5th International Disaster and Risk Conference IDRC 2014 Integrative Risk Management - The role of science, technology & practice 24-28 August 2014 in Davos, Switzerland

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PROMOTING PORT RESILIENCY
- VIA THE AIRPORT CERTIFICATION PROGRAM
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for Information Chair Systems for IS and Supply Chain Management
DANIEL LINK
JAMES F. SMITH
BERND HELLINGRATH
TEO A. BABUN JR.
24TH-28TH AUGUST 2014

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PRESENTATION OUTLINE
 Introduction
 Airport Resiliency - State of the Art
 Barriers to Airport Resiliency
 The Airport Certification Program (ACP)
 Dealing with the Motivation Problem
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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INTRODUCTION
AIRPORTS, DISASTERS, RESILIENCY
 Airports are often critically important for disaster
relief and economic recovery; e.g.
 Hurricane Katrina (2005): Louis Armstrong New Orleans
International Airport
 Haiti earthquake (2010): Toussaint Louverture
International Airport, Port-au-Prince
 Airports may be directly or indirectly affected by
disasters.
 Higher resiliency can reduce risks and potential
losses.
 Improved business continuity
 Quickened restoration to an acceptable level of service
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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AIRPORT RESILIENCY – STATE OF THE ART
DEFINITION, BASIC APPROACHES, EXISTING PROGRAMS
 Airport resiliency is:
the ability of an airport to cope with or adapt to stress
 Two basically different approaches to improve resiliency
 “hard” resiliency (structural measures)
 “soft” resiliency (policy, organizational/relationships,
procedural, and defensive measures)
 Several individual programs at airports
 e.g. at Dallas-Fort Worth International Airport
 Two systematic programs, focusing on soft resiliency
 Get Airports Ready for Disasters (GARD) by Deutsche Post DHL
and UNDP (applied to about seven airports)
 The Port Resiliency Program (PReP) by AmericasRelief Team
(applied to one airport)
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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BARRIERS TO AIRPORT RESILIENCY
NEED, COST, MOTIVATION, GUIDANCE
 Lack of perceived need
 Due to faulty, incomplete, or absent risk and hazard analyses
 High impact vs. low probability
 Expected cost
 Expensive “hard” resiliency, e.g. structural hardening and systems
or equipment redundancy
 Staff time for relatively inexpensive “soft” resiliency measures,
e.g. relationship building
 Lack of motivation
 Resiliency measures usually viewed as unnecessary expenses
 Adverse effects at other airports not motivating
 Resiliency not associated with competitive advantage
 Regulatory requirements for dealing with crashes seen as “enough”
 Lack of guidance
 No common resiliency definitions and standards
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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THE AIRPORT RESILIENCY CERTIFICATION
PROGRAM (ACP)
Airport requests
application packet
Airport takes actions to
meet standards
Airport submits packet
Evaluation of packet
and on-site audit
Evaluation of packet
and on-site audit
PReP
GARD
Other qualified
providers that
have been
trained &
certified
Re-certification
(after 3 years)
QUALIFIED PROVIDERS
Program’s evaluators
and auditors
Certification
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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DEALING WITH THE MOTIVATION PROBLEM
THREE BASIC APPROACHES
 Seeking recognition from the insurance and reinsurance industry
 Airport resiliency as a risk reduction or loss control measure worth rewarding
with lower insurance rates or more favorable treatment in pay-outs
 Essentially zero room in the current aviation insurance rate structure for
incentives
 Airport users see their risk spread over their entire networks
 Making airport resiliency certification a regulatory requirement
 Recent experiences with e.g. Safety Management Systems (SMS) indicate
extreme resistance to new types of regulations
 Education concerning the value of resiliency and preparedness
 Lessons learned from the 2013 Philippines typhoon relief and recovery may
engender a greater willingness to invest in airport resiliency and airport
resiliency certification
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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DANIEL LINK
UNIVERSITY OF MÜNSTER
DANIEL.LINK@ERCIS.DE
PROF. DR.-ING. BERND HELLINGRATH
UNIVERSITY OF MÜNSTER
BERND.HELLINGRATH@ERCIS.DE
PROF. DR. JAMES F. SMITH
AMERICASRELIEF TEAM
/ SMITH-WOOLVINE ASSOCIATES
JS@AMERICASRELIEF.ORG
DR. TEO A. BABUN JR.
AMERICASRELIEF TEAM
TB@AMERICASRELIEF.ORG
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

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THE AIRPORT CERTIFICATION PROGRAM
BASIC PRINICPLES, MAJOR ELEMENTS
 Basic Principles
 Cooperating with existing
resiliency programs such as PReP
 Can belong to a non-profit or for-profit
organization
 Self-funding after initial start-up
period
 Standards for certification based
on existing resiliency programs to
greatest extent possible
 Supporting documentation
required by insurance/reinsurance
companies
 Major elements
 Standards
 Certification Process
 Training and qualification of
inspectors and auditors
 Qualification of “Qualified
Providers”
 Registry of Certified Airports
 Registry of Qualified Providers
 Periodic Re-Certification
 Continual evaluation of
effectiveness of program
Promoting Port Resiliency
Daniel Link, James F. Smith, Bernd Hellingrath, Teo A. Babun Jr. Chair for IS and Supply Chain Management

10. Added value for the Post 2015 Framework for
5th International Disaster and Risk Conference IDRC 2014
‘Integrative Risk Management - The role of science, technology & practice‘ • 24-28 August 2014 • Davos • Switzerland
www.grforum.org
Disaster Risk Reduction
• How did your work support the implementation of the Hyogo Framework
for Action:
– Global, industry-wide standards for resiliency and preparedness assessment
– Nurturing of key stakeholder relationships
– Integration of early warning systems
– Resiliency and safety benefits reach beyond the airport into the hinterland
– Periodical review of changing risk factors, including those linked to climate change
– Strengthening of critical infrastructure resiliency and disaster relief
• From your perspective what are the main gaps, needs and further steps to
be addressed in the Post 2015 Framework for Disaster Risk Reduction in
– Research: Better understanding of CI provider landscape and motivation; Measures
for airport resiliency
– Education & Training: Raised awareness for resiliency needs and benefits at CI sites
– Implementation & Practice: Willingness of the private sector to invest in resiliency
– Policy: Reconciliation of CI use for concurrent relief and non-relief operations;
focus on ports as vital CI parts and points of entry