C i i M A ACrisis Management At An Electric Utility y

Jack StrausmanDeputy General Counsel

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Marcus Evans – March 23, 2013

Crisis?

It’s not if, it’s when

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Crisis Management at the Federal Level

The National Incident Management System (NIMS) ( )

NIMS provides a systematic, proactive approach p y p ppto guide departments and agencies at all levels of government, nongovernmental organizations, and th i t t t k l l tthe private sector to work seamlessly to :

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NIMS• prevent,

protect against• protect against,• respond to,• recover from andrecover from, and • mitigate the effects of incidents, • regardless of cause, size, location, or g

complexity,• in order to reduce the loss of life and

t d h t th i tproperty and harm to the environment.

Homeland Security Presidential Directive 5 - 02-28-03

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NIMS, cont.

• NIMS is not an operational incident management or resource allocation plan.

• NIMS represents a core set of doctrines• NIMS represents a core set of doctrines, concepts, principles, terminology, and organizational processes that enablesorganizational processes that enables effective, efficient, and collaborative incident management.

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NIMS, cont.

Homeland Security Presidential Directive 5 - requires y qall Federal Departments and agencies to:

• adopt NIMS and to use it in their individual incidentadopt NIMS and to use it in their individual incident management programs and activities;

• use NIMS as in support of all actions taken to assist St t t ib l d l l t dState, tribal and local governments; and

• require State, tribal and local organizations to adopt NIMS as a condition of receiving Federal preparedness assistance grants

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NIMS contNIMS, cont.Incidents typically begin and end locally, and are managed best on a daily basis at the lowest possible geographical, organizational, and jurisdictional level However there are instances injurisdictional level. However, there are instances in which successful incident management operations depend on the involvement of multiple jurisdictions,depend on the involvement of multiple jurisdictions, levels of government, functional agencies, and/or emergency responder disciplines. This requires effective and efficient coordination across this broad spectrum of organizations.

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NIMS Framework –Interoperability and Compatibility

The NIMS Framework forms the basis for interoperability and compatibility to enable a diverse set of public and private p y p porganizations to conduct well-integrated and effective emergency management and incident response operations.

How does it do this? Through use of a core set of concepts, principles, procedures, organizational processes, terminology

d t d d i t li bl t b d itand standard requirements applicable to a broad community of NIMS users.

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NIMS Components• Preparedness – assessment, planning, procedures and

protocols; training and exercises; evaluation and revision;protocols; training and exercises; evaluation and revision;• Communications and Information Management – rely on

communications and information systems that provide a common operating picture to all command and coordination sites;operating picture to all command and coordination sites;

• Resource Management – personnel, equipment and supplies needed to support critical incident objectives – flow of resources must be fluid and adaptable; p

• Command and Management – designed to enable effective and efficient management and coordination by providing a flexible standardized incident management structure – (1) Incident Command System, (2) Multiagency Coordination Systems and (3) Public Information Ongoing Management and Maintenance -

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Overview of NIMS

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In sum

• NIMS provides for a measured & expandable responseexpandable response.

• NIMS balances flexibility andNIMS balances flexibility and standardization.

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Where Can I Learn More About NIMS?

http://www.fema.gov/pdf/emergency/nims/NIMS core pdfnims/NIMS_core.pdf

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Incident Management at PHI

• Incident Management Teams (IMT) (handle most incidents) P id i l i id ( h b h– Provides tactical response to an incident (the boots on the ground)

– Manages resources • PHI Incident Support Team (IST)PHI Incident Support Team (IST)

– Provides PHI Wide Support – Coordinates corporate resource coordination to / between IMT’s

• PHI Crisis Management Team (CMT)g ( )– Provides overall strategic decision-making and policy directives

for managing the actual or potential crisis. – Incidents with crisis potential (to brand reputation, stock price,

etc )etc.) • The Crisis Information Center (CIC)

– Coordinates crisis communications support during an incident, emergency or potential crisis.

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g y p

Why Incident Management?y g

• Emergencies are defining moments for utility companies. They are moments of high visibility in which the consequence of every decisionmoments of high visibility in which the consequence of every decision has an immediate and long-lasting effect in shaping customer opinion regarding the competence of the utility.

• Regardless of how well a utility performs day-to-day, how it performs in an emergency crystallizes public opinion about it and its reliability.

