This document summarizes research on the safety benefits of third-party contractor management systems. It finds that contractors registered with BROWZ, a third-party management system, significantly outperform national safety averages. BROWZ contractors see greater reductions in total recordable rates, days away rates, and lost work rates the longer they remain registered. The document also outlines best practices in contractor management uncovered by interviews with 14 organizations, including prequalification, pre-job risk assessment, training and monitoring contractors. It concludes by noting common challenges such as lack of oversight of subcontractor safety and recommendations to address them.

1. Making the Case for
Contractor Management
Examining the Safety Benefits of
3rd-Party Management

2. Speakers
Joy Inouye
Research Associate
National Safety Council
Campbell Institute
Pat Cunningham
Director, Safety & Auditing
Services
BROWZ

3. BROWZ delivers assurance that
businesses are working with safe,
qualified, and socially responsible
contractors and suppliers.
Contractor Prequalification & Management

4. IN OUR LIFETIME,
ELIMINATING
PREVENTABLE
DEATHS

7. What are the benefits of a third-party
contractor management system?
Analysis of 17,460 companies.
A subset of the BROWZ database
from 2007-2015.

8. BROWZ suppliers, contractors, and vendors
significantly outperform national safety
averages

9. BROWZ contractors
see greater
improvement in
TRR, DART, and LWR
the longer they
remain registered
with BROWZ
Percent reduction in TRR between
2015 and 2007

10. BROWZ contractors
in any 2-digit industry
code have better
average TRR,
DART, and LWR
than industry as a
whole
BROWZ contractors in
any 2-digit industry
code have a stronger
rate of annual
improvement in TRR,
DART, and LWR as
compared to the BLS

11. BROWZ contractors that outperform
industry still have a better rate of annual
improvement in TRR, DART, and LWR
BROWZ helps contractors continually
improve over time without stagnation

12. Download the full report at:
www.nsc.org/contractormanagement

13. What are the best practices in contractor
management?
Interviews with 14 Campbell Institute
organizations in 2014

14. Research Participants

15. Prequalification
Pre-job task &
risk assessment
Training & orientationMonitoring of job
Post-job evaluation
Contractor Life Cycle

16. Prequalification Best Practices
Analysis of safety statistics
(EMR, TRIR, DART, etc.)
Inclusion of records, logs,
continuous improvement plans

17. Prequalification Best Practices
Use of third-party
verification services
Fill performance gaps, ensure
compliance for specific industries

18. Pre-job Task & Risk Assessment Best Practices
Risk rating of work to be
performed
• Liability categories
• Action levels
Rating based on risk matrix,
additional safety programs
for high risk

19. Risk point values for
severity, frequency,
and probability
Risk assessed in terms
of insurance liability
Higher liability projects
vetted through third
party

20. Pre-job Task & Risk Assessment Best Practices
General contractors
responsible for holding
subcontractors to safety
standards
Subcontractors must meet
same requirements, submit
pre-job hazard analysis

21. Training & Orientation Best Practices
Mandatory safety training
before work begins
Required tests, documented
pre-shift safety meetings

22. Training completed
within one week of
start of work
Safety video and test
directly afterward
30-hour and 10-hour
OSHA courses

23. Training & Orientation Best Practices
Specialized training offered
• Hazard identification
• PPE
• Fall prevention
Annual refresher courses,
badges to indicate
specialized training

24. Specialized area trainings
completed through online
program
Refresher courses held
annually for long-term
contractors

25. Job Monitoring Best Practices
Periodic assessments (e.g. daily,
weekly, monthly, annual)
Compliance with pre-task
safety plans

26. 4. Job Monitoring Best Practices
Safety observations
from contractors
Mobile apps to submit
observations, quota per month

27. Contractors submit minimum of
2 observations per employee
per month
Uses mobile app (Lifeguard®)
to track reports of unsafe
conditions

28. Job Monitoring Best Practices
Maintenance of incident &
near miss report logs
Reports on incidents & corrective
actions to evaluate performance

29. Quarterly reports on lost-time
injuries and dollar losses for
Quality Assurance Plans
Contractors maintain incident
and near-miss report logs

30. Common Challenges
Lack of specific courses of
action for contractor
infractions
Action flow chart, levels of
discipline, strict policy for
serious infractions

31. Consequences outlined for 1st-3rd
infractions; termination of contract on 4th
Flow chart of actions for contractor
infractions ending in dismissal
IDLH infractions are grounds for
immediate termination of contract

32. Common Challenges
No formal post-work
evaluation of contractors
Guidelines for requalification,
evaluate if work was done
safely & well

33. Post-work evaluations considered
when bidding for future jobs
Safety & Operating Inspection
completed for every process change
Periodic performance reviews
capture contractor performance

34. Common Challenges
Lack of direct oversight of
subcontractor safety
Host employer liability gap
with prime contractors
vetting subs

35. Summary of best practices
and common challenges

36. Download best practices paper
www.thecampbellinstitute.org/research
Download the full research report
www.nsc.org/contractormanagement

37. “Campbell Institute” @RWCInstitute BROWZ.com/demo