forensic audits of your qehs management system. © 2006 abs consulting, inc

Forensic Audits of Your QEHS Management

System

© 2006 ABS Consulting, Inc.

ABS Consulting Services

Design Verification

Loss Modeling

Env., Health & Safety

Inspection/

Certification

Asset Integrity

Extremely Hazardou

s Materials

Risk Planning Operational Support Bundled Services

• Nuclear• Chemical

Weapons• Explosives

• Lower Costs

• Extend Asset Life

• Accredited Certification

• Private Certification

• Monitoring Programs

• Damage Assessment

• 2nd & 3rd Party Audits

• Standards Development

• Training• Procedure

Writing• Verification• Emergency

Planning• Assessment

s

• Mechanical Failure

• Seismic• Flood• Fire• Wind• Financial

Impact• Software

Modeling

• To Standards

• Fitness Assessment

• Owners Rep

• Retrofits

Is your organization realizing the value you expect from your management system?

Management systems are time-consuming & expensive; organizations have a right to expect a return for these expenditures

Organizations should expect to capture tremendous, tangible value from the effective application of management systems

ROI & Management Systems

Do I need a forensic approach?

• QEHS Management System Questions:

– Management system– Internal auditors– Questions– Tools in use

Who are the customers of a QEHS forensic audit?

Is your management system:

In decline – performance-wise?

Stagnating?

Stalled – gone into ‘limbo’ or ‘la-la land’?

Piling up a corrective action list?

Are the internal auditors:

Gravitating to their ‘comfort’ zones?

Penetrating deep enough into issues?

Providing usable & accurate information?

Slid into a ‘routine’

Are the right questions being asked?

Penetrating

May cause controversy

May stimulate emotion

Require ‘absolutes’ in the response

Are the right tools being employed?

Incident Investigation

Root Cause Analysis (RCA)

Meaningful measures, including what is being measured – for informed decision making

Are the tools being used correctly?

If you said “no” to any of the previous questions:

A forensic audit may be needed

A change in audit staff may be needed

An ‘outsider’ may need to be used

A new approach may need to be developed

Areas of weakness in a QEHS MS

• Typical areas prone to dying off is not used or stimulated internally:

– Quality MS– Environmental MS– Health and Safety MS– Integrated MS

Quality Management Principles

1. Customer Focus2. Leadership3. Involvement of People – Resource

Management4. Process Approach – Product Realization5. System Approach – Cause Analysis6. Continual Improvement7. Factual Approach to Decision Making –

Monitor, Measure, Analyze8. Mutually Beneficial Supplier Relationship

EXPECTED SERVICE

by the Customer

PLANNED SERVICE

by the Company

PRODUCED SERVICE

by the Company

PERCEIVEDSERVICE

by the Customer

Monitor & MeasureCompany Performance

Monitor & MeasureCustomer Satisfaction

The Loop

If your customer is: Then your customer:

Dissatisfied Has probably left forever

Marginally satisfied Is casual (any supplier will do)

Basically satisfied Is borderline or uncommitted

Very satisfied Is a return customer i.e. retained

Extremely satisfied Is loyal, appreciates your work, tells others, and tolerates a rare mistake

Customer Retention Levels

EHS ELEMENTS

EHS management system elements:

4.1 General requirements

4.2 EHS policy & commitment

4.3 Planning

4.3.1 Environmental aspects & Hazard ID

4.3.2 Legal and other requirements

4.3.3 Objectives, targets and programs

Hazard Identification

• Use a matrix to record the results

Method

People

Location

Source of Harm?

Who/what Harmed?

How Harm Occurs?

• Any positive answer means a hazard exists

EHS ELEMENTS

4.4 Implementation and operation

4.4.1 Resources, roles, responsibility and authority

4.4.2 Competence, training and awareness

4.4.3 Communication & Consultation

4.4.4 Documentation

4.4.5 Control of documents

4.4.6 Operational control

4.4.7 Emergency preparedness and response

EHS ELEMENTS

4.5 Checking4.5.1 Monitoring and measurement4.5.2 Evaluation of compliance4.5.3 Nonconformity, corrective and preventive

action4.5.4 Control of records4.5.5 Internal audit

4.6 Management review

Integrated Forensic Approach

Risk assessment - equally addresses safety risks, environmental impacts and process failures

Regulations management - have captured regulations for quality, environment, health, safety, security, etc and outlined/mapped their impact on the QEHS MS

The integrated approach makes it easier to compare risks occurring in different parts of the business

Cross-Functional Team Review:

Quality, Design, Facilities, Health, Safety, Environment, Security, Purchasing, Warehouse, Production

• Common MS Elements

• Common Procedures

• Defined by Users

• Owned by Supervisors

• Manage Core Business Processes

Enabling Tool

t

Logistics Concerns

Environmental Concerns

Health Concerns

Safety Concerns

Technical Specifications & References

Process Definitions

• Productivity

• Energy Reduction

• Incident Rates

• Illness Rates

• Customer

Satisfaction

Key Business Questions

Key Processes Drive the

Business Measurement Criteria

Sample Measures

• Risk Mitigation

• QEH&S Improvements

• Efficiency Improvements

• Compliance Burdens

Facility and Equipment Concerns

Environment Health & Safety

Business Needs & Continual Improvement

Quality

Integrated QEH&S

Thanks for your attention

Eliminating/Minimizing Risk; Preserving the Environment; Providing Quality

Products/Services; Having a Safe Work Place; and Protecting Employee’s

Health is Everybody’s Job

Ron Henderson

Manager,EH&S Training and Management

Systems

(281) 673-2816

rhenderson@absconsulting.com