We started reading the ICMM Guidance and Conformance protocols with great interest and were pleased with a number of specifications we saw. Of course, an endeavor of this magnitude and scope will stir a lot of interest in the mining world. From our end, given our long experience in tailings system risks, we could not resist to compare the protocols to our day-to-day practice. We noted areas where more detailed explanations would likely benefit the mining industry and the public.…
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The UNEP “Mine tailings storage: safety is no accident” report asks mining companies to make environmental and human safety a priority. To ensure mining companies meet that result in management actions and ground operations, a residual risk assessment should be performed. For clarity, residual risk assessments are those that intervene after mitigations or critical controls. However not all risk assessments are created equal so let’s explore the differences. What are the requirements for a good risk assessment? Risk assessments are…
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We just read the Appendix F From 2018 Independent Forensic Team Report Oroville Dam Spillway Analysis. So, we decided to discuss a few points from our risk perspective. It was a joy to read the statements the Independent Forensic Team made on “normalization of deviance” and the disproportionate influence some experts may exert on group deliberations. Indeed a Potential Failure Modes Analysis (PFMA) team generally includes various members bringing diverse perspectives into the process. Oftentimes one or two strongly opinionated persons,…
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We just delivered the third edition of our Risk module in MBA course at the SAA (University of Turin, Italy, School of Management). Each time we roll out a new course edition we eagerly await the delegates’ reactions. This years we had in front of us a very active and brilliant group of professionals. Here are a couple comments at the end of the three days module: Angelo Costa, Ph.D., Head of Innovative IT Solutions Sales Department at TIM wrote:…
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The ability to distinguish between different terms is a prerequisite for the acquisition of accurate knowledge, including loss prevention knowledge. Without this capacity, confusion is virtually inevitable. More generally, several words and concepts in loss prevention underscore the necessity of acquiring a specialist vocabulary making fine differentiation among seemingly related but conceptually distinct concepts. As you probably noted the paragraph above is not our writing style. As a matter of fact we only have slightly adapted the conclusion of a…
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Brazilian newspaper had access to police transcripts Samarco Fundão Dam Failure mode and effects analysis FMEA became the center of a recent article in the Brazilian media which described an exchange of messages by Samarco’s internal communication system, reportedly between the company president at the time of the breakup of the Fundão Dam, Ricardo Vescovi, and various directors. In the exchange they discussed the use of FMEA. The newspaper Estado de São Paulo had reportedly access to the transcript, made with…
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Predict business startups success example How to do it ORE applied to Startups development came up when we read examples of “archival analyses” on startups. Researchers used data mining to show that: board “age”, “gender”, “capital”, “IP” and finally “race” have insignificant effects (after 5 years) on either merger/acquisition rate OR survival of operations of startups. Those results left the authors of the research (Kaufmann Foundation) with the feeling that “something was missing” in this type of analyses. Those results…
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Recently a client called us in to help determine the criticality of each element (division) of their business. They had developed a qualitative and indexed approach (FMEA/PIG risk matrix style). However they realized it neither yielded enough specific high quality information nor allowed sensible and informed decisions. We analyzed their system and found that the 80-20% rule in Risk Management practice: a way out of the overwhelming syndrome was true. More specifically they had difficulties in: Defining the appropriate level…
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