Performance Based Safety
- 1. Q5 Systems 2005 Q5 is Registered to ISO 9001:2000 CA-1035439 Performance-Based Safety ™ Practical OH&S Measurement Solutions for the 21 st Century Safety And Health Metrics, including Framework, Tools, Applications, And Opportunities
- 2. Q5 AIMS performance-based safety measurement software is used by industry-leading companies worldwide, such as. . .
- 3. Q5's core business is the development of audit and assessment software (Q5AIMS) for security, health & safety, ergonomics, quality and environmental management. We support our QEH&S software with professional QEH&S management services , training, consulting and management systems services Q5 Systems (Q5) has been developing and marketing software globally since 1999. More than 40 0 clients worldwide Q5 Systems Limited - What we do http://www.q5systems.com
- 4. Measurement rationale of the layman: “ If You Don’t Know Where You Are Going, Chances Are You Will End Up Somewhere Else.” Yogi Berra Source: Stephen A. Newell ORC October 2, 2001
- 5. Criteria for A Balanced Approach “….measures…should consist of a linked series of objectives and metrics that are both consistent and mutually reinforcing.” Robert S. Kaplan and David P. Norton, The Balanced Scorecard Leading Indicators Trailing Indicators Financials Source: Stephen A. Newell ORC October 2, 2001
- 6. Establishing Performance Measures Each organization must create and communicate performance measures that reflect its unique strategy. Dr. Robert S. Kaplin, Harvard Business School There is no one right way to do it. Each organization must determine its own "right way. Dan Petersen:Techniques of Safety Management, 3rd Edition, ASSE,
- 7. Why Measure? Helps define Vision And Mission Statements In Operational Terms Supports Improvement (continuous or otherwise) Helps Demonstrate The Value of EH&S Programs and Services In Business Terms Axiom =“What Gets Measured Gets Done/Managed, What Gets Celebrated Gets Done Well”, etc. Motivates. . . Provide information, people will react to that information. Allows performance to be changed/managed
- 8. Why measure (continued) Accurately measure effectiveness of risk reducing objectives achieved. Used to assist in business planning and performance improvement exercises. Provides opportunity to “re-calibrate” prevention initiatives. Provides opportunity for feedback. Can be pre-emptive or predictive. ACCOUNTABILITY Are you making an impact, and how do you know?
- 9. Pardy & Associates Survey - 1996 “ Rate the Effectiveness of Your Safety System” Safety Audits Behavior-Based Safety Observations Injury Frequency and Severity Rates Accident and Property/Equipment damage costs Perception Surveys Bench Marking with other companies % Safety Goals Achieved (Strategic Planning) Total Workers’ Compensation Costs Inter-Industry/Competitive Industry Rankings Medical Aid or Disabling Injuries The survey found a split between trailing (failure) and leading (performance-based ™ ) indicators. . . But little evidence on “how” this was achieved.
- 10. What do we want to achieve? Assess the current system of workplace measurement Identifying key areas of measurement Measure workplace “perceptions” toward safety Determining the appropriate performance indicators for the safety/risk management system Effectively and efficiently gathering the data needed to drive continuous improvement
- 11. Making The “Business Case” Fear S&H often isn’t a real money maker Companies will shift focus from human life/well being to dollars and cents Reality S&H professionals can still keep companies focused on the high moral ground S&H is a good business investment (if implemented correctly!) Quantifying investment/return (or loss) strengthens the moral case Source: Stephen A. Newell ORC October 2, 2001
- 12. Attitudes (set up conditions, behavior) Leading metrics Trailing metrics - Observations - Feedback loops - Inspections - Audits - Risk assessments - Prevention and control Behavior (action) Physical Conditions Incident, Injury or Near Miss - Perception Surveys Metrics Program Elements - Training - Accountability - Communications - Planning and Evaluation - Rules and Procedures - Incident Investigations Continuous Improvement Source: Stephen A. Newell ORC October 2, 2001
- 13. Positive Performance Indicators for OHS National Occupational Health & Safety Commission Commonwealth of Australia Typical Measures Traditional: Lost time injury, Frequency rate, & % budget to remedy hazard Transitional: Trend analysis and savings achieved through prevention Modern: Performance to standards or benchmarks, positive measures of health and safety (ie: number of audits conducted and scores of audits conducted/positive behavioral observations)
- 14. The Safety Scorecard Using Multiple Measures to Judge Safety System Effectiveness Occupational Hazards - 05/01/2001 1. The effectiveness of safety programs cannot be measured the more traditional factors in successful programs. 2. A better measure of safety program effectiveness is the response from the entire organization to questions about the quality of the management systems , which have an effect on human behavior relating to safety. "I cannot stress enough the importance of having a clearly identified IH&S program against which goals can be established at all levels of the organization and people held accountable for before-the-fact measures of injury and illness prevention.” (Gene Earnest, former safety director for Proctor&Gamble USA)
- 15. Leading Indicators (Upstream) Leading indicators are the performance drivers that communicate how outcome measures are to be achieved. Robert S. Kaplan and David P. Norton, The Balanced Scorecard Source: Stephen A. Newell ORC October 2, 2001
- 16. Examples of Positive Outcomes Improved employee perceptions, morale, etc. Improved productivity Improved product quality Better employee retention, recruiting Improved customer perception/satisfaction
- 17. Trailing/Downstream (failure) Metrics/Indicators Definition: S&H outcomes that result from injury or illness-related events or exposures in the work environment. These outcomes may be positive or negative, depending upon the level of safety and health performance (perception). Trailing measures not only gage performance,but are critical for focusing S&H management system improvement efforts.
