Managing Safety at Workplace Training - PowerPoint

							 Leading & Lagging
     Indicators
Keys to Managing your Safety Program

          David Rumsey - CSP, ARM, OHST
       Risk Consultant - RJF Agencies, Inc.
       6000 Nathan Lane North Suite 400
             Minneapolis, MN 55442
               763.746.8284 office
                612.298.2739 cell
   Keys to Managing your Safety Program

                                                      Leading          Lagging
                                                     Indicators       Indicators

     Attitudes
(set up conditions,    Program          Physical         Behavior       Measures
     behavior)         Elements        conditions        (action)        Results



                  - Training
                  - Accountability
                  - Communications   -Inspections
  - Perception    - Planning &       -Audits          -Observations   - OSHA
    surveys         Evaluation       -Risk            -Feedback         Recordables
                  - Roles &           assessments      loops          - Lost
                    Procedures       -Prevention &                      Workdays
                  - Accident          control                         - Restricted
                    Investigations                                      Workdays
  Leading Indicators
Keys to Managing your Safety Program
MANAGEMENT COMMITMENT MEANS…
  –
  –
  –

  –
  –
      –
  –
  –
Funding for Safety – Innovation,
Engineering, Administration, PPE
Effective
Communication
Hiring & Employee Training
•Interviewing & Selection
•Pre-Employment Screening
•New Employee Orientation
•Education & Training
•Performance Reviews
•   Reduced absenteeism
•   Reduced shrinkage
•   Improved productivity
•   Reduced turnover
•   Reduced liability
•   Better morale
•   Increased profit
•   Cost effectiveness
•   Reduced Workers Comp
    Claims
 What
               ™
 SOSII
Measures

•   Personal Integrity
•   Substance Abuse
•   Reliability
•   Work Ethic
   SOSII          ™




Provides a structured
interview process that
will reduce:

• Theft

• Employee Fraud

• Drug Testing Cost

• Absenteeism
          Pre-Employment Screening




   70% of current drug users are employed.
   1/3 of employers know of the illegal sale of drugs in their workplace
   90% of large businesses have initiated drug free workplace programs
   35-80% of W.C. claims are related to substance abuse in the workplace
    Substance abusers are 2.5 times more likely to be absent 8 or more days per year
Pre-Employment Screening
Safety Training
Education & Training
Performance Evaluations
Start with one small step at a time…
 When it comes to construction safety, there is
  "Pre-job planning at all levels,
 good reason to listen to Matt Frandsen.
  planning early, plus holding
 Matt is the Corporate Safety Director of Weitz Construction Co.
  people accountable is at the
 -Des Moines, Iowa – General Contractor–
 Winner of: “2005 Construction Safety Excellence Grand Award”
  center of how we approach
 Associated General Contractors of America (AGC) -
  our work."

“Planning and
accountability lead to
execution," is how he
sums up the company's
philosophy.
Full Time Safety Director
J
H
A
J
H
A
Safety Committees:
•Help to ensure a safe work environment.
•Safety program audit.
•Help set the standards of acceptable and unacceptable
behavior, policies, and procedures
•Educate fellow employees on safety behavior.
•Submit recommendations to management.
•Accident Investigation
•Hazard Identification
•Setting of goals & objectives
  Lagging Indicators
Keys to Managing your Safety Program
LAGGING INDICATORS

                                   OSHA Total
                           Recordable Case Incident Rate
                             2003 Peer Company Data
       3.50




                                                                                                         2.8
                                                                                                   2.7
       3.00




                                                                                             2.5
                                                                                       2.4
       2.50




                                                                                 1.9
                                                               1.8
                                                                     1.8
                                                                           1.8
                                                         1.7
       2.00




                                       1.4
                                             1.4
                                                   1.4
                                 1.2
       1.50



                           1.1
                    0.95
       1.00   0.9

       0.50
       0.00
              B C          D     E      F    A G H             I     J     K     L     M N         O P


                                       Company A = 2003 Performance
Start with one small step at a time…
Start with one small step at a time…
Start with one small step at a time…
Start with one small step at a time…
Accident Investigation
Accountability-Enforcement-Authority
Loss History
ABC Company Losses
ABC Company Losses
Loss Reduction
      Schedule Credit/Debit
A factor determined by the underwriter
that has a direct effect on your insurance
premium.
      • Does Not Apply in Wisconsin
      • Minnesota State Max
         – +/- 40%
         – Can go higher if the insurer files actuarial data
           supporting the credit/debit
The Experience Modifier
Identify Cost Saving Factors
Loss Ratios
Hidden Costs Include:
•Time lost from work by injured
 workers
•Lost time by fellow employees
•Lost time by supervision
•Damage to tools and equipment
•Spoiled work
•Failure to Fill Orders
•Loss of efficiency
•Overtime
Hidden Costs Include:
•Deductible amounts
•Hiring/training replacement workers
•Loss of morale
•Legal issues
•Reduced output of replacement workers
•First aid costs
    SALES TO COVER COSTS*

Accident
Costs       1% Profit     2% Profit    3% Profit
$ 1,000     $ 100,000     $ 50,000     $ 33,000
$ 5,000       500,000      250,000      167,000
$ 10,000     1,000,000     500,000      333,000
$ 25,000     2,500,000    1,250,000     833,000
$100,000      is necessary 5,000,000 additional
           It 10,000,000   to sell an  3,333,000
           $250,000 in products or services to
           pay the cost of $5,000 annual losses
Post-Injury Case Management
  •Report Within 24 Hours
  •Medical vs. First Aid (Carrier Specific)
  •Identify potential large claims
  •Supervisor Report of Injury-Accident Report
  •Clinic vs. Emergency Room
  •Accident Investigation
  •Fraud Prevention
  •Light Duty (3 day goal)
Working safely may get old, but so do those who practice it.
        Better a thousand times careful than once dead.
        Safety doesn't happen by accident.
                  Better dead sure than sure dead.
                       Chance takers are accident makers.
     Safety means first aid to the uninjured.
         When you gamble with safety, you bet your life.
           "Safety First" is "Safety Always."

           Working without safety is a dead-end job.
     Safety is a cheap and effective insurance policy.
          Prepare and prevent, don't repair and repent.