Om Prakash Misra                                     Safety Score Card© LANCO Group, All Rights Reserved
Expected Outcomes                – Understand the difference between performance                  indicators and measures ...
Definitions                                     – Data - The numbers themselves                                     – Metr...
Leading vs. Lagging?                                         Leading                   Lagging                            ...
Problems With Current Measure(s)                                 • Incidence rates do not drive superior                  ...
Problems With Current Measure(s)        • Incidence rates are an Indicator, NOT a true          Measure of program perform...
Problems With Current Measure(s)        • The historical Health & Safety measurement          mindset is:                –...
Goals like “Cut Rates 20%” Don’t Work        • Short term results are unsustainable                – Law of averages      ...
Leading or Lagging                –    Exam scores                –    Training program assessment                –    # o...
Do we measure progress or activity?                                     Activity                   Progress               ...
Progress or Activity?                                Exam scores                                Training program assessm...
Process and Outcome                                                              Theory                 Input             ...
Job Hazard Analysis                                                       Job Safety Analysis                             ...
Measuring JHA Success                                                           Theory                 Input              ...
Measuring JHA Success                                                                  Theory                 Input       ...
Measuring JHA Success                                                            Theory                 Input             ...
Measuring JHA Success                                                            Theory                 Input             ...
Input, Process, Output or Outcome?                                Exam scores                                Training pr...
Metrics                               •     “What Gets Measured Gets                                     Done.”           ...
Key Principles of Effective Measurement                                       – Measure Results, not   –   Is Shown in Con...
Dan Petersen – Safety System                              Metrics                               • Incidence Rates (frequen...
Balanced Scorecard        • The balanced scorecard is an integrated          systems to measure performance               ...
Balanced Scorecard        23© LANCO Group, All Rights Reserved
S&H Balanced Scorecard                                 •   Customer (employees)                                      – Wor...
S&H Balanced Scorecard        • Internal Business Processes                – Management Systems Assessment Scores         ...
Measure What You Ask For                                     – If you want a Safety Contact process to stimulate new      ...
Scorecards        • Departments                – Tied to performance appraisals                – Tied to recognition progr...
Expected Outcomes                                Understand the difference between                                 Perform...
Expected Outcomes        • Look at some industry standards for          generating Safety “Process Metrics”               ...
References                – Balanced Scorecard – Kaplan and Norton                – Organizational Resource Council www.or...
© LANCO Group, All Rights Reserved
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Safety Score Card

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Safety Score Card

  1. 1. Om Prakash Misra Safety Score Card© LANCO Group, All Rights Reserved
  2. 2. 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” 2© LANCO Group, All Rights Reserved
  3. 3. 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 3© LANCO Group, All Rights Reserved
  4. 4. Leading vs. Lagging? Leading Lagging – Event index  Lagging – Medical  Hazardous material treatment  Overexposure report – Occupational  Workers health compensation loss inspection experience findings  Illness rate – Program implementatio n – Training Some of the more typical examples – Behavior 4© LANCO Group, All Rights Reserved
  5. 5. 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 5© LANCO Group, All Rights Reserved
  6. 6. 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 6© LANCO Group, All Rights Reserved
  7. 7. 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 7© LANCO Group, All Rights Reserved
  8. 8. Goals like “Cut Rates 20%” Don’t Work • Short term results are unsustainable – Law of averages – Hawthorne effect – Delivering to expectations 8© LANCO Group, All Rights Reserved
  9. 9. 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 9© LANCO Group, All Rights Reserved
  10. 10. Do we measure progress or activity? Activity Progress (good) “or” (better) The Committee held 12 The Committee implemented 10 meetings corrective actions. 10© LANCO Group, All Rights Reserved
  11. 11. Progress or Activity?  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 11© LANCO Group, All Rights Reserved
  12. 12. Process and Outcome Theory Input Process Output Outcome Manpower Product Service Mission Progress Design Commitments Met Procedures Safety (IIR) Materials Satisfaction Training Compliance Waste Citations Rework 12© LANCO Group, All Rights Reserved
  13. 13. Job Hazard Analysis Job Safety Analysis (JSA) Program Establish JSA Team Injury/Illness Training History Identify “Priority” Schedule for JSA “High” Hazard Tasks Interview Employee(s) Perform JSA 1. Define Steps Review Job Task 2. Identify Hazards Training and Communication 3. Develop and Follow-Up Integrate Safe Working Procedures Program Assessment Recordkeeping 13© LANCO Group, All Rights Reserved
  14. 14. Measuring JHA Success Theory Input Process Output Outcome Manpower = Diversity of team Design = Benchmark Procedures = Field Tested Materials = ? Training = Quality (student evaluation) 14© LANCO Group, All Rights Reserved
  15. 15. Measuring JHA Success Theory Input Process Output Outcome Assessment Score % Actions Met % Actions Met on time? Waste = % failed after QC Rework = % modified after QC 15© LANCO Group, All Rights Reserved
  16. 16. Measuring JHA Success Theory Input Process Output Outcome Product = # of JSAs Service = # of Changes Training Attendance Training Retention 16© LANCO Group, All Rights Reserved
  17. 17. Measuring JHA Success Theory Input Process Output Outcome # of incidents with Hazard Analysis as a Root Cause or Contributing Factor % of behavior observations in Compliance to procedures 17© LANCO Group, All Rights Reserved
  18. 18. Input, Process, Output or Outcome?  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 18© LANCO Group, All Rights Reserved
  19. 19. Metrics • “What Gets Measured Gets Done.” • “What Gets Celebrated Gets Done Well.” 19© LANCO Group, All Rights Reserved
  20. 20. Key Principles of Effective Measurement – Measure Results, not – Is Shown in Context Activities – Uncluttered – Must be Visible – At the Point of Work – Must be Kept Current – Realistic and Attainable Goals – Provides Feedback – Don’t Change Often – Must be Compared to – Result in Action Plans Something Critical Metric Concepts 20© LANCO Group, All Rights Reserved
  21. 21. Dan Petersen – Safety System Metrics • Incidence Rates (frequency and severity) • Management System Assessment Score Essential • Employee Opinion (Perception) Surveys • Behavior • % to goal on system improvements • WC $$$ Suggested 21 Occupational Hazards, 2001© LANCO Group, All Rights Reserved
  22. 22. 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 22© LANCO Group, All Rights Reserved
  23. 23. Balanced Scorecard 23© LANCO Group, All Rights Reserved
  24. 24. 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 Scorecard Translates mission and strategy into objectives and 24 measures© LANCO Group, All Rights Reserved
  25. 25. 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 Scorecard Translates mission and strategy into objectives and 25 measures© LANCO Group, All Rights Reserved
  26. 26. Measure What You Ask For – 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. 26© LANCO Group, All Rights Reserved
  27. 27. Scorecards • Departments – Tied to performance appraisals – Tied to recognition programs Corporate/Site – Balanced scorecard Culture – Perception surveys 27© LANCO Group, All Rights Reserved
  28. 28. Expected Outcomes Understand 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 28© LANCO Group, All Rights Reserved
  29. 29. 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 29© LANCO Group, All Rights Reserved
  30. 30. 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. 30© LANCO Group, All Rights Reserved
  31. 31. © LANCO Group, All Rights Reserved
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