R M SAFETY MANAGEMENT 1 R M OBJECTIVES To better prepare you for your role in Safety Management as a member of the State government team To familiarize you with techniques used to manage risk To familiarize you with basic terms used in Safety Management To demonstrate the connection between Risk
Management activities and your agency 2 R M 3 R M 4 R M 5 R M
Safety as Insanity Insanity defined is: doing what you have always done and expecting different results This is traditional safety Therefore, are we all nuts? 6 The Risk Management Process R M
Identify loss exposures (hazards) Analyze and measure hazards Examine Risk Management techniques Implement the RM techniques Monitor the results 7 Risk Management Techniques R M Avoidance abandonment Control
Prevention (lower frequency) Reduction ((lower severity) Separation duplication Transfer Non insurance contractual transfer insurance 8 Definitions: Risk Identification R M
Identifying potential causes of loss (hazards) to the people and property under the control of your agency 9 R M Risk Identification Loss exposure: condition or situation presenting the possibility of experiencing a loss 10 R M
Risk Identification Loss: any reduction in value of assets a decrease in the ability to earn money injury to a person 11 Definitions: Risk Assessment R M Analyzing and evaluating the potential for injury to employees, damage to property, loss of business and financial consequences if a loss occurs
Monitoring the financial impact of losses 12 Definitions: Risk Control R M (Loss Prevention/Loss Control) A two part function to reduce the frequency and severity of losses: Loss Prevention/Safety=Managing the work environment to prevent losses from occurring (impacts frequency) Loss Control=Mitigating the cost of losses if they do occur (impacts severity) 13
Definitions: Near-Miss Incident and Accident Investigation R M Process of determining loss causation for the purpose of: Identify information allowing for the development of programs that can prevent future incidents or accidents (frequency) Identify information necessary for managing potential claims (severity) 14 Definitions: Near-Miss Incident, Accident, Claim
R M Near-Miss Incident: an unexpected, unintended, undesirable event that does not result in financial loss or bodily injury Incident/Accident: an unexpected, unintended, undesirable event that does result in financial loss and/or bodily injury Claim: Liability: a formal monetary demand by a third party as a result of bodily injury or property damage Property: damage to State owned property. 15 R M Claims Management State Risk Managements Role
Establish a claim file Assess the claim for damages Review with AG Establish reserves Update reserves if necessary Communicate with all involved parties Manage claim to closure including payment or denial 16 R M
Definitions: Risk Finance The means of addressing potential losses in a cost effective manner to financially stabilize the organization 17 R M Programs State Agencies and Higher Education Property: (Insured/Self-Insured)
Equipment Breakdown Business Interruption GRDA OMPA Fine Arts (Insured) Aviation Hull and Liability (Insured) General Liability (GTCA) (Self-Insured) Business Auto Liability (GTCA) (Self-Insured) Specialty Vehicle Damage (Insured) Out of State Liability (Insured)
Foreign Liability (Insured) Employee Dishonesty (Insured) 18 R M 19 R M 20 Methods of Identifying and Analyzing Loss Exposures Internal
R M Common Sense Review Agency Internal Documents Analysis of losses, incidents and near misses Questionnaires/checklists News Media People 21 Internal Inspections R M
(Formal) Check lists Identify responsible party Managers Supervisors Establish time frame Review Action steps Responsibility Follow-up Consequences 22 R M 23
R M 24 Internal Inspections R M (Informal) Walk through (Be an observer) Listen to others
Meeting agendas Training 25 Methods of Identifying and Analyzing Loss Exposures External R M Experiences of peers, and other outside businesses and industries (Best Practices) Current events, trends, and issues Geographic and regional issues Consultants and other experts Others 26
R M Loss Analysis Every loss causing event has two dimensions: How expensive? (loss severity) How often? (loss frequency) 27 R M Loss Severity How severe have these losses been ? How severe are they likely to be over the next years? 28
R M Loss Frequency How often? Has it occurred in the past? How likely? Will it occur in the future? 29 Safety Is More Than Common Sense R M Knowledge of operational risk, hazards and their
