developing a safety scoreboard using the right metrics
TRANSCRIPT
Developing a Safety Developing a Safety ScoreboardScoreboardUsing the Right MetricsUsing the Right Metrics
Safety Scoreboard Safety Scoreboard GoalsGoals 1) Stop hoping your safety 1) Stop hoping your safety
program will work, start measuring program will work, start measuring achievement achievement
2) Convince your CEO he / she is 2) Convince your CEO he / she is measuring the wrong information measuring the wrong information
3) Define a process with clear 3) Define a process with clear expectations expectations
4) Establish a process of 4) Establish a process of accountabilityaccountability
Achilles Heel of SafetyAchilles Heel of Safety
Measuring effectiveness is very Measuring effectiveness is very difficult to quantifydifficult to quantify– The only indicator of effectiveness is The only indicator of effectiveness is
the lack of an unplanned event…the lack of an unplanned event…(what?)(what?)
CEO wants to know-CEO wants to know-– How many accidents did you prevent?How many accidents did you prevent?– How much money did you save?How much money did you save?
Why do we keep Why do we keep score? score?
Determine if “what we do” is good Determine if “what we do” is good enough.enough.– Did we get the RESULTS we wanted?Did we get the RESULTS we wanted?– Did we our plan work?Did we our plan work?
We have all been trained since We have all been trained since childhood…childhood…– Our youthOur youth
Star Charts Star Charts SportsSports Did we win or loseDid we win or lose
If we don’t keep scoreIf we don’t keep score
Can you tell the difference Can you tell the difference between a game and “play”between a game and “play”
Changes the level of commitmentChanges the level of commitment Changes attitudeChanges attitude Changes intensityChanges intensity People perform with purpose People perform with purpose
Scientific Context Scientific Context
The Hawthorne Effect The Hawthorne Effect – Studies of employee motivation Studies of employee motivation
1927-19321927-1932– Summary: Employee productivity Summary: Employee productivity
increased because employees were increased because employees were “singled out, involved, and made to “singled out, involved, and made to feel important.”. feel important.”.
– The act of measurement itself The act of measurement itself impacts the resultsimpacts the results
Hawthorne StudiesHawthorne Studies
Hence – Hence – – What receives attention is deemed What receives attention is deemed
importantimportant– What receives time is deemed What receives time is deemed
importantimportant– What is recognized by the What is recognized by the
organization is deemed importantorganization is deemed important– ANDAND– What is MEASURED---GETS DONEWhat is MEASURED---GETS DONE
Safety Score?Safety Score?
Measures usually based on Measures usually based on accidents, which are unplanned.accidents, which are unplanned.
Usually include hindsight, Usually include hindsight, reviewing and comparing year reviewing and comparing year long comparisonslong comparisons
Lacks antecedents that lead to Lacks antecedents that lead to changes. What drives results?changes. What drives results?
Risk Management- Risk Management- What do we measure? What do we measure? Incident ratesIncident rates Lost daysLost days DART ratesDART rates Industry comparisonsIndustry comparisons Experience ModifierExperience Modifier Cost comparisonsCost comparisons
Managing RiskManaging Risk
If the goal is to manage risk and If the goal is to manage risk and ultimately decrease injuries and ultimately decrease injuries and reduce cost then it must be reduce cost then it must be managed. managed.
You cannot manage what you do You cannot manage what you do not measure.not measure.
What you measure must directly What you measure must directly influence results. influence results.
Managing RiskManaging Risk
Safety needs to be intentional Safety needs to be intentional Achievement orientedAchievement oriented Measureable (but what do you Measureable (but what do you
measure?)measure?) Identified management Identified management
accountabilityaccountability Included on performance reviewsIncluded on performance reviews Recognized by management as part Recognized by management as part
of the process of the process
The ProblemThe Problem
CEOs expect resultsCEOs expect results But…results are lag measures. But…results are lag measures. Safety is in the middle, Safety is in the middle,
experimenting.experimenting.– Training and re-trainingTraining and re-training– Safety committees that are not effectiveSafety committees that are not effective– Feel unable to change the cultureFeel unable to change the culture– Feel it is “unfair” to judge them on Feel it is “unfair” to judge them on
subordinates performancesubordinates performance
Results vs. ActivitiesResults vs. Activities
0102030405060708090
100
CEO Mangers Employees
ResultsActivities
Results
Activities By: Dan Peterson
Lead IndicatorsLead Indicators
Lead indicators are: Lead indicators are: – Actionable today—did you do it or Actionable today—did you do it or
not?not?– MeasurableMeasurable– ObservableObservable
Lead indicators INFLUENCE the lag Lead indicators INFLUENCE the lag measures.measures.
