Safety Score Card

© LANCO Group, All Rights Reserved

Om Prakash MisraSafety Score Card


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Expected Outcomes– Understand the difference between performance indicators and measures– Understand the difference between process and leading metrics– Look at some industry standards for generating Safety “Process Metrics”– Understand some metrics that can be used for a Safety “Balanced Scorecard”


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Definitions– Data - The numbers themselves– Metrics - the collection of data into a meaningful

boundaries and targets• Leading and Lagging• Activity or Progress• Process vs. Outcome

– Performance Indicators - indirect indicators of a result– Performance Measures - The actual measurement of a

result

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Leading vs. Lagging?

Some of the more typical examples

Leading Lagging

– Event index– Medical

treatment report

– Occupational health inspection findings

– Program implementation

– Training– Behavior

LaggingHazardous materialOverexposureWorkers

compensation loss experience

Illness rate


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Problems With Current Measure(s)• Incidence rates do not drive superior

health and safety performance– Overly inclusive– Not very accurate– The more pressure, the less accurate

they get


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Problems With Current Measure(s)• Incidence rates are an Indicator, NOT a true Measure of program performance

– Retrospective, little predictive value– #’s and reports can be driven underground– Root causes seldom identified– No relationship between program and effect


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Problems With Current Measure(s)• The historical Health & Safety measurement mindset is:

– One of tracking failure – Showing loss avoidance – Not positive contribution to the business


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• Short term results are unsustainable– Law of averages– Hawthorne effect– Delivering to expectations

Goals like “Cut Rates 20%” Don’t Work


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Leading or Lagging

– Exam scores– Training program assessment– # of inspections performed– # of qualified inspectors – % reduction in accidents– # of employee concerns reports– # of safety work orders completed within 7 days– # of equipment installed without proper guards– # of industrial hygiene over-exposures– % of reduction in people exposed to noise– Assessment of the performance appraisal process


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The Committee implemented 10 corrective actions.

Activity(good) “or”

Progress(better)

The Committee held 12 meetings

Do we measure progress or activity?


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Progress or Activity?

Exam scoresTraining program assessment# of inspections performed# of qualified inspectors % reduction in accidents# of employee concerns reports# of safety work orders completed within 7 days# of equipment installed without proper guards# of industrial hygiene over-exposures% of reduction in people exposed to noiseAssessment of the performance appraisal process


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Process and Outcome

Product

Service

Input Output Outcome

Theory

Mission ProgressCommitments MetSafety (IIR)SatisfactionComplianceCitationsWaste

Process

ManpowerDesignProceduresMaterialsTraining

Rework


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Job Hazard Analysis

Perform JSAPerform JSA

Training and Communication

Training and Communication

Program Assessment

Program Assessment

RecordkeepingRecordkeeping

1. Define Steps1. Define Steps

3. Develop and Integrate Safe Working Procedures

3. Develop and Integrate Safe Working Procedures

Follow-Up Follow-Up

2. Identify Hazards2. Identify Hazards

Interview Employee(s)

Interview Employee(s)

Review Job TaskReview Job Task

Injury/Illness History

Injury/Illness History

“High” Hazard Tasks

“High” Hazard Tasks

Identify “Priority” Schedule for JSA

Identify “Priority” Schedule for JSA

Establish JSA TeamEstablish JSA Team

Job Safety Analysis (JSA) Program

Job Safety Analysis (JSA) Program

TrainingTraining


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Manpower = Diversity of teamDesign = BenchmarkProcedures = Field TestedMaterials = ?Training = Quality (student evaluation)

Measuring JHA Success

Input Output OutcomeProcess

Theory


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Assessment Score% Actions Met % Actions Met on time?

Waste = % failed after QC

Rework = % modified after QC



Theory


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Product = # of JSAs Service = # of ChangesTraining AttendanceTraining Retention


Theory


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# of incidents with Hazard Analysis as a Root Cause or Contributing Factor% of behavior observations in Compliance to procedures


Input Output Outcome

Theory

Process


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Input, Process, Output or Outcome?