potential severity Understanding how behavior leads to accidents Learning to recognize behavior that results in incidents Incorporating behavioral analysis into incident investigation 30 Safety Program Best Practices R M Raise safety awareness through staff commitment Utilization of outside influences Variety of promotional and incentive techniques to accept safety as a value
Improved safety training Employee involvement 31 Elements of Successful Programs R M Management Commitment Better employee selection Educate employees in their safety role Positive interaction with employees 32
Elements of Successful Programs R M Better housekeeping Use of personal protective equipment Improve work environment Lower turnover and absenteeism 33 R M
Safety Program Obstacles Overload Budget Constraints Risk Perception Consequences Attitudes 34 CONTINUOUS RISK IMPROVEMENT PROCESS
MEASURE RESULTS IDENTIFY OPPORTUNITY Measure & monitor performance, Mutually explore the situation and and continuously improve: form initial hypotheses of problem: Implement performance Identify nature/impact of the measurements opportunity/problem
Track performance Quantify costs/performance impact Evaluate results Discuss improvement expectations and initial performance measures Enhance measures and Obtain expertise, resources, and solution commitment
R M Commitment CRI EXECUTE IMPLEMENT SOLUTION PROCESS Create and manage change: Ensure stakeholder participation Develop action plans
Anticipate and plan for potential problems Implement the change Measurement
DESIGN/ SELECT BEST SOLUTION ANALYZE Search for the problems most likely cause(s), refine and test the hypothesis: Collect quantitative/qualitative data Develop performance measures Interpret data, analyze gap Use analytical tools to determine and verify most likely cause Assess support for solution development
Identify the best solution, the risks involved, and the commitment to change. Refine/integrate measures of success with solution criteria Generate alternative solutions and determine impact on stakeholders Identify risks associated with each solution Determine best solution vs. criteria Assess commitment to solution 35
R M Overcoming the Obstacles Recognize hazards Develop programs to manage hazards Implement programs in a timely and effective manner 36 R M Priority Planning Make a compelling case relative to Risk Consequences or severity Probability
Cost of making change Benefits of making change 37 R M Identifying Actions Data Analysis to measure progress Incident/Accident Reporting and Investigation Inspections, Surveys SRM Claims Reports
Property Inspections Roof Inspections Safety Rules Employee Orientation Identifying Priorities 38 R M Loss Prevention is a reflection of your organizations philosophy towards safety at all levels of management and staff. 39 R M
Workplace Safety Begins at home with you Requires executive management commitment Needs a plan of action Meets specific organizational needs Requires assigned responsibilities Monitor and measure accountability 40 R M Loss prevention and loss control programs will reduce potential liabilities your agency faces if they are tailored to meet your needs properly communicated to all levels of your agency have assignable duties up and down the organizational ladder priority of executive management
FY2006 FY2011 Fiscal Year 42 R M Zero Losses=Ultimate Goal Compliance=First Step Education Engineering Accountability 43 R M
Public Employee Occupational Safety & Health 44 R M Japan Tsunami http://www.bbc.co.uk/go/em/fr/-/news/worl d-asia-pacific-12725646 45 R M We always seem to fall back on what we are comfortable with!
Traditional safety (insanity)! 46 R M Your Safety Leadership RM Director, Manager/Coordinator Safety Committee Leadership (managers, foreman, etc.) ODOL Compsource Oklahoma
Oklahoma Safety Council 47 R M Vehicle Liability 48 R M 49 R M Investigation
Obtain law enforcement report Investigate all aspects of the incident to determine the true cause Communication Report to SRM immediately Assist the employee and others Control Mitigate further loss through policies and procedures Coordination Locally with SRM 50
Campus Security Authority Training. ... This is an act that a reasonable and prudent person would not do, which classifies this crime as negligent manslaughter. The next criminal offense is sexual assault. Sexual Assault includes forcible offenses such as rape...
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