Leads are a bet that if we do “x” Leads are a bet that if we do “x” then “y” will improvethen “y” will improve
ProgressProgress
W. Edwards Deming: W. Edwards Deming: – 96% of our issues are from “How 96% of our issues are from “How
operations are run”operations are run”– 4% of issues are from people4% of issues are from people
Operations are often left out of Operations are often left out of the formula because we focus on the formula because we focus on people. people.
Accountability ItemsAccountability Items
ItemItem Pt. Pt. ValueValue
MgrMgr. 1. 1
Mgr. Mgr. 22
MgrMgr. 3. 3
Clean 2 times / Clean 2 times / shift shift
1010 55 1010 1010
100% PPE Use100% PPE Use 1010 00 1010 1010
Weekly equip. Weekly equip. insp.insp.
1010 55 1010 1010
5 safety 1 on 1s 5 safety 1 on 1s /wk/wk
1010 55 55 1010
Total Total 4040 1515 3535 4040
Safety Score by Manager
40
15
3540
0
10
20
30
40
50
Goal Mgr 1 Mgr 2 Mgr 2
Manager
Poi
nt V
alue
Series1
Complaints…Complaints…
I don’t have timeI don’t have time Too busyToo busy Not important todayNot important today
If it is deemed important by the If it is deemed important by the CEO it will get done.CEO it will get done.
This is a change, expect resistance This is a change, expect resistance
A note about A note about scoreboardsscoreboards Keep it SIMPLE…did you win or Keep it SIMPLE…did you win or
not?not? Post it in a noticeable areaPost it in a noticeable area Be creativeBe creative
Make it clear…Make it clear…
Loss Prevention Risk Loss Prevention Risk Alert Actions:Alert Actions: Risk Alerts Risk Alerts Contacted within 7 daysContacted within 7 days
Goal= 100%
As of 4/15/09
Risk Alert Completion
11
19
13
17 17 17
10
8
17
12
1415 15
1073%
89% 92%82%
88% 88%
100%
0
2
4
6
8
10
12
14
16
18
20
Oct Nov Dec Jan Feb Mar April
Month
Num
ber
o fA
lert
s
0%
20%
40%
60%
80%
100%
120%
# Risk Alerts # Contacted w/in 7 Days % Contacted w/in 7 Days
Claims: Yellow Flag Claims: Yellow Flag ActionAction 100% Acted Upon 100% Acted Upon within 14 dayswithin 14 days
As of 5/8/09
Yellow Flags
67
2520
51
28 30
41
62
25 26
51
2630
41
93%100%
77%
100%93%
100% 100%
0
10
20
30
40
50
60
70
80
Oct Nov Dec Jan Feb Mar April
Month
Nu
mb
er o
f F
lag
s
0%
20%
40%
60%
80%
100%
120%
# Yellow Flags # w/in 14 Days % Contacted w/in 14 Days
Incidents AND Incidents AND ObservationsObservations
Safety Observations and Incidents
0
1
2
3
4
5
6
7
8
9
10
2008 Ja
n Feb M
arApr
ilM
ayJu
ne July
AugSep
tOct Nov
DecJa
n Feb M
arApr
ilM
ayJu
ne July
AugSep
t
Month
Inci
den
ts
0
10
20
30
40
50
60
70
Ob
serv
atio
ns
# of Incidents Safety Observations
Safety Observations Safety Observations by Departmentby Department
Incidents and Observations by Dept
0
1
2
3
4
5
6
Shipping Receiving Assembly Maintenance Transportation
Department
Incid
en
ts
0
5
10
15
20
25
30
35
40
45
Observations
# of Incidents Observations
ScoreboardsScoreboards
Decide the key activities that will Decide the key activities that will influence the lag measuresinfluence the lag measures
Measure activities and Measure activities and effectivenesseffectiveness
Tie rewards / recognition to Tie rewards / recognition to completion of activitiescompletion of activities
Use scoreboards to improve Use scoreboards to improve accountabilityaccountability
Thank you!Thank you!