Method, computer program product, and system for risk management

A system for obtaining a risk analysis parameter, the system being configured to perform operations of:

• a. querying a user to input at least one of the following input parameters into the input:
• i. location ô=({circumflex over (φ)},{circumflex over (λ)}), where ô denotes a longitude and latitude of a facility in question;
• ii. site classification ĉ, where the site classification reflects geological characteristics of soil at the facility in question;
• iii. period of interest {circumflex over (T)}, where {circumflex over (T)} denotes a user's estimate of the small-amplitude fundamental period of vibration of the facility in question;
• iv. damping ration {circumflex over (ζ)}, where the damping ration is a mathematical characteristic of an idealized structural system of the facility in question;
• v. loss-threshold shaking sNZ, where the loss-threshold shaking is a minimum level of shaking at which nonnegligible damage occurs;
• vi. planning period tEBE, where the planning period is the period and investor uses in a financial analysis for the facility in question;
• and
• vii. exceedance probability pEBE, where the exceedance probability is the probability that earthquake shaking of intensity sEBE or greater will occur during planning period tEBE;
• b. calculating a risk analysis parameter based upon at least one of the input parameters;
• c. outputting the risk analysis parameter, whereby through the risk analysis parameter, a user may calculate an expected annualized loss (EAL) according to the following:
• EAL=H×PFL,
• wherein PFL represents a probable frequent loss, average loss conditioned on a seismic intensity associated with and economic-basis earthquake, and H represents an economic hazard coefficient.

A computer program product for obtaining a risk analysis parameter, the computer program product comprising computer-readable instruction means stored on a computer readable medium for causing a computer to perform operations of:

• a. querying a user to input at least one of the following input parameters into the input:
• i. location ô=({circumflex over (φ)},{circumflex over (λ)}), where ô denotes a longitude and latitude of a facility in question;
• ii. site classification ĉ, where the site classification reflects geological characteristics of soil at the facility in question;
• iii. period of interest {circumflex over (T)}, where {circumflex over (T)} denotes a user's estimate of the small-amplitude fundamental period of vibration of the facility in question;
• iv. damping ratio {circumflex over (ζ)}, where the damping ration is a mathematical characteristic of an idealized structural system of the facility in question;
• v. loss-threshold shaking sNZ, where the loss-threshold shaking is a minimum level of shaking at which nonnegligible damage occurs;
• vi. planning period tEBE, where the planning period is the period an investor uses in a financial analysis for the facility in question;
• and
• vii. exceedance probability pEBE, where the exceedance probability is the probability that earthquake shaking of intensity sEBE or greater will occur during planning period tEBE;
• b. calculating a risk analysis parameter based upon at least one of the input parameters;
• c. outputting the risk analysis parameter, whereby through the risk analysis parameter, a user may calculate an expected annualized loss (EAL) according to the following:
• EAL=H×PFL,
• wherein PFL represents a probable frequent loss, average loss conditioned on a seismic intensity associated with an economic-basis earthquake, and H represents an economic hazard coefficient.