Risk Management in Regulatory Frameworks

Towards a better management of risks

Plan of the presentation

• Why risk management matters for authorities, for economic/political unions, for the United Nations

• Presenting milestones of our work

• Key take-away message

• Please join, work is ongoing! • n EURASEC

WP6 on «Regulatory cooperation and std policies»

What we are: • Intergovernmental body• Participation by: authorities, regional & int’l org, standards-

setting bodies, business, certification bodies, test houses, civil society

• From all UN Member States• 1970 – 2010: 40+ yearsOur mandate:• Standardization Technical regulations Conformity

assessment Accreditation Metrology Market surveillance Risk Management Education x standards

Our activities • Share info & best practice• Capacity-building • Develop and maintain a set of recommendations • Implement a set of initiatives on specific industrial sectors

Why RM matters for authorities and for the UN

• Globalization has led to an unprecedented accumulation of risks:

• Global suppy chains: risks ripple across continents

• A lot more value in disaster-prone locations

• Efforts to protect people, infrastructure, the

environment & economic activities from hazards need to be globally cohesive and coherent

• Regulations and standards are one of the options available to manage risks

RM in regulatory activity is not new

• RM is the root of legislative action in key sectors and in many countries:• Food safety• Environmental safety• Occupational health & safety

Protect safety… promote competitiveness

• Raise awareness of how standards and regulations help address risks of all kinds

• Develop recommendations on how RM tools can be used in planning, developing, implementing regulations

• Develop recommendations on how RM can contribute to the design of the regulatory system and for regulatory cooperation

Goals of UNECE work in RM

Milestones of the UNECE work on risk management

• International Conference (Nov. 2009)

• Creation of a group of experts on Risk Management (Nov. 2010)

• Approval of two recommendations on Risk Management in Regulatory Systems and Crisis Management in Regulatory Systems (Nov. 2011)

• Launch of the publication (Nov.2012)

• Participation in the Global Platform on disaster risk reduction (May 2013)

The UNECE model

• Setting the objectives of the regulatory system

• Management of assets• Risk identification• Risk analysis and evaluation• Choosing risk treatment strategies• Implementing risk treatment• Crisis management • Monitoring and reviewing

Key take-aways• Good risk management is good regulatory practice

• Need for setting up institutional mechanisms that allow for structured consultation with business, civil society, professional associations and all key stakeholders

• Define objectives for regulatory action: what is the societal goal

you’re pursuing, is regulatory action the best choice?

• Regulation is just the first step, implementing mechanisms are key

• Crisis management

• Monitoring and reviewing

The publication• Introduces the concept of risk and

risk management

• Adapts complex RM tools to the work of authorities

• Presents a novel and holistic model for managing risks in regulatory frameworks based on international standards (specifically ISO 31000)

• How to, hands on approach with many examples, case studies, walk through solutions

How UNECE work makes a difference

• Accidents in mines, offshore facilities, plants cause casualties, loss of animal life, environmental and economic damage

• UNECE has developed a toolkit for regulatory action in the sector of equipment for explosive atmospheres

• Taken up by the US Coast Guard new regulations on off-shore drilling

How UNECE work makes a difference

• Proliferation of low quality goods • Endangers consumers• Undermines competitivemess of

compliant business

Weakens compliant business

Work is ongoing focussing on concrete actions

• To reinforce competent authorities• To empower consumers• To strengthen reg/intl cooperation

• Invite you to participate in the Group of Experts

• Need for capacity-building and awareness raising activities

• Explore specific sectors and specific projects where RM principles can be used

• Including horizontal areas, such as conformity assessment, market surveillance, quality infrastructure..

Invite your participation in our work