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SME’s Risk Assessment Mobile
Application Analysis and Design for
Disaster Management in Thailand
P. THAMARUX
Interdisciplinary Graduate School of Science
and Engineering, Tokyo Institute of
Technology, Japan
thamarux.p.aa@m.titech.ac.jp
N. LEELAWAT
International Research Institute of Disaster
Science,
Tohoku University
468-1-E305 Aramamaki-Aza Aoba, Aoba-ju,
Sendai 980-0845 Japan
leelawat@irides.tohoku.ac.jp
M. MATSUOKA
Department of Architecture and Building
Engineering,
School of Environment and Society, Tokyo
Institute of Technology, Japan
matsuoka.m.ab@m.titech.ac.jp
Introduction
89%of business in Thailand is SMEs
39.6%
of Thailand GDP is from SMEs
90%
of SMEs are expected to increase by 2018
Ref: - Asian Disaster Reduction Center (ADRC). Natural Disaster Data Book 2 (2014)
- The Center Economic and business Forecasting University of Thai Chamber of Commerce. An Assessment of the Disaster Preparedness of
Thailand Small and Medium Size Enterprise. (2012)
Problem Statement
• SMEs usually come with limited budget, it affects the investment in disaster
preparing and recovering
• The limited experience, understanding, and expertise about natural
disaster
• The privilege trades the accessibility to data and assistant for business's risk
assessment
• Especially for startups, with less experience and fragile foundation, the
recovering after failing is more challenging than establish
The most important thing; the business
owners need to understand their own risks
(Sendai Framework Priority Action 1)
--create the awareness, suggest the BCP’s elements--
Suggesting Solution
Problem
Difficult to access the necessary data for analysis
Insufficient of the local (Thai) and easy-to-use platform
for business risk from natural disaster analyze system
Aims
The study to create the system schema for fundamental
data inventory for individually risk analysis of SMEs
startups. The result from analysis suggests the basic
information for BCP conducting
Business Sectors
on Focus
Electrical Appliance
and Electronics
Plastic
Metal
Technology and
Communication
Tourism
Agriculture, food
and beverage
Expected User Behavior
Time Line After the Disaster
Collect and broadcast useful information of the incident to other organizations
Protect company’s assets
Survey the damages
Mitigation and prepare for the second strike
Decision of employee relocation
Verify employee safety
Mitigation, rescue, and
emergency response
Prioritized action according to the plan
Business Model Canvas
Ref: Osterwalder, A. and Pigneur, Y. (2010) Business Model Generation: A Handbook for Visionaries, Game
Changers, and Challengers. New Jersey: John Wiley & Sons.
Business Continuity Planning
(BCP)
The BCP is the creation of a strategy through the
recognition of threats and risks facing a company,
with an eye to ensure that personnel and assets are
protected and able to function in the event of a
disaster.
In Thailand BCP was standard by The Office of SMEs
Promotion (OSMEP) under the authority of Industry
Ministry. It was referenced from International
Standard ISO 22301 for Business Continuity
Management
Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
Business Continuity Planning
(BCP) 10 Steps
Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
Identify purposes, scope of work, and team responsibilities
Prioritize the activities and analyze the recover time
Manage the necessary resources for business main activity and stakeholders
Evaluate the risk to cognizant the possible damages
Address and plan and measure beforehand
Address the emergency response plan
Address the strategies for business continuity and fast recovery
Prepare financially
Train and rehearse the plan
Conduct Plan-Do-Check-Action (PDCA)
Business Continuity Planning
(BCP)
Prioritized Activities (PA)
Internal External
The Level of Vulnerability
Prioritized service and product
Product/ service A
Product/ service B
Product/ service C
Product/ service D
Product/ service E
High/ Medium/ Low High/ Medium/ Low
High/ Medium/ Low High/ Medium/ Low
High/ Medium/ Low High/ Medium/ Low
High/ Medium/ Low High/ Medium/ Low
High/ Medium/ Low High/ Medium/ Low
The level of vulnerability indicates as:
High: High death rate(% of population) High lost (% of balance sheet)
Medium: Business activity was disturbed High rate of injured
Low: Significant damage Small rate of injured
Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
System Analysis
Preparation
ResponseRecovery
Mitigation
• Prevention plan
• Emergency
response plan
• Alternative of
continuity and
recovery plan
• Prioritized
activity
measures
internal
Necessary
Utilities
Hazard
Main Activity
Resource
Stakeholders
Customer
Suppliers
other
Hazard
Vulnerability
BCP
ASSCESSMENT
Ref: National Civil Defence
Emergency Management Strategy
2007, page 5. Department of Internal
Affairs, Wellington, New Zealand
2008. Digital edition. Retrieved 3
August 2008. ISBN 0-478-29453-0.