- 18. Examples of Negative/Failure Outcomes Fatalities OSHA Injury/Illness Data (freq./severity, etc.) Workers’ Compensation Data Production Downtime Litigation Expenses Labor/staff Replacement Property Loss Fines and Penalties Absenteeism
- 19. Leading and trailing S&H metrics assess functioning of people, programs, and processes Financial metrics answer: What contribution does S&H make to the “bottom line”? What is the financial impact of S&H decisions? Goal of Financial Metrics Source: Stephen A. Newell ORC October 2, 2001
- 20. Consider - BHP Minerals Benchmarking Study- 1995 “Best In Class Characteristics” A strong management commitment, reflected by a clear corporate policy statement, and the application of a consistent safety system. The use of select experts at the managerial level to strategically target safety improvement initiatives A close relationship between staff safety professionals and senior management Requirement of ‘quality’ safety performance as a condition of employment for managers, supervisors and employees Including safety in performance evaluations for managers, supervisors and employees Clearly defining lines of responsibility with respect to safety Establishing safety goals and targets Conducting safety audits
- 21. Consider: Variables that consistently relate to lower injury rates Health & safety training of OH&S Committee members A participatory management style and culture that includes: 1. Empowerment of workers in key decision areas 2. Autonomy and control over work 3. Encouraging the long term commitment of the workforce 4. Good working relationship between management and workers An organizational philosophy on OH&S which includes 1. Delegation of safety activities to workers 2. Active participation of top management 3. Regular safety audits Institute for Work & Health, Toronto
- 22. Monitoring at risk behavior and worker/work practices Having continuous and regular safety training Employee health screening Regular evaluation of occupational hazards Good housekeeping, safety maintenance and controls on machinery Does your safety management system characterize these variables? Better still, how do you measure them? And even better still, if you measure, how do you evaluate their effectiveness?
- 23. What is a Safety Management System? A comprehensive, integrated system for managing safety that sets out: Specific safety/performance objectives. Systems and procedures by which these objectives are to be achieved. Performance standards that are to be met. The means by which adherence to these standards is to be maintained. An assessment of the success of the implementation of your SMS.
- 24. Some structured management systems - examples *ISO 9001 (INT) *ISO14001 (INT) *OHSAS 18001 (INT) *ANSI Z10 (US) *OSHA VPP (US) *CSA Z1000 (CAN) *ILO Guidelines for OH&S management systems (INT) *Safety MAP (AUS) *Home grown/in-house developed SMS
- 25. Typical safety management system approach Program development Auditing Measuring performance Evaluating outcomes Managing based on outcomes
- 26. Typical safety management system requirements Management structure Accountability Data collection and analysis system Follow up
- 27. Benefits Flexible and allows for different management styles Feedback can be swift/immediate Measure presence rather than absence of safety
- 28. Regular monitoring/measurement activities can include Obtaining information on relevant aspects of safety performance to check that objectives and performance criteria are being met Monitoring the use of procedures and checking of safety systems and equipment Identifying non compliance with the requirements of the safety management system, investigating them and taking appropriate corrective action Maintaining a system of records which demonstrates compliance with the safety management system
- 29. How did we get here? Who do we have to convince to get where we want to go? Measurement of the performance of the OH&S management system consequently requires assessment of the process involved in the management system, rather than measurement of outcomes (such as incident and accident rates) “ Management of outcome instead of improvement of the system is destructive and is considered tampering” (Motzko, 1989) Process safety management approaches to OH&S performance measurement rely on continual monitoring of indicators of performance of the relevant processes, and continuous improvements in these processes
- 30. Basic Safety Performance Improvement Steps 1. Undertake a strategic planning session(s) to determine what you want to measure, why, and how that information will be used 2. Structure and develop your performance measurement plan. . . what will you track and how will you track it? 3. Establish measures, targets or other performance benchmarks or standards 4. Measure, evaluate, react, feedback Determine improvements or recognition opportunities
