DOC ID© Chevron 2005
Improving Contractor Safety Performance ---A Formula for Success
[Presentation Excerpts]
Allan Quiat
11th Bi-Annual FABA/OBMNetwork Conference
Sarasota Florida
19 January 2007
2DOC ID© Chevron 2005
A Bit About Chevron Corporation
� The second-largest integrated energy company in the
United States
� Conducts business activities in ~180 countries
� More than 59,000 employees worldwide at year-end
2005
� Capital and exploratory expenditures:
� 2006 --- $14.8 billion
� 2007 --- $19.6 billion
� Business strategies are focused in these areas:
� Global Upstream
� Global Gas
� Global Downstream
� Continue Investment in Renewable Energy Technologies
3DOC ID© Chevron 2005
Purpose of Presentation
� Purpose: To share the “formula for success”
we have developed for implementing change
initiatives
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Formula for Success Ingredient 1:The Right Team
� Assemble an integrated, multi-functional
team of people to work on the project
� Noted as a key project success factor through
industry benchmarking by a third party
� Integrated:
� A team, not a collection of individuals
� Multi-functional:
� Diversity in many dimensions (knowledge,
skills, abilities, experience, etc.)
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Formula for Success Ingredient 2:A Solid Frame
� Define the project frame clearly, to include:
� opportunity or problem statement
� current state
� desired state
� scope
� stakeholders
� business case
� etc.
� Document the frame in a way that will enable
it to be easily presented to stakeholders for
discussion and alignment
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Formula for Success Ingredient 3:Clear Direction
� Clear Direction is about alignment, ensuring
that the project opportunity has been
appropriately framed, with clear objectives
and scope, and ensuring that the business
case is compelling at each level of the
organization impacted by the change
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Formula for Success Ingredient 3:Clear Direction (continued)
� We have already discussed the frame; let’s take a
minute to cover the compelling business case
� A compelling business case answers the question
each stakeholder will or should ask
� “Why should we consume our time and resources to
do this now?”
� “What’s in it for me?” [WIIFM]
� It contains information that encourages key
stakeholders to view the implementation as
important and worthwhile
� It describes the project succinctly, and it paints a
clear vision of success
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Formula for Success Ingredient 4:Sponsorship
� Sponsorship is about how to secure the right
sponsors and what those sponsors must do
throughout the change process to achieve
successful implementation
� Sponsors engage in behaviors to support:
� Creating Alignment
� Communicating
� Gaining Commitment
� Shaping and Reinforcing Behavior
� Arranging Resources
� Building Durability
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Formula for Success Ingredient 5:Engagement
� Engagement consists of two activities:
1. Conducting inquiry with stakeholders during
the early phases of the project to –
� clearly understand the current state and
how things happen today
� get reactions to the proposed changes
� define critical ideas for implementation
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Formula for Success Ingredient 5:Engagement (continued)
� Engagement consists of two activities:
2. Systematically using dialogue as a means to
build ownership for implementation among
the people most directly impacted by the
change during the later phases of the project
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Formula for Success Ingredient 6:Communication
� The way in which information is shared
during an implementation process can serve
as powerful antecedents and/or
consequences to influence behavior
�Make certain that you establish and use an
effective, two-way communication system
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Formula for Success Ingredient 7:Measurement
� Measurement is the process of systematically
identifying and monitoring the most effective
measures for tracking implementation and
progress towards desired business outcomes; four
types of success measures should be considered:
� Results measures
� Process measures
� Behavior measures
� Project tracking measures
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Formula for Success Ingredient 8:Shaping / Reinforcement
� Shaping / Reinforcement is the process of
planning and executing specific actions to move
behavior from the current state to the desired
state
� Shaping Plans are critical to success for change
efforts which require large shifts in behaviors
� They help consequence providers systematically
plan to provide supplemental reinforcement to
people whose behavior needs to change
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Formula for Success Ingredient 8:Shaping / Reinforcement (continued)
� Use ABC Analysis to develop antecedents and
consequences to promote desired behaviors
of key performers
� Identify key consequence providers to each
key performer
� Develop cascaded shaping plans for
consequence providers to set up antecedents
and deliver consequences (focusing on R+
where possible)
� This is a “play within a play”...
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Formula for Success Ingredient 9:Planning
� Plan systematically
�With that said, people can become very
creative during this period; we need to
capitalize on this creativity by allowing for
appropriate plan refinements throughout the
change to incorporate the feedback of those
impacted (while managing project scope
carefully)
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To Conclude...
� Our project achieved excellent results through:
1. Use of an integrated cross-functional team
2. Developing a solid project frame
3. Establishing and aligning on a clear direction
4. Securing and coaching the right sponsors
5. Active engagement of key stakeholders along the way
6. Effective communication to enable behavior change
7. Measurement of the right things to gauge progress
8. Shaping/reinforcing performers’ key behaviors
9. Systematic planning