Vietnam’s Industrial Parks Part 12: Risk engineering

Part 12: Risk engineering

Risk engineering refers to services aimed at predicting potential risks—such as fires, occupational accidents, and crime—and preventing or mitigating their occurrence. In particular, when expanding into Vietnam, it is extremely difficult for a company to implement preventive measures against all risks on its own. As a result, many companies engage specialized providers, such as insurance companies, to conduct investigations and assessments. This article introduces examples of risk engineering services.

Fire prevention measures

For manufacturing companies, one of the most critical risks to address is fire. While internal fire inspections are essential, using risk engineering services allows for even more effective countermeasures. Representative examples include the following:

1. 1. Fire risk survey
   This survey identifies risks on the premises that could cause property damage. It mainly predicts risks in advance, such as inadequate management of fire protection systems and production equipment, or defects in electrical facilities. Investigations can also include potential fire causes such as electrical leakage from low-voltage electrical rooms.
   
2. 2. Infrared camera survey
   This service checks for abnormal heat generation in electrical wiring to reduce the risk of electrical fires. Thermographic inspections can detect equipment defects as well as short circuits or ground faults in wiring. In recent years, surveys using drones have also become possible, enabling efficient inspections of areas that were previously difficult to access.
   
3. 3. Simplified inspection of firefighting equipment
   This service allows self-checks of fire extinguishers, fire hydrants, and similar equipment. It can be conducted online, with questionnaire results scored to assess maintenance levels, thereby contributing to improvements in fire prevention standards.
   

Through these services, a wide range of fire-related risks can be inspected and assessed. In some cases, disaster risk assessments are also conducted, along with seminars on emergency response during disasters.

Occupational accident prevention measures

Industries that use large amounts of machinery, such as manufacturing, inherently face higher risks of occupational accidents. The following services represent basic examples of occupational safety measures. A notable feature is the focus on forklift-related risk assessments, as forklifts account for a particularly high number of accidents.

1. 1. Warehouse forklift survey
   This service evaluates safety in warehouse and forklift operations from a third-party perspective, identifying risks and inspecting and maintaining forklifts. It helps reduce the risk of employee injuries and cargo damage caused by forklifts.
   
2. 2. Forklift driving diagnosis using drive recorders
   Forklift operations are analyzed using drive recorders, reducing the risk of property damage and personal injury accidents caused by human error.
   
3. 3. Occupational accident risk assessment
   The purpose of this service is to prevent occupational accidents and improve occupational health and safety standards. Accident factors are analyzed from four perspectives—equipment-related, human, managerial, and environmental—and compiled into a safety report with recommendations.

Crime prevention measures

In recent years, the number of server attacks in Vietnam has increased, making it necessary to consider not only conventional crime risks but also cyberattack risks.

1. 1. Security survey
   This survey aims to reduce risks of theft and loss, focusing on the status of surveillance cameras, visitor logs, and security patrol systems.
   
2. 2. Cybersecurity assessment
   This service examines and diagnoses a company’s IT system environment in detail, supporting the introduction of various solutions as well as post-implementation operation, management, and initial incident response.
   

Comprehensive risk assessments

While services that anticipate specific situations and reduce risks in advance are common, there are also services that address risks comprehensively. Examples include the following:

1. 1. BCM consulting
   This service supports the formulation and review of Business Continuity Plans (BCP) and the implementation of Business Continuity Management (BCM). It analyzes the impact and risks of business operations and identifies areas requiring advanced countermeasures, which are then incorporated into plans. It also promotes understanding through education and training, mainly via seminars, workshops, and role-playing exercises.
   
2. 2. Process risk assessment
   For high-risk processes such as painting and die-casting, this service identifies hazards and existing countermeasures, evaluates risk levels (frequency of occurrence and severity of damage), proposes improvement measures to reduce risks, and prioritizes those improvement proposals.
   
3. 3. Simplified valuation assessment
   This service compares existing insured values with values calculated through a simplified assessment to review insurance coverage amounts. By comparing current insurance values with assessed values, companies can engage in more concrete discussions at the time of policy renewal.
   

In addition to purchasing non-life insurance, risk management services enable companies to operate their businesses more safely. First, it is essential to visualize potential risks that may arise within the company and to consider appropriate countermeasures in advance.