Effective work related road risk management

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Presentación para el I Agora de Seguridad Vial celebrado en Valencia

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Effective work related road risk management

  1. 1. Effective work-related road risk management I ÁGORA INTERNACIONAL DE SEGURIDAD VIAL 4 th May 2011 rechter Rand right margin marge droite margine destra
  2. 2. Agenda <ul><li>What are the risks? </li></ul><ul><li>The risk management process </li></ul><ul><li>Effective intervention strategies </li></ul><ul><li>Case studies </li></ul><ul><li>Summary </li></ul>
  3. 3. What are the risks? <ul><li>Why should any business care about work-related road safety? </li></ul><ul><li>Minimising the risk of harm </li></ul><ul><li>Compliance with legislation </li></ul><ul><li>Meeting their Corporate Social Responsibility </li></ul><ul><li>Minimising financial loss </li></ul>
  4. 4. What are the risks? The risk of harm
  5. 5. What are the risks? The risk of harm
  6. 6. What are the risks? The risk of harm
  7. 7. What are the risks? The risk of harm 47
  8. 8. What are the risks? The risk of harm UK annual average probability of occupational fatality: 1 in 150.000 Service industries 1 in 13.500 Agriculture 1 in 10.000 Construction 1 in 8.000 Car driving (40k km / year) 1 in 7.500 Coal mining 1 in 750 Deep sea fishing
  9. 9. What are the risks? Legislation
  10. 10. What are the risks? Corporate Social Responsibility <ul><li>An organisation’s moral obligations not to harm: </li></ul><ul><ul><li>its employees </li></ul></ul><ul><ul><li>members of the public </li></ul></ul><ul><ul><ul><li>its customers? </li></ul></ul></ul><ul><li>Environmental impact </li></ul><ul><ul><li>safety - environmental synergies </li></ul></ul><ul><ul><li>managing their carbon footprint </li></ul></ul><ul><ul><li>fuel saving implications </li></ul></ul>
  11. 11. What are the risks? Financial risks <ul><li>For every €1 recovered through insurance, there are €8-53 in uninsured losses </li></ul><ul><li>What are the hidden costs? </li></ul><ul><ul><li>absenteeism </li></ul></ul><ul><ul><li>lost productivity, late deliveries, brand damage, high staff turnover, etc. </li></ul></ul><ul><li>We use a conservative 2x multiplier </li></ul>
  12. 12. What are the risks? Financial risks <ul><li>Typical collision & customer data: </li></ul><ul><ul><li>direct costs ~ €1,000 </li></ul></ul><ul><ul><li>indirect costs ~ €2,000 minimum </li></ul></ul><ul><ul><li>average fleet collision rate ~ 25% </li></ul></ul><ul><ul><li>profitability (Return on Sales) of 10% </li></ul></ul><ul><ul><ul><li>a minimum €5.000 of revenue per vehicle to fund uninsured losses </li></ul></ul></ul><ul><ul><ul><ul><li>many fleets have higher collision rates </li></ul></ul></ul></ul><ul><ul><ul><ul><li>many businesses have lower profitability… </li></ul></ul></ul></ul>
  13. 13. 235.000.000
  14. 14. The risk management process
  15. 18. Effective intervention strategies Eliminate Substitute Reduce
  16. 19. Case studies
  17. 20. Case study Iron Mountain
  18. 21. Case study Iron Mountain
  19. 22. Case study Iron Mountain
  20. 23. Case study Vauxhall UK
  21. 24. Case study Vauxhall UK
  22. 25. Summary

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