Scalable injury prevention: safety assurance is a key
business advantage.
by Gonser, Bill^Weiss, Brett
PREVENTING ON-THE-JOB ILLNESSES AND INJURIES HAS always been an
important goal for companies, but recent trends suggest that it is about
to become an even higher business priority.
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Global competition is fierce and companies are seeking every
possible source of competitive advantage. Companies now consider human
capital as a key business advantage. They are doing everything possible
to keep their employees healthy, productive, and on the job. This means
they are no longer willing to accept preventable work-related injuries
and the associated lost time as just the cost of doing business. It is
easy to see why. The direct cost of on-the-job in juries is estimated to
be 14 percent to 16 percent of payroll. Indirect costs, including lost
productivity, employee replacement costs, poor morale, record-keeping,
and other administration costs, conservatively can add up to three times
that much. Add in the cost of workers on the job who are not fully
functioning because of illness or injury--so-called presenteeism--and
the cost of these incidents is even greater.
Injury prevention can also be viewed in terms of shareholder value
creation. In addition to the short-term benefits in the form of improved
margins, fewer business interruptions, and better customer service,
injury prevention can also create long-term benefits by improving the
value of human capital through higher retention and productivity.
Internal changes in many organizations are also making the time
ripe for focusing on injury prevention. The combination of more robust
technology and improved business process management (BPM) has created
fertile ground for injury prevention programs. Indeed, the intersection
of technology and BPM is critical to managing the data required to focus
injury prevention efforts effectively because these systems allow the
organization to learn by capturing a baseline of performance and
measuring subsequent improvements.
Many companies have also begun to explore using enterprise risk
management solutions that allow them to view, manage, and mitigate
business risks on a holistic rather than piecemeal basis. Executives
throughout these companies are becoming more deeply involved in risk
management and are assuming more responsibility and have more
accountability for managing risks effectively than ever before. As a
result, they are looking at risk across the organization and seeking
ways to be more aggressive in controlling those risks and their related
costs.
Across the enterprise
With hundreds or thousands of employees, jobs, processes, and
procedures and tens of thousands of factors contributing to workplace
injuries, creating a comprehensive injury prevention program that can
manage all this can be a daunting prospect. This is particularly true
for companies that are still using paper- or spreadsheet-based systems
to manage their health and safety activities.
However, companies can manage that complexity by implementing a
scalable injury prevention program. In order for an injury prevention
program to be scalable, it must set priorities based on which efforts
will yield the greatest benefits. Steps include gathering, analyzing,
acting on, and measuring a continuous flow of data from across the
organization. When this process is in place, risk can be compared across
the organization, the highest risks can be prioritized, and resources
can be allocated based on these new priorities for risk reduction.
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Technology enables scalability. The most successful
technology-based injury prevention programs are customized to the
specific organization according to a host of factors, including its
size, goals, culture, and geography. That means that the program, its
data collection, and its supporting technology should be flexible enough
to accommodate the variability of internal processes, the
organization's unique attributes, and its general ways of doing
business. The more data the program can collect that reflects the
company's real needs and circumstances, the more effective the
injury prevention effort will be.
When this data collection occurs, the system becomes populated with
the many types of risk that occur in the modern workplace, including
repetitive body motion, working at heights, chemical/environmental
risks, stored energy, and electrical risks. Without a system that brings
all these risks together in one place, an organization is likely to rely
on multiple experts who focus on tasks that have a high probability of
severe injury but a relatively low probability of occurring, instead of
tasks that have a moderate probability of injury and a higher
probability of occurring. For example, by redesigning or eliminating the
task that requires a worker to lift a 20-pound replacement part 20 times
while standing on a six-foot ladder for two hours in a room with 103
decibels of noise, an electrical disconnect, and lock-out block-out 50
yards away, the organization can eliminate a huge amount of risk that
might have otherwise not been dealt with.
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The power of a scalable injury prevention program also lies in its
ability to leverage what has already been discovered and learned about
injury prevention in every part of the organization. By using a
technology-based approach, an organization learns by formally
establishing a baseline of performance against which to measure
enhancements. This makes it possible to compare risks from one area or
job to another and to see what steps have been taken to address those
risks. This way, if one area of the company has successfully taken steps
to reduce injuries, other areas may be able to emulate or adapt that
approach to fit a different situation. This type of internal
benchmarking and best practice sharing can help any injury prevention
program gain important momentum.
With a proactive focus, a scalable injury prevention program can
also provide employees with personalized communication and information
about risk avoidance and mitigation based on each employee's level
and type of risk. This way, employees have the information and insights
they need to make changes in their work approach themselves without any
expert intervention. For example, when a company sets up
storerooms/stockrooms, the best practice for reducing body motion
injuries is to create a storage plan based on the weight and frequency
items retrieved. This involves labeling the shelves and making sure that
they are used and maintained in accordance with the standard. Employers
may conduct in-person training or communicate via email to ensure that
employees comply with best practices.
In addition, managers and supervisors can receive information about
potential opportunities to mitigate risk among their employees, and
receive reports on the effectiveness of current risk-mitigation
activities. If the data reveals that certain jobs or processes are
driving losses from injury, this information can be funneled to the
right people so they can make changes and modifications to prevent
future injuries.
By identifying and strengthening a company's existing business
processes and leveraging emerging technology, companies can create
scalable programs that enhance injury prevention efforts. However, the
technology is only as good as its ability to meet the changing needs of
a specific organization. Without that capability, there is little point
in using technology to support an injury prevention program. Companies
are best served when they evaluate technology for managing injury
prevention programs based on whether it focuses on BPM.
Business process management
Since a scalable injury prevention program represents a new way of
identifying and managing job-related risks, it needs to be supported
with stronger business processes. Focusing on BPM is important for
making injury prevention management more efficient across multiple
people, jobs, and geographies.
Using BPM, companies can systematically integrate a set of
activities to optimize business processes or adapt them to new
organizational needs. Because employees' work habits change
significantly every six months or so, the fifth largest global energy
company regularly gathers new information about those work habits using
its BPM software. The company then uses that information to update risk
calculations and to ensure that it is focusing injury prevention efforts
on high-risk employees.
In another situation, a company can use new or enhanced business
processes to improve the method and speed with which it identifies
at-risk individuals for on-the-job injury or illness. In this case, a
company can use BPM to manage activities related to the identification
of risk-for-injury factors and the distribution of solutions to
supervisors and health and safety staff to help employees avoid those
injuries.
This BPM-supported approach often requires some level of process
improvement. To achieve that improvement, a company should begin by
deciding what metrics are necessary to determine the injury prevention
program's success, then identify the processes most critical to
achieving success and highlight any opportunities for improving those
processes.
COPYRIGHT 2008 Institute of Industrial Engineers,
Inc. (IIE) Reproduced with permission of the copyright holder. Further reproduction or distribution is prohibited without permission.
Copyright 2008 Gale, Cengage Learning. All rights
reserved. Gale Group is a Thomson Corporation Company.
NOTE: All illustrations and photos have been removed from this article.