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Risk Mitigation Plan for Optimizing Protection o fConstructed Facilities.

pdf icon Risk Mitigation Plan for Optimizing Protection o fConstructed Facilities. (7544 K)
Marshall, H. E.; Chapman, R. E.; Leng, C. J.

Cost Engineering, Vol. 46, No. 8, 26-33, August 2004.


building construction; risks; planning; disasters; economcis; life cycle costing; optimization; risk mitigation; terrorism; damage; case histories; risk assessment; computer programs; emergency plans; evaluaiton; costs; equations; building management


Owners and managers of constructed facilities need help in optimizing protection against natural hazards and terrorist acts that occur infrequently, but result in devastating damages. The World Trade Center and Pentagon attacks in 2001 magnified this need in the minds of facility designers, constructors, owners, insurers, and occupants. This article describes a three-step protocol for satisfying this need. Step I is to assess the risk of uncertain, costly, manmade and natural hazards, including terrorism, floods, earthquakes, and fire. A summary of constructed facilities in the US, by type, number, and measures of area, establishes the potential for damages. Described tools for evaluating risk are the Construction Industry Institute Security Rating Index and the RAMPART software product. Step 2 is to identify alternative risk mitigation strategies, used singly or in combination, to reduce the expected value of damages from such events. Potential strategies include engineering al ternatives, management practices, and financial mechanisms. Step 3 is to evaluate the life-cycle economic effectiveness of alternative mitigation strategies. Economic methods based on the American Society for Testing and Materials (ASTM) standard practices and software for implementing the methods are described. Acase study for a typical commercial building shows how to measure outcomes from alternative terrorist mitigation measures and choose the optimal protection package based on life-cycle cost analysis. Single value estimates and sensitivity analysis descriptions of the economic measures support a combination of renovation investments to protect the building.