'Environmental Risk Management: Integrated Risk Management A

By Christine, Brian | Risk Management, January 1995 | Go to article overview

'Environmental Risk Management: Integrated Risk Management A


Christine, Brian, Risk Management


The increase in environmental regulations has created an urgent need for corporate environmental risk management programs. In recognition of this need, the RIMS Education Committee developed "Environmental Risk Management: Integrated Risk Management Approach for Environmental Issues," which has its debut in Chicago last November. The course is an overview of the prevailing environmental exposures confronting corporations and the methods risk managers can sue to manage them.

The course was taught by Greg M. Barats, environmental consultant, and Rene McGillicuddy, west coast manager of environmental services, at AIG Consultants, Inc. in San Francisco, California. Both instructors have considerable field experience in environmental matters, which enabled them to provide real-life examples of how environmental problems can be resolved. One participant noted that the instructors' wealth of knowledge made the course highly valuable, and represented a sharp contrast from environmental courses taught by academics who lack practical experience.

The instructors began by acknowledging the ubiquitous nature of environmental exposures. "There isn't a business out there that doesn't have environmental exposures of some sort," said Mr. Barats. An integrated environmental program consists of five elements, he said. These are liability assessment, compliance and legal liability, hazardous materials management, financial assurance and environmental performance. A corporation that develops an environmental program containing these five elements will be able to identify exposures, reduce environmental hazards, develop technical solutions to specific environmental problems, minimize waste volumes and have the capacity to comply with changing laws and regulations. …

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