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Business Risk Management

In: Business and Management

Submitted By pedroeza
Words 2139
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Business Risk Management Fukushima Daiichi – Nuclear Disaster

Pedro Eza ID number: z3366523 Executive Summary
Fukushima crisis management showed system failures from the public and private actors that led to overall human error and opened a continuous debate within international community about holding nuclear plants under public hands rather than private ones whose incentives clearly differ from the public interest: * The Government and regulatory agencies failed to push Tepco to heed several anomalies and warnings causing the operator to be unprepared at an operational risk level evidencing an embarrassing incompetency to make decisions. * Tepco, as this report will prove below, lacked a culture of safety failing to respond effectively to subsequent events after the accident.
For all these, the need to build an adequate resilience framework within the nuclear industry covering the main pillars: Crisis Management, Disaster Recovery, Business Continuity and Emergency Management, are paramount within risk management.

Case’s Background
On March 11, 2011, Japan suffered an earthquake of magnitude 9.0 with an epicenter near the northeast coast of Honshu, Japan. Consequently, a massive tsunami hit the eastern coast of Japan reaching Tokyo Electric Power Company’s (TEPCO) Fukushima Daiichi nuclear power plant causing the biggest nuclear accident in the history. Russian experts have declared that could be considered even worse than Chernobyl’s disaster 20 year ago (New Zealand Herald Online, 2 April 2011).
The…...

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