Emergency
Management
Cycle
Vulnerability AnalysisBusiness profile
• Persona check (startup SME)
[Note: persona defined by EU’s industry cooperation]
• Number of employee
• Balance sheet total
• Established year
• Base and most of activity is located and conducted in
Thailand
• Online
• Internal resources
• Infrastructure
• Machineries and stationaries
• Warehouse and stocking
• Human resource
• IT system
• Financial assets
• Necessary utilities
• Electricity
• Gas and petro
• Water
• Communication
• Logistics
• Stakeholders
• Costumers
• Prioritized suppliers
• Other
Main activities (elements from canvas) for PA and RTO analysis
• Main activities
• value transfer channel (internal and external resources)
• Customer relationship channel (internal and external
resources)
• Cost-revenue rate (for MTED analysis)
Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
Francis J. Aguilar. “Scanning the Business Environment”. (1967)
C. Eden, F. Ackerman. “Marketing Strategy: The Journey of Strategic Management”, London: Sage Publication (1998)
Keep Contact
Low
High
High
Keep Monitor
Keep Satisfied Manage Closely
Political factors
Economic factors
Social factors
Technological factors
Legal factors
Environmental factor
Power
Interest
User Relation and Channel
Stakeholders
Customer
Suppliers
other
internal
Main Activity
Resource
Necessary
Utilities
Basic data for
Hazard analysis
BCP ASSCESSMENT
Conclusion
This study aims to create the system schema for
fundamental data inventory for individually risk analysis
of SMEs startups. The approach is the solution that
intended to assist SMEs conduct the BCP to prepare for
the possible natural hazard risk in the local environment.
BUSINESS
CONTINUITY
PLAN
Q&APatcharavadee THAMARUX
thamarux.p.aa@m.titech.ac.jp

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Thailand Business Risk Assessment for Disaster Management, Patcharavadee THAMARUX

  • 1. SME’s Risk Assessment Mobile Application Analysis and Design for Disaster Management in Thailand P. THAMARUX Interdisciplinary Graduate School of Science and Engineering, Tokyo Institute of Technology, Japan thamarux.p.aa@m.titech.ac.jp N. LEELAWAT International Research Institute of Disaster Science, Tohoku University 468-1-E305 Aramamaki-Aza Aoba, Aoba-ju, Sendai 980-0845 Japan leelawat@irides.tohoku.ac.jp M. MATSUOKA Department of Architecture and Building Engineering, School of Environment and Society, Tokyo Institute of Technology, Japan matsuoka.m.ab@m.titech.ac.jp
  • 2. Introduction 89%of business in Thailand is SMEs 39.6% of Thailand GDP is from SMEs 90% of SMEs are expected to increase by 2018 Ref: - Asian Disaster Reduction Center (ADRC). Natural Disaster Data Book 2 (2014) - The Center Economic and business Forecasting University of Thai Chamber of Commerce. An Assessment of the Disaster Preparedness of Thailand Small and Medium Size Enterprise. (2012)
  • 3. Problem Statement • SMEs usually come with limited budget, it affects the investment in disaster preparing and recovering • The limited experience, understanding, and expertise about natural disaster • The privilege trades the accessibility to data and assistant for business's risk assessment • Especially for startups, with less experience and fragile foundation, the recovering after failing is more challenging than establish The most important thing; the business owners need to understand their own risks (Sendai Framework Priority Action 1) --create the awareness, suggest the BCP’s elements--
  • 4. Suggesting Solution Problem Difficult to access the necessary data for analysis Insufficient of the local (Thai) and easy-to-use platform for business risk from natural disaster analyze system Aims The study to create the system schema for fundamental data inventory for individually risk analysis of SMEs startups. The result from analysis suggests the basic information for BCP conducting
  • 5. Business Sectors on Focus Electrical Appliance and Electronics Plastic Metal Technology and Communication Tourism Agriculture, food and beverage
  • 6. Expected User Behavior Time Line After the Disaster Collect and broadcast useful information of the incident to other organizations Protect company’s assets Survey the damages Mitigation and prepare for the second strike Decision of employee relocation Verify employee safety Mitigation, rescue, and emergency response Prioritized action according to the plan
  • 7. Business Model Canvas Ref: Osterwalder, A. and Pigneur, Y. (2010) Business Model Generation: A Handbook for Visionaries, Game Changers, and Challengers. New Jersey: John Wiley & Sons.
