2015 SAM 202 Risk Management Class

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2015 SAM 202 Risk Management Class

Place: BUS 022

Credits: Two

Instructor: Chris Stoddard, Jim Vander Spoel

Course Description

Risks are everywhere in life. Each of us works to control and manage the risks we face, and we make choices that balance risks and rewards as we go through each day. Ski areas and other businesses also seek to manage, control and reduce risks through a number of means – because it is good for their staff and customers and because doing this helps keep the costs of doing business as manageable and possible.

We will use a variety of ways to examine how risks are managed at ski areas and will discuss many aspects specific to the ski industry – but the principles are the same for every business. In addition to your readings, we will study a number of specific cases that have occurred at ski areas. As part of these studies, we will discuss both accident investigation techniques and how litigation and the court systems work.

We will study a number of specific aspects of ski area operations and risks, including those taking place involving:

 Ski slopes

 Ski lifts

 Rental shop

 Snowtubing

 Buildings and environs

 Workplace, Staff, Worker Compensation, OSHA

 Marketing

 Crisis Management

 Insurance – risk transfer

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We’ll be discussing the specifics of ski area risk management as it applies to planning, design, maintenance, operations, and staffing most every day – but here is an overview of the key risk management topics presented in the text and through our case studies that we’ll discuss: I. Introduction to Risk Management and

Insurance for Ski Areas II. Risk Exposure Introduction III. Risk Evaluation

IV. Risk Control

V. Risk Financing and Insurance

VI. Risk Administration VII. Liability

VIII. Litigation Past and Present

IX. Employee Training, Record Keeping, X. Skier Education and Emergency

Planning

Attendance:

Mandatory! Excessive Absences will affect your grade. Please refer to SAM program handout. Testing and Grading:

Your class participation is very important. Active participation helps me a lot since we are holding this class remotely. It is harder for me to gage whether you “get it” if you don’t speak up – so please speak up, ask, and offer your own ideas. Participation will count 20% of your grade.

Projects – Part 1 Risk Management Assessment and Plan

Although you will work independently, you will be divided into two groups for assignment of which aspects of the ski area that you will develop a risk management analysis for. Each group will have some different aspects of the ski area to cover as you develop your own individual ski area risk management plan. You should work alone – the groups are only for assignments of which topics to cover in the risk management plan that you develop.

You are asked to create a ski area Risk Management Analysis Plan that includes each of the aspects of ski area management assigned to your group – A or B (see next page).

For every assigned topic above, write a two to three page paper (single spaced) with YOUR NAME, SAM 202 RM, and the topic A1 Ski Lifts, B1 Ski Slopes, etc.

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If you are in Group A If you are in Group B

Write about all three of these topics: Write about all three of these topics:

1. Ski Lifts 1. Ski Slopes

2. Snowtubing 2. Crisis Management Planning

3. Rental Shops 3. Marketing

1. Risk Management Plan - Beginning: For each topic paper, start with an introduction that explains which department or part of the ski area you are writing a plan for and what takes place there or what it is all about.

a. Discuss who it is created for – who uses it and why. What is special about these people that we should be aware of for our Risk Management Plan?

b. Describe what the major perils and hazards are for this activity - for the users, and also for the ski area and its staff.

2. What: The second section of each risk management plan topic paper should explain what kinds of activities you would undertake as part of your overall ski area management to manage the perils and hazards and reduce the risks of this activity. Explain these activities in enough detail so the reader of this part of the plan understands:

a. what you will do to reduce, or manage, or transfer risks - before an incident happens b. what equipment, or other resources, is needed to do this.

c. An estimate of the costs to the business to reduce the risks of undertaking this activity and an explanation of what the costs are for.

3. How: What risk management or mitigation steps will you want the ski area to take when an incident has happened. Include:

a. Who will do this, what special training do they need, and what responsibilities do they have

b. What is done – be pretty specific and tell us enough so we can do it.

c. An estimate of the benefits for reducing these risks – both for the ski area and the patrons.

Projects – Part 2 Terrain Park Expert Witness Report

After discussing terrain park risk management, you will be given a real incident to analyze and use to prepare your expert witness report. You will prepare a report as though you were an expert in terrain features and terrain park management. Choose whether you want to work for the plaintiff’s attorney or the ski area’s defense attorney. In class we will discuss the structure of the report and how to go about preparing for it.

