Risk management in the mining sector through complex systems
Abstract
Related to complexity there is a wide diversity of concepts. What the Santa Fe Institute (USA) calls “systemic” corresponds to what Morin (Morin, 2006) calls “complex” until there is a unified terminology (Mariotti, 2000). When understanding complex and complexity, then complexity can be perceived as a fabric (what is woven together) of heterogeneous inseparably associated constituents (…) (Morin, 2006). According to different authors main drivers of complexity can be found in human behaviour and uncertainty. This complexity, structural or dynamic can be organizational, technological or nested in their relationship. The complex interrelationship that exists between individuals within an organization or project and its influence on competitiveness can be studied by individual’s emotional intelligence and organizational behaviour (Love, Edwards, and Wood, 2011).
According to ISO 31000:2009, risk management “refers to a coordinate set of activities and methods that is used to direct an organization and to control the many risks that can affect its ability to achieve objectives”. When concerning any sector, industry, services, project or activity, it requires the use of models or theories as guidelines. Therefore when its basic elements comprehend human behaviour and/or uncertainty, risk management in order to be effective and adapted as much as possible to reality, must be operational within complex systems, as already demonstrated in different R&D environments. Risk management faces particular challenges when approaching specific needs, such as the mining sector. The ILO convention (C175, 1995) concerning Safety and Health in Mines, establishes “that workers have a need for, and a right to, information, training and genuine consultation on and participation in the preparation and implementation of safety and health measures concerning the hazards and risks they face in the mining industry”, and furthermore recognizes “that it is desirable to prevent any fatalities, injuries or ill health affecting workers or members of the public, or damage to the environment arising from mining operations”. In this context, risk assessment of integrated operations can be improved by complex risk models and dynamic environments (Grøtan et al., 2011).
Hence, complex systems can provide decision makers a supporting tool comprising a three axis analysis model. Each of the three axis (X, Y and Z) comprehends a multi-variable linear function f i: X: f_1 (management variables related to mining); Y: f_2 (variables related to risk management systems) and Z: f_3 (variables related to complex systems). Such a proposal, designing, developing and testing a risk management decision making model within complex systems, transversal to other hazard sectors of al economic activities, may provide organizations with sustainable and integrated risk management indicators.
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