• PHI needs to approach restoration of service in a disaster environment using a higher standard for success than meeting generally accepted utility practices. We strongly believe there needs to be a new way of looking at utility performance in preparation for and during a disasterlooking at utility performance in preparation for and during a disaster.

James Lee Witt Associates

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James Lee Witt Associates

PHI Crisis Management Org.

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Crisis Management Team

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Crisis Management Team

• The Crisis Management Team (CMT) is g ( )established under authority delegated by the Chief Executive Officer

• Corporate-level decision-making bodyCorporate-level decision-making body. • CMT is composed of senior executive leaders

with authority to commit and direct major C t t ll d t i ffi i lCorporate assets, as well as determine official emergency policy in responding to any type of major incident or crisis.

• CMT members bring to the decision-making process the highest level of corporate governance

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governance.

Incident Support Team

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PHI Incident Support Team

• IST Leader • Legal• Chief of Staff• IST Support

Pl i & A l i

g• Regulatory• Environ. Health &

Safety• Planning & Analysis• Operations

Coordination

Safety• Finance & Insurance • Human ResourcesCoordination

• Logistics• Gas Delivery

Human Resources• Regional Branding• Communications

• Corp. & Business IT • Customer Care

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IST Responsibilities

• Common strategy for coordination PHI widegy• Ensure the best available Corporate-wide

resources and support (internal and external) for the IMT(s)the IMT(s)

• Provide advice and guidance to the IMT(s)• Identify potential consequences for PHI and its y p q

customers (Incident Assessment).• Act as the central information clearinghouse on

the incident within PHIthe incident within PHI

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IST Responsibilities

• Track identified issues and actions by theTrack identified issues and actions by the affected operating companies and IMT(s)

• Recommend potential consequence p qmanagement strategies to the PHI Crisis Management Team (CMT).

• Implement strategies approved by the PHI CMT.• Receive periodic information from the IMT(s)

and brief the CMT at specified time intervals.• Coordinate post-incident review activities.

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Incident Management Teams

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Incident Management Team

• Incident Management Teams• Incident Management Teams– District / Regional

Th b d b f th IMT ill– The number and members of the IMT will vary• Incident Size

C l it• Complexity • Potential Hazards• Local Operational Needs

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Incident Management Team

• All PHI Incident Management Teams operateAll PHI Incident Management Teams operate according to the PHI Incident Management System – National Incident Management System [NIMS]– PHI Crisis Management Plang– Operating Company Incident Response Plan

• The Incident Management Teams will respond e c de t a age e t ea s espo daccording to established incident response, business continuity or other contingency plans.

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Crisis Information Center

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Crisis Information Center• Manage the communications processes• Implement Communications Strategy approved

by the ISTby the IST• Utilize communication tools and technologies to

flow information end to end from PHI to our t iti t dcustomers, communities, government and

regulators• Set and communicate guidelines pertaining toSet and communicate guidelines pertaining to

the flow of customer related information including the timeliness, frequency, quality and quantity of informationquantity of information

• Serves as the central coordination point for all communications activity and information to ensure validity and consistency of information

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ensure validity and consistency of information

Incident Response Plans

• Crisis Management PlanCrisis Management Plan• Crisis Communication Plan• Incident Response PlansIncident Response Plans

– ACE / DPL / Pepco• IT Disaster Management and Storm Plans• IT Disaster Management and Storm Plans• Customer Service Storm Emergency Response

PlanPlan• Logistics Staging Area Plan

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Second Roles Database

• PHI Second Roles Database combines all PHIPHI Second Roles Database combines all PHI Incident Response Role assignments– ACE / DPL / Pepco IMTsp– CMT / IST– Customer Care and LogisticsCustomer Care and Logistics

• Labor Contingency Roles are Separate• All PHI employees have a second role• All PHI employees have a second role

assignment

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Second Roles Database

• Assignments visible on the PHI IntranetAssignments visible on the PHI Intranet• Activation is not voluntary, but necessary

PHI E P d• PHI Emergency Preparedness – Official clearinghouse for assignments

• Changes to roll assignments?– Require approval of current 2nd roleRequire approval of current 2 role

manager and proposed 2nd role manager

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manager

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Utilities that succeed in emergency management credit the success to theirmanagement credit the success to their ability to prevent emergencies from occurring and to good emergency planning and extensive drilling and training.

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James Lee Witt Associates

Questions

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