CEM4104 - Lecture 1


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Understanding risk management for events

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CEM4104 - Lecture 1

  1. 1. Event Management Subject Code: CEM410 4 Lecture 1 Developed & Presented by : Roy Ying Understanding Risk Management for Events Note: Pictures used in this power point file is for academic Purpose only
  2. 2. Agenda <ul><li>Introduction </li></ul><ul><li>Course Outline & Administration </li></ul><ul><li>Definition of Event Risk Management </li></ul><ul><li>Legal framework related to Event industry </li></ul><ul><li>Duty of care </li></ul><ul><li>Protecting the legal interests </li></ul><ul><li>Trademarks and logos </li></ul><ul><li>Case tutorial </li></ul>
  3. 3. <ul><li>My job now </li></ul><ul><li>Public Affairs & Media Relations </li></ul><ul><li>Government Policy Lobbyist </li></ul><ul><li>Professional Standards Regulators </li></ul><ul><li>Event Organizer </li></ul><ul><li>Network Builder </li></ul><ul><li>PR & MICE Lecturer </li></ul><ul><li>B2B Marketer </li></ul>Self Introduction Past 16 years….. Jardine Matheson HK Trade Development Council Mission Hills Golf Club HK General Chamber of Commerce Roy Ying
  4. 4. Your Turn <ul><li>It’s time for me to get to know you </li></ul><ul><li>What’s your name? </li></ul><ul><li>What’s your job? </li></ul><ul><li>Have you managed events before? </li></ul><ul><li>If yes, what are they? </li></ul>
  5. 5. Course Objectives <ul><li>  By completing this module, you should be able to: </li></ul><ul><li>identify threats to events; </li></ul><ul><li>comply with standard and customary event regulations and procedures to control potential event liabilities; and </li></ul><ul><li>develop ethical management procedures. </li></ul>
  6. 6. Lecture 1 to 5 <ul><li>Outline: </li></ul><ul><li>Apr 15 – Understanding risk management for events </li></ul><ul><li>29 Apr – Classification of Risks </li></ul><ul><li>30 Apr – Financial Safeguards </li></ul><ul><li>Handing out of group assignment </li></ul><ul><li>6 May – Contracts, Permits and Licenses </li></ul><ul><li>20 May – Mid-term quiz </li></ul><ul><li>Event Risk management Process </li></ul>
  7. 7. Lecture 6 to 10 <ul><li>Outline: </li></ul><ul><li>27 May –Strategic Responses to Event Risks </li></ul><ul><li>3 Jun – Tactical Risk Control Measures </li></ul><ul><li>4 Jun – Risk Management Procedures </li></ul><ul><li>10 Jun – Ethics in Event Management </li></ul><ul><li>11 Jun – Group Presentations </li></ul><ul><li>Review </li></ul><ul><li>2 Jul – Exam </li></ul>
  8. 8. Course Administration 5% Class participation 1 5 % Continuous Assessment ( Quiz) 2 0 % Continuous Assessment ( Assignment) 60% Written Examination Weighting (100%) in total Format (Must have 80% attendance)
  9. 9. Definition of Risk <ul><li>It is the exposure to the possibility of loss, injury, or other adverse or unwelcome circumstance; a chance or situation involving such a possibility </li></ul><ul><li>Oxford English Dictionary (1655) </li></ul>
  10. 10. What is Risk Management? <ul><li>“ Risk management is the way in which uncertainties are properly identified, judiciously analyzed, and pertinently responded so that they will have the best chance of a beneficial outcome and the least chance of a detrimental one.” </li></ul><ul><li>Event manager is a risk manager also. </li></ul>
  11. 11. Group Discussion <ul><li>What can go wrong in an event? </li></ul><ul><li>Get into groups of 3, list down at least 5 incidents where something went wrong in an event you organized or attended </li></ul>
  12. 12. Legal framework related to Event Industry <ul><li>In a nutshell, in Hong Kong, nothing is illegal unless the law says you are not allowed to </li></ul><ul><li>Law of Hong Kong is consisted of: </li></ul><ul><ul><li>Basic Law </li></ul></ul><ul><ul><li>Common Law / Case Law </li></ul></ul><ul><ul><li>Statute Law </li></ul></ul>
  13. 13. Legal framework related to Event Industry <ul><li>Basic Law – not a concern. The main principle is “one country two systems” </li></ul><ul><li>Case Law – not really, but we have to remember it’s a system where the judgments are based on “case precedence” </li></ul><ul><li>Statutes – yes, there are a number of them that we have to pay attention to </li></ul>
  14. 14. Ordinance relevant to Events <ul><li>Company Ordinance </li></ul>
  15. 15. Corporate Structure <ul><li>Limited liability companies can go bankrupt, but shareholders / directors are generally not personally liable </li></ul><ul><li>Sole proprietorship companies will drag owners into bankruptcy also </li></ul>Implication: Sometimes, it’s necessary to establish a separate entity to handle a major event. A prime example was the 2008 Olympic Equestrian Company
  16. 16. Ordinance relevant to Events <ul><li>Places of Public Entertainment Ordinance </li></ul>
  17. 17. What is it? <ul><li>The ordinance gives power to Home Affairs Bureau, and licensing authority delegated to Food & Hygiene Department </li></ul>
  18. 18. Duty of care for directors <ul><li>Legal Definition – the event company’s director’s duty of care is measured by his or her own subjective standard. The person’s attributes, education, working experience and intelligence all count towards this standard. </li></ul>
