Safety-Critical Protective Systems and Margins of Safety
The design and operation of protective systems is an essential engineering responsibility. Ensuring public safety, while essential, must be accomplished at a feasible cost and within government regulation. Hence, protective system design and operational decisions must be evaluated with respect to benefit (both enterprise profit and social benefit) and cost (both enterprise and social costs). Analytical arguments are made that establish the economic relationship between protective system margins of safety, regulatory authority, and the calculus of negligence. Within this risk-based analytical framework, protection efficacy is explored. In particular, the risk-economics of margins of safety are examined by identifying the reference efficacy with respect to which margins of safety are measured. Engineering design and operations decisions intended to improve protection efficacy can, thus, be gauged as the degree to which they advance a risk-based margin of safety. Finally, our analytical framework is exercised to show how risk-based margins of safety reveal the relationship between uncertain costs and regulatory activity focused on ensuring public welfare that is backstopped by liability in the event of catastrophe. How both prescriptive and performance based regulations influence margins of safety with respect to protective system innovation can be identified here.
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