Methodology for the evaluation of the risk management performance

Abstract

The Risk Management Index, IGR, is an essential technical contribution of operation ATN / JF-7907-RG of the IDB, coordinated by the Institute of Environmental Studies, IDEA, of the Universidad Nacional de Colombia, sede Manizales, within the regional program on "Information and Indicators of Risk and Risk Management" for the Americas, promoted by the IDB, ECLAC and the IDEA between March 2003 and May 2005. It is a composite indicator based on a multi-attribute technique. It represents a series of risk factors that must be minimized through policies and actions to reduce vulnerability and through the maximization of resilience, that is, of the capacity to face and absorb the impacts of dangerous phenomena. Each composite index is made up of various factors that are represented by existing indicators or variables. For purposes of formulating the IGR, it was necessary to propose qualitative indicators, valued with subjective scales, due to the nature of the aspects that are evaluated and due to the lack of pre-existing parameters. The weighting of the indicators that constitute it was made based on the criterion of experts of each country, using numerical techniques consistent from the theoretical and statistical point of view. The IGR is the first systemic approach - based on fuzzy sets - that is used at the international, national and urban levels to assess the performance of risk management, in order to establish targets that improve the management effectiveness. Decision makers, at different territorial levels, now have a useful tool for monitoring the risk management and have the possibility to observe the relative position over time of the studied area and compare the obtained results with other countries, regions or cities. The strength of the IGR lies in the possibility of disaggregating the results and identifying the progress and deficiencies of risk management, with the aim of guiding the actions in order to improve its effectiveness. Its main objective is to stimulate decision-making.