-176
-55
-224
-219
-237
0
911

-19.31
-6.04
-24.59
-24.04
-26.02
0
100%

Composite
Exposure
(x
)
5200
2743
4030
1350
1870
7870

Composite
Risk
(x
)
1003
166
991
325
487
0

Risk
Ranking
1
5
2
4
3
6

The risk index what I get from each department is indicated here 47, 168, minus
1, 4, minus 14, 223. I think you should be in a position to identify the
significance of these negative numbers, and the significance of the positive
numbers, and the significance of the department which has the maximum
positive number; it means this tells me that the control measure of this
department is the best. Now, I take the department as may reference department
therefore, the relative risk for the department will be zero.

Once I compute that I take the absolute sum of all these values and put a check
measure as 911. Now I am interested to work out what I called as percentage risk
index. I pick up the value of the respective department divide this by the total and
multiply by 100, I get percentage risk index. I can simply work out this value for every
department as shown in this column of the table. You can also check that the total
percentage risk index should come to hundred.
Now each department has a composite exposure in terms of money, of course, this
value is multiplied by 10 power 3 in terms of dollars. Oil industry is one of the most
expensive process industry, therefore, these values are very, very high. This value,
ladies and gentlemen, we can remember that I have taken this column practically from
the previous table; this is expected to be a given data for every process industry.
Once I have the composite exposure of each department placed in the table on this
column, I can easily estimate the composite risk of each department is simply
multiplication of the risk index of the department to the cost, of course, on absolute
multiplier there is no negative element. Remember that the department a had a positive
score of risk index 47, which is not of course, the highest; the highest is department F
which is considered as a reference department. I now work out for all the departments,
the composite risk index; obviously, for my department it become zero. Now I do the
risk ranking; if I look at the risk ranking, the department which has the maximum
composite risk is considered as rank number-1. It means this department is expected to
receive the maximum allocated budget of fund for risk mitigation or risk reduction.
Now, you may wonder that what would be the finance given to department f, because
the composite risk index of this department f is practically zero. It does not mean that
the department f should not receive any funding at all. You can fix a basic value of
funding for the department may be 10 percent of the budget.
Then remaining 90 percent you keep on distributing as per this rank. This problem has
a very interesting outcome; I recollect that outcome once again for you department A
had a positive risk index compared to that department C which had a negative risk
index; it means that the department C had less control measures compared to that of A.
If you look at the final ranking department A is rank 1 and department C is rank 2.
Please note that all the time the department which has a negative risk index may not be
ranked as number 1; this is where Morgan has played a very interesting role in mixing
this risk index with the money environment. So, I simply read a note here even though
department A had positive risk index indicating a good control measures in
comparison department C, still it is ranking number one.