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The Textbook

Principles of Risk Management and Insurance, Twelfth Edition by Rejda and McNamara The text is a great resource and you will find it valuable in the years ahead as you manage your

personal insurance and perhaps that of a business. Keep this one. Read ahead so you are familiar with each chapter as we discuss its material.

We will read and discuss these chapters: 1, 2, 3, 5, 6 through page 111, 19, 20, 25 through page 563, & chapter 26. This is an advanced level textbook and has a number of useful and important concepts. The text is an important part of the class because it covers risk management as a concept and covers aspects of risk management that apply to all kinds of businesses. The understandings that you gain with the text are important.

In addition, you will be given an open book exam on the Text. The final exam will cover the material in these chapters.

Students are responsible for any or all materials and information in lectures, handouts, guest speakers, and outside readings.

You can contact me by email most any time: [email protected].

Call me at my office: 651-484-6434 and I’ll respond right away if I am available. If I am not available leave me a message that tells me who you are and how to reach you and what the general topic is that you are calling about. I’ll get back to you ASAP! I’m looking forward to working with your class, and with each of you. The more questions you ask, the more interesting this will be.

Chris Stoddard ADA Statement

ADA Accommodation for Students with Disabilities

If you believe that you need academic accommodations for a disability that qualifies under the Americans with Disabilities Act and Section 504 of the Rehabilitation Act, please contact the Office of Disability Services, located in office T105C of the ACES Center, call (906) 932.4231 x 237, or e-mail [email protected] to discuss your needs and the process for requesting accommodations. This office is responsible for coordinating disability-related academic accommodations and will issue students with verification letters as appropriate. Since

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accommodations may require early planning and generally are not provided retroactively, please contact the office as soon as possible.

Note:

Some of the information discussed in this course will be sensitive and confidential in nature, please use you highest discretion. We will be discussing a number of previous accidents and incidents that have actually occurred in the past, and bringing them back up to the general public or the media can only be painful to some of those involved.

Your instructor, Chris Stoddard

Chris Stoddard received a Bachelor of Science Degree from the University of Minnesota, a Master’s Degree in Education from Colorado State University, and he has had additional postgraduate studies at Oregon State University. Stoddard was employed by the Sun Valley Company at the Sun Valley Ski Area, one of this country’s premier ski resort destinations located in Idaho. Mr. Stoddard began as a ski lift attendant, but quickly rose to the position of assistant supervisor and then supervisor and manager, where he supervised a staff of over 100 operations and additional maintenance people working with 20 ski lifts of various types, including 17 chairlifts.

After leaving the Sun Valley Company, Stoddard formed his own company, Mountain Management Services, in Missoula, Montana. This company thrived on creating training tools for ski area supervisors to use in their seasonal staff training. Records systems and other materials were also developed. Stoddard sold the materials created by this company to the National Ski Areas Association and went to work for them.

For six years, Chris Stoddard was employed as the Technical and Educational Program Administrator for the National Ski Areas Association, where, among other duties, he administered and coordinated the work of the American National Standard Committee B77 which develops the American National Standard B77.1 for Passenger Ropeways - Safety Requirements (including chairlifts) for the American National Standards Institute. Working with various subcommittees, Stoddard wrote and recompiled many of the B77.1 standard’s safety requirements for a major redrafting of the standard (subsequent editions are updates of this document). For all those years, Mr. Stoddard was the administrator and secretary of the ANSI B77 committee and the risk

management and technical staff person for NSAA. Stoddard continues to be a member and subcommittee chair of the B77 committee, and has been involved in the development of each of the seven revisions of the standard which have been promulgated over the years.

Since leaving the National Ski Areas Association, Chris Stoddard has done business as Mountain Management Services, LLC, and in that position has created and sold ski area staff training materials,

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management systems, other materials and various consulting and management services for the ski industry. He has presented various workshops and coordinated seminars and conferences. Stoddard has conducted over four hundred specialized survey inspections of ski areas throughout the Midwest and all over the United States. Stoddard has been involved in virtually every aspect of ski area risk management and operations through his consulting, inspections, teaching, and expert witness work.