Glossary of Terms

Common terms and abbreviations in the Fracta system

Glossary of Terms

Common terms and abbreviations in the Fracta platformHere is a general list of terms used in the Fracta platform. For further definitions refer to the AWWA asset management glossary guidebook

Likelihood of Failure (LOF)

A measure of the likelihood of an event happening at a point in time, normally expressed as a numeric frequency or as a percentage. At Fracta, the probability can be determined qualitatively or quantitatively from available data, such as Asset age, performance and Condition Assessment results, operation and maintenance history, and the surrounding environment.

Consequence of Failure (COF)

A measure of the direct and/or indirect costs of Asset failure. Costs are also often categorized as "Triple Bottom Line" or TBL which refers to financial, environmental and societal costs. AWWA defines Direct and Indirect costs as the following: Direct costs are out of pocket costs to the Asset owner such as the cost of water loss, repairs, fines, property damage, etc. Indirect costs are typically not paid directly by the Asset owner and may include costs of business or customer interruptions, traffic delays, public perception or reputation, and property costs not paid by the Asset owner, etc.

However at Fracta, we separate Direct costs as the cost for direct repair and replacement and Indirect costs as the ones that are incurred from other factors like water loss to customers, traffic disruption , property damage etc. We assume all these costs to be borne by the utility or some agency of the City government.

Direct Cost

Direct costs are out of pocket costs to the Asset owner such as the cost of water loss, repairs, fines, property damage, etc.

Indirect Cost

Indirect costs are typically not paid directly by the Asset owner and may include costs of business or customer interruptions, traffic delays, public perception or reputation, and property costs not paid by the Asset owner, etc.

Business Risk Exposure (BRE)

A measure of overall Asset Risk and is estimated by considering and combining the Likelihood of Failure (LOF) and the Consequence of Failure (COF) of an Asset.

Risk Assessment

The overall process of risk identification, risk analysis and risk evaluation.

Risk Management

Coordinated activities to manage Risk in the context of organizational objectives and required Levels of Service.

Risk Mitigation

Activities to reduce the level of Risk, and may be specific to reductions in Likelihood of Failure or Consequence of Failure.