- 31. The Top 8 Challenges of Performance Management/Measurement Linking pay to performance Measuring organizational and employee results Using competencies in a performance management system Performance management tools to improve organizational effectiveness Supporting your culture with performance management Linking reward systems to performance management Developing and implementing a performance management system Aligning people with goals and corporate strategy Survey by Linkage, inc., 1999
- 32. People get paid to accomplish results Measure results, not “activities” (quality) Measurement must be visible (Q5:Liberty example – cleanup of World Trade center) Measurement must be kept current Measurement provides feedback
- 33. How do you measure safety? Don’t just count injuries and illnesses Kyle B. Dotson ISHN 04/30/2001 Focus on the effectiveness of the upstream processes put in place to control risk There’s power in measuring the process rather than just the results (defects, injuries) This means measuring the effectiveness of management systems put in place to identify, assess, control, and continuously improve the risk profile of an organization
- 34. Measuring “Culture” Kyle B. Dotson ISHN 04/30/2001 Use an annual safety climate survey to measure the perceptions of your workforce Measure the number of near-miss, unsafe condition, and unsafe behavior reports completely addressed in a positive manner Measure the quality and quantity aspects of your management system. Percent implementation of a comprehensive safety and health system is an excellent leading indicator. Put safety goals into the executive compensation system for your company. Be sure that safety is a factor in all supervisor performance evaluations. Make sure that injury rates and proactive indicators are included
- 35. Association of American Railroads study Bailey, C., Using Behavioral Techniques to Improve Safety Program Effectiveness, Association of American Railroads, Washington, 1988. The effectiveness of safety efforts cannot be measured by traditional audit criteria. The effectiveness of safety efforts can be measured with surveys of employee (hourly to executive) perceptions. A perception survey can effectively identify strengths and weaknesses of elements of a safety system. A perception survey can effectively identify major discrepancies in perception of program elements between hourly rated employees and level of management. A perception survey can effectively identify improvements in, and deterioration of, safety system elements if administered periodically.
- 36. The Scorecard Approach The trend today is toward multiple measures to assess safety system effectiveness These usually include at least a balance of 4 measures: 1. The accident record 2. The audit 3. Perception survey results 4. Behavioral findings (safe vs unsafe work related behaviors
- 37. Navistar International Corporation http://www.navistar.com incident frequency rate, lost-time case rate disability costs percent improvement in safety performance actual health care costs absenteeism short-term disability long-term disability.
- 38. Kodak http://www.kodak.com Kodak sets goals and measures in seven areas : lost time, plant operations matrix (percent to goal) employee surveys assessment findings integration matrix vendor selection "best in class" (a benchmark metric).
- 39. The National Safety Council http://www.nsc.org suggested "performance indexing," number of team audits process safety observations employee attitude ratings required safety training safe acts index management audits
- 40. Establishing your SPMS Leadership Accountability Collaboration Define Organizational Processes Measurement Resources/Documentation Data Collection
- 41. Management Commitment ISHN – June 2005 # of safety presentations to senior mgmt. % of safety goals/objectives that incorporate safety % of purchasing contracts that include safety stipulations Measurement Alternatives
- 42. Employee Participation # of behavior-based observations # of safety suggestions # of safety committee projects/successes
- 43. Training & Education # of training sessions % of training conducted on time % of employees trained in CPR/First Aid (or whatever topic you desire)
- 44. Compliance Incidence rate # of OSHA citations Audit findings of non-compliance
- 45. Hazard Prevention/Control Incidence rate Workers’ comp claims # of inspections performed
- 46. Culture # of safety suggestions # of safety suggestions implemented Average time to act on safety suggestions # of behavior-based observations # of PPE reminders
- 47. Practical SPM options Reference the following safety performance measurement options for performance measurement opportunities for your performance-based safety initiatives.
