To reduce vulnerability and build resilience in business and society, a comprehensive risk-management strategy is needed.
In order to make the right adaptation investments, we need to have a comprehensive strategy that allows us to compare options in a structured way, to find the most cost-effective portfolio of actions. Based on our knowledge and expertise in managing risk, we are developing frameworks for building resilience. Building upon a risk assessment, this strategy should encompass leadership, flexibility, innovation, response, recovery and learning.
We are developing an assessment tool to measure the implementation of a Community’s Resilience Management System (CRMS). The CRMS is a community’s framework of controls for managing essential social systems, community risks and driving continual improvement. A key challenge in improving resilience is that it is difficult to measure. Resilience assessments are complex, having to consider many social, environmental and economic issues. However, if we do not measure resilience we will struggle to identify the most effective actions to improve it.
There are many different methods used by governments, NGOs and businesses to assess resilience, but no internationally accepted standards. Assessments can be time consuming and expensive, and they vary in consistency. There is an urgent need to deliver resilience assessments that are effective and inspire confidence among all stakeholders. As part of the CRMS assessment, we at DNV GL are creating a standard method to measure community resilience. It is based on well-established management systems assessment methodologies but supplemented with materiality analysis and stakeholder engagement activities. The results of the assessment are quantitative scores and qualitative suggestions for improvement in areas such as Leadership, Risk Evaluation, Knowledge and Education, Asset Management, and Emergency Preparedness. The assessment can enable business and other stakeholders to evaluate the resilience of the communities on which they depend.