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

1. A smart approach to manage
Weather related exposures
Eivind Helland - Swissnor GmbH, Baden, Switzerland.
Hanspeter Frei - Global Risk Experts AG, Wollerau, Switzerland
Sebastian Glink - MeteoGroup Schweiz AG, Appenzell, Switzerland.

2. Natural Hazards over the last 30 years
• causes widespread destruction and loss of life
• almost USD 4 trillion in economic losses
• 75% are storm- and flood related
• 40% of these losses alone in Asia

3. Meteo Risk Response Methodology
• Integrate
 advanced weather technology
 onsite risk assessments
 quantitative risk analytics
• User-friendly cloud based solution –
readily accessible company-wide from
anywhere

4. The ‘Meteo Risk Response’ Wheel©
Applicable to Storm & Flood Hazards

5. Improving Predictability and Readiness
What is the Difference to the Common Approach?

6. Flood Severity Distribution Function
• Potential annual loss-outcomes
• The most probable loss is defined as the threshold event

7. Risk Management Dashboard

8. Added value for the Post 2015 Framework
for Disaster Risk Reduction
• Support of the implementation of the Hyogo Framework for
Action:
– Action 2: Identify, assess, monitor and mitigate disaster risks
– Enhance early warning and preparation for the event and post-event
recovery
– Implementing the MRR approach also benefit the local communities
by sharing highly reliable weather data and early warnings at no costs
– Supports the commitment to corporate social responsibility and
climate change impacts
• Further steps to be addressed in the Post 2015 Framework
– Research: Further calibration of modelling approach with back-testing
– Education & Training: Education of personnel to implement emergency
response plans and preparedness training

9. Thank you !
Information and Contact :
www.meteoriskresponse.com
info@meteoriskresponse.com:

10. Meteo Risk Response Deliverables
• Site specific meteorological / hydrological models with information of
wind, flood levels, frequency and historical data
• Site assessment with clear description of loss scenarios, evaluation of
exposure regarding frequency and severity, loss estimation, values at risk
• Tailored risk treatment by elimination, reduction or prevention, with
estimated implementation expenditure , pay-back period and reduction of
cost of risks
• Emergency response and alarm plans before and after corrective actions
are implemented. Training & testing.
• Weather station on-site providing regular, streaming weather data.
• MRR / TERM software as a risk management platform to manage initiate
alarms, notify pre-defined audiences, and to provide emergency response
actions based on the alarm level and defined plans.

11. Benefits of the approach
• Most advanced weather stations with hourly forecasting
• A dynamic risk management software in a modern web-based
solution, incl. incident & risk analytics, quantification of
earnings at risk, risk indicator monitoring, alarm notification,
emergency response plan, including activation and various
modeling & reporting features
• Loss forecasting and risk treatment of natural hazards by
elimination or reduction of probabilities and/or severity of
losses
• Improved budget planning as well as optimization of reserves
and insurance solutions regarding natural catastrophe impacts
• Understanding of dependencies and supply chain
vulnerabilities impacting the bottom line and cash flows

12. Benefits of the approach (cont.)
• Facilitating the decision on risk appetite and risk tolerance
levels
• Improved reputation and meeting investors’, stakeholders’ and
supply chain expectations regarding stable earnings,
predictability and transparency by proactive Risk Management
• Supports the commitment to corporate social responsibility
and climate change impacts
• For organizations with multiple sites a triage process will help
to identify high risk locations to optimize efficiency of the MRR
services with the aim to reduce overall cost.

13. On-site weather stations
Following parameters are
measured and transmitted every
10 minutes via GPRS/ SMS:
- Temperature
- Humidity
- Wind speed
- Wind gusts
- Wind direction
- Air pressure
- Rainfall
- Global irradiation

14. Modeling Approach
Different mathematical meteorological and hydrological
models for storm and water levels include:
• Meteorological & hydrological* forecasting models for studies
on precipitation and run-off processes
• Hydrological and hydraulic reservoir inflow forecasting models
• Hydrological and hydraulic river/channel models covering the
area upstream
• Models describing sediment transport in the catchment area
* DHI (Danish Hydrological Institute) is our partner as world leading company in hydrological modeling

15. Analysing Cost / Benefit of Treatment

16. Online Emergency Response Plan

17. Natural Hazards Triage Process

18. Developing Site-specific Loss Scenarios

19. Approach for Triggering Warnings and Alerts