- 48. 1. Safety Objective Setting: Safety objectives in place Safety objectives reviewed periodically Safety objectives are being met Safety objectives shared with employees Safety objective are both statistical (target) and performance (activity) based
- 49. Incident Investigation Measures Question. Are incidents being investigated in a timely fashion? Measure : Average time from incident notification to investigation Question. Are the results being acted upon in a timely fashion? Measures : Average time from incident investigation to hazard abatement Completion rate of recommendations Average age of outstanding recommendations
- 50. 2. Accident Investigation: Investigation completed on time Investigation identified the cause(s) of the accident Prevention strategies to prevent recurrence identified Prevention strategies implemented, or in the process of being implemented
- 51. 3. Joint Health and Safety Committees Committee(s) meet as required Minutes are posted in the workplace as required Equal representation of worker and management representatives Follow up arising from the meeting Follow up been completed, or in the process of being completed
- 52. 4. Inspection and Maintenance Inspection/maintenance schedule in place Schedule being followed Inspection/maintenance procedures identify deficiencies or compliance Inspection/maintenance deficiencies being followed up, or compliance recognized Follow up completed, or in the process of being completed
- 53. 5. Safety Meetings The agenda been posted prior to the safety meetings Adequate topics have been prepared/available for the safety meeting Current safety performance been communicated/updated to staff at safety meeting Follow up from the safety meeting has been completed, or in the process of being completed Schedule has been developed for safety meetings
- 54. 6. Safety Meetings The agenda been posted prior to the safety meetings Adequate topics have been prepared/available for the safety meeting Current safety performance been communicated/updated to staff at safety meeting Follow up from the safety meeting has been completed, or in the process of being completed
- 55. 7. Personal Protective Equipment Personal protective equipment needs been identified Appropriate personal protective equipment available for the job task Appropriate personal protective equipment is used as required for the job task Personal protective equipment is maintained appropriately Personal protective equipment is stored properly when not in use
- 56. 8. Hazard & Risk Analysis Jobs are assessed and evaluated for risks and hazards Standards are developed for risk management Risk management is used in job training Risk management is used in job planning Employees assist in the identification of job risks
- 57. 9. Fall Protection Falling risks have been evaluated, using hazard and risk analysis Fall protection standards are in place Fall protection equipment is available Fall protection equipment is being used as required Fall protection equipment is properly stored and maintained
- 58. 10. Performance Standards - Managerial Standards for managerial safety activities have been defined Standards define frequency of safety activities Standards define responsibilities and accountability Standards define how managerial safety performance is to be measured Performance standards are evaluated with each managerial employee
- 59. 11. Emergency Response Emergency response plans in place Emergency response plans address risks identified in hazard & risk analysis First aid and CPR training needs identified First aid and CPR training conducted as required
- 60. 12. Regulatory Compliance System Regular assessment of regulatory compliance is conducted Regulatory compliance issues are discussed at all management meetings Managerial staff get regular updates on regulatory compliance Managerial staff receive instruction on due diligence issues
- 61. 13. Pre-Work Planning (“tool box” talks) Pre-work plans are completed as required Key risk factors are identified and minimized through the pre-work plan Job was completed as per the pre-work plan Pre-work plan was approved by supervisor on-site
- 62. 14. Safe Behavior Observation System Behavior observation conducted as per company standard Employees understand the logic and rationale of the behavior based approach Safe behaviors noted and recognized for positive reinforcement At risk behaviors noted and addressed Behavior based system evaluated for effectiveness on a regular basis
- 63. 11. Emergency Response Emergency response plans in place Emergency response plans address risks identified in hazard & risk analysis First aid and CPR training needs identified First aid and CPR training conducted as required
- 64. 12. Regulatory Compliance System Regular assessment of regulatory compliance is conducted Regulatory compliance issues are discussed at all management meetings Managerial staff get regular updates on regulatory compliance Managerial staff receive instruction on due diligence issues
- 65. 13. Pre-Work Planning (“tool box” talks) Pre-work plans are completed as required Key risk factors are identified and minimized through the pre-work plan Job was completed as per the pre-work plan Pre-work plan was approved by supervisor on-site
- 66. 14. Safe Behavior Observation System Behavioral observation conducted as per company standard Employees understand the logic and rationale of the behavior based approach Safe behaviors noted and recognized for positive reinforcement At risk behaviors noted and addressed Behavior based system evaluated for effectiveness on a regular basis
- 67. 16. Contractor Safety Plan and Compliance Contractor safety plan defined for project Safety expectations of contractors defined and shared with contractor Contractor performing project in compliance with contractor safety plan Good compliance recognized Deviations corrected
- 68. 15. Contractor Safety Plan and Compliance Contractor safety plan defined for project Safety expectations of contractors defined and shared with contractor Contractor performing project in compliance with contractor safety plan
- 69. The Challenge “ If you always do what you’ve always done, you’ll always get what you’ve always got”