  • 8. Business Continuity Planning (BCP) The BCP is the creation of a strategy through the recognition of threats and risks facing a company, with an eye to ensure that personnel and assets are protected and able to function in the event of a disaster. In Thailand BCP was standard by The Office of SMEs Promotion (OSMEP) under the authority of Industry Ministry. It was referenced from International Standard ISO 22301 for Business Continuity Management Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
  • 9. Business Continuity Planning (BCP) 10 Steps Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai) Identify purposes, scope of work, and team responsibilities Prioritize the activities and analyze the recover time Manage the necessary resources for business main activity and stakeholders Evaluate the risk to cognizant the possible damages Address and plan and measure beforehand Address the emergency response plan Address the strategies for business continuity and fast recovery Prepare financially Train and rehearse the plan Conduct Plan-Do-Check-Action (PDCA)
  • 10. Business Continuity Planning (BCP) Prioritized Activities (PA) Internal External The Level of Vulnerability Prioritized service and product Product/ service A Product/ service B Product/ service C Product/ service D Product/ service E High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low High/ Medium/ Low The level of vulnerability indicates as: High: High death rate(% of population) High lost (% of balance sheet) Medium: Business activity was disturbed High rate of injured Low: Significant damage Small rate of injured Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai)
  • 11. System Analysis Preparation ResponseRecovery Mitigation • Prevention plan • Emergency response plan • Alternative of continuity and recovery plan • Prioritized activity measures internal Necessary Utilities Hazard Main Activity Resource Stakeholders Customer Suppliers other Hazard Vulnerability BCP ASSCESSMENT Ref: National Civil Defence Emergency Management Strategy 2007, page 5. Department of Internal Affairs, Wellington, New Zealand 2008. Digital edition. Retrieved 3 August 2008. ISBN 0-478-29453-0. Emergency Management Cycle
  • 12. Vulnerability AnalysisBusiness profile • Persona check (startup SME) [Note: persona defined by EU’s industry cooperation] • Number of employee • Balance sheet total • Established year • Base and most of activity is located and conducted in Thailand • Online • Internal resources • Infrastructure • Machineries and stationaries • Warehouse and stocking • Human resource • IT system • Financial assets • Necessary utilities • Electricity • Gas and petro • Water • Communication • Logistics • Stakeholders • Costumers • Prioritized suppliers • Other Main activities (elements from canvas) for PA and RTO analysis • Main activities • value transfer channel (internal and external resources) • Customer relationship channel (internal and external resources) • Cost-revenue rate (for MTED analysis) Ref: The office of SMEs Promotion (OSMEP), Thailand. Business Continuity Planning for SMEs. 2014 (in Thai) Francis J. Aguilar. “Scanning the Business Environment”. (1967) C. Eden, F. Ackerman. “Marketing Strategy: The Journey of Strategic Management”, London: Sage Publication (1998) Keep Contact Low High High Keep Monitor Keep Satisfied Manage Closely Political factors Economic factors Social factors Technological factors Legal factors Environmental factor Power Interest
  • 13. User Relation and Channel Stakeholders Customer Suppliers other internal Main Activity Resource Necessary Utilities Basic data for Hazard analysis BCP ASSCESSMENT
  • 14. Conclusion This study aims to create the system schema for fundamental data inventory for individually risk analysis of SMEs startups. The approach is the solution that intended to assist SMEs conduct the BCP to prepare for the possible natural hazard risk in the local environment. BUSINESS CONTINUITY PLAN

Editor's Notes

  1. Agriculture, food and beverage
  2. Identify purposes, scope of work, and team responsibilities Prioritize the activities and analyze the recover time Manage the necessary resources for business main activity and stakeholders Evaluate the risk to cognizant the possible damages Address and plan and measure beforehand Address the emergency response plan Address the strategies for business continuity and fast recovery Prepare financially Train and rehearse the plan Conduct Plan-Do-Check-Action (PDCA)
  3. Identify purposes, scope of work, and team responsibilities Prioritize the activities and analyze the recover time Manage the necessary resources for business main activity and stakeholders Evaluate the risk to cognizant the possible damages Address and plan and measure beforehand Address the emergency response plan Address the strategies for business continuity and fast recovery Prepare financially Train and rehearse the plan Conduct Plan-Do-Check-Action (PDCA)