  19. 19. Duty of care for event managers <ul><li>Duty of care requires everything ‘reasonably practicable’ to be done to protect the health and safety of people who are in the vicinity or come into contact with the event for ALL stakeholders </li></ul><ul><li>The duty holder must show that it was not ‘reasonably practicable’ to do more than what was done or that they have taken ‘reasonable precautions and exercised due diligence </li></ul>
  20. 20. Reasonably practicable <ul><li>‘ Reasonably practicable’ means that the requirements of the law vary with the degree of risk in a particular activity or environment which must be balanced against the time, trouble and cost of taking measures to control the risk. </li></ul>
  21. 21. Negligence <ul><li>What are ‘negligent acts? </li></ul><ul><li>They are situations in which injury is not deliberate, but it is foreseeable . </li></ul><ul><li>Due process ought to be followed with proper documentation because if the injured party files litigation, the process can be lengthy and expensive </li></ul>
  22. 22. How to discharge this duty? <ul><li>In order to satisfy or ‘discharge’ that duty of care you must behave as a ‘reasonable person’ would but taking into account your position , specific skills, knowledge and experience . </li></ul><ul><li>The duty of care requires you to consider the consequences of your acts and omissions and to ensure that those acts and/or omissions do not give rise to a foreseeable risk of injury to any other person. Clearly one is not expected to guarantee the safety of others, merely to act reasonably. </li></ul>
  23. 23. Trademarks and logos <ul><li>Regulating authority in Hong Kong </li></ul>
  24. 24. What is a trademark? <ul><li>A trademark is a sign that distinguishes the goods and services of one trader from those of others. </li></ul><ul><li>Typically a trademark can be words (including personal names), indications, designs, letters, characters, numerals, figurative elements, colours, sounds, smells, the shape of the goods or their packaging or any combination of these. </li></ul><ul><li>A sign must be capable of being represented graphically in order for it to be registered as a trademark. </li></ul>
  25. 25. 10 general rules for trademark <ul><li>1. Use the ® only for trademarks </li></ul><ul><li>2. Use the ™ for any brand or mark that is unregistered. </li></ul><ul><li>3. You do not need to use a trademark symbol with every use of the term in print. </li></ul><ul><li>4. There is no legal obligation to use either trademark symbol – but they put the world on notice of trademark rights (and non-use of ® can bar trademark damage claims). </li></ul><ul><li>5. A mark is typically presented as follows when used as a brand – COCACOLA ® </li></ul>
  26. 26. 10 general rules for trademark <ul><li>6. A trademark is an adjective – a descriptor – not a noun or verb (though consumers disregard). Say: SNICKERS® brand candy bar is one of our best sellers. Not: SNICKERS are our best seller. </li></ul><ul><li>7. Trademarks are property through actual use with goods and services. </li></ul><ul><li>8. Trademark rights can last perpetually if used perpetually (assuming proper use) – unlike patents and copyrights. </li></ul><ul><li>9. Trademark rights (like patents and copyright) are specific to regions or countries in which they are used. </li></ul><ul><li>10. Keep control of your trademarks. Use them properly and only let others use them with your permission (e.g., by license). </li></ul>
  27. 27. Examples <ul><li>Word </li></ul><ul><li>Name </li></ul><ul><li>Symbol </li></ul><ul><li>Slogan </li></ul>
  28. 28. Examples <ul><li>Design </li></ul><ul><li>Device </li></ul><ul><li>Sound </li></ul><ul><li>Domain </li></ul>
  29. 29. Use of Trademark
  30. 30. Trademarks are adjectives <ul><li>You need to put a noun (i.e., the product’s name after it) </li></ul>
  31. 31. Logo is not a legal term!
  32. 32. General principles <ul><li>Determine what central motif the logo will need to represent. The central image of the logo should be something directly related to the event </li></ul><ul><li>Create a color scheme for your logo. Depending on the event, this may already have been done as events affiliated with a particular company or organization. </li></ul><ul><li>Decide upon an overall shape for your logo. Though the actual images used can be complex, most logos can be outlined as one or a few basic shapes </li></ul>
  33. 33. General principles <ul><li>Develop standards in using the logos, and enforce your standards </li></ul>
  34. 34. Do’s Don’ts
  35. 35. Case Tutorial <ul><li>School Music Concert </li></ul><ul><li>The show starts in 3 hours </li></ul><ul><li>Your enquiry hotline received a bomb threat </li></ul><ul><li>Which law is relevant to this case? </li></ul><ul><li>Which government agency can help you? </li></ul><ul><li>As event manager, what duty of care do you owe to your stakeholders? </li></ul><ul><li>Should the concert go on, postpone or cancel? </li></ul>
  36. 36. Present your ideas <ul><li>Get into groups of 3-4 </li></ul><ul><li>Answer the questions </li></ul><ul><li>Nominate one representative to give answers </li></ul><ul><li>10 minutes to discuss </li></ul>
  37. 37. THANK YOU <ul><li>See you next week </li></ul><ul><li>My email: [email_address] </li></ul><ul><li>My mobile: 61899520 </li></ul>