Exam scoresTraining program assessment# of inspections performed# of qualified inspectors % reduction in accidents# of employee concerns reports# of safety work orders completed within 7 days# of equipment installed without proper guards# of industrial hygiene over-exposures% of reduction in people exposed to noiseAssessment of the performance appraisal process


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Metrics

• “What Gets Measured Gets Done.”

• “What Gets Celebrated Gets Done Well.”


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– Measure Results, not Activities

– Must be Visible– Must be Kept Current– Provides Feedback– Must be Compared to

Something

– Is Shown in Context– Uncluttered– At the Point of Work– Realistic and Attainable Goals– Don’t Change Often– Result in Action Plans

Critical Metric Concepts

Key Principles of Effective Measurement


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Dan Petersen – Safety System Metrics

• Incidence Rates (frequency and severity)

• Management System Assessment Score• Employee Opinion (Perception) Surveys

• Behavior• % to goal on system improvements• WC $$$

Essential

Suggested

Occupational Hazards, 2001


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Balanced Scorecard• The balanced scorecard is an integrated systems to measure performance

Kaplan and Norton

– Financial– Customer– Internal Business Processes and Operations– Organizational and Individual Learning and Growth

Assumes no single measure is adequate for managing


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Balanced Scorecard


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S&H Balanced Scorecard• Customer (employees)

– Worker Perception Surveys– Injury and Illness Rates– IH Overexposures– Employee Involvement

• Learning and Growth– Continuous Improvement (Closure Rates)

• Inspections, investigations, notices, hazard analysis, IH, SWOs, etc.

– Training Retention– Activities

• Training Completed, etc.• Programs performed

– Trend Analysis

H&S equivalent of a Balanced ScorecardTranslates mission and strategy into objectives and

measures


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S&H Balanced Scorecard

• Internal Business Processes– Management Systems Assessment Scores– Process-Specific Implementation

• Action Plans/Objective completion – Risk Reduction

• Increase use of Engineering Controls • Financial

– Workers Compensation– Program Implementation Budget

H&S equivalent of a Balanced ScorecardTranslates mission and strategy into objectives and

measures


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– If you want a Safety Contact process to stimulate new ideas, measure the # of new Ideas, not the # of Safety Contacts.

– If you want employees to retain course materials, measure their retention, not their attendance.

– If you want reduce incidents, measure exposure reduction, both conditions and behaviors, not just incident #’s

– If you want management to use your safety programs, measure how much they use the programs, not the # of people who get hurt.

– If you want safety committees to get involved, measure how often each of them get involved, not how often they meet.

Measure What You Ask For


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Scorecards• Departments

– Tied to performance appraisals– Tied to recognition programsCorporate/Site– Balanced scorecardCulture– Perception surveys


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Expected OutcomesUnderstand the difference between

Performance Indicators and Measures.– Incidence Rates are only indicators, programs

are measures• Understand the difference between

Process and Leading Metrics– Process is defined as input, output and outcome

metrics– Leading can be lagging, depending on your

perspective


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Expected Outcomes• Look at some industry standards for generating Safety “Process Metrics”

– Job Hazard Analysis examples

• Understand some metrics that can be used for a Safety “Balanced Scorecard”– Process, Customer, Learning and Growth, and Financial


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References

– Balanced Scorecard – Kaplan and Norton– Organizational Resource Council www.orc-dc.com– Department of Energy www.eh.doe.gov/EH_Strategic_Plan2003_2006.pdf– “The Safety Scorecard.” Dan Petersen. Occupational Hazard Magazine. May 2004. – “How Do You Measure Safety?” Kyle Dotson. Executive Strategies, Industrial Hygiene, and Safety News. – “Selling Safety to Management Using Metrics.” Paul Esposito. Industrial Hygiene and Safety News. June 2002.

http://www.orc-dc.com/

http://www.eh.doe.gov/EH_Strategic_Plan2003_2006.pdf


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Safety Score Card