The Build vs Buy

DebateBest Practices for EHS and Quality management

Agenda

• Why Software at All?

• Home Grown vs

Commercial

• What are the “Table

Stakes”

• Going Beyond Simple

Workflows

First the Buzzwords

What This Really Means

“It's about getting things down

to one number. Using the stats

the way we read them, we'll find

value in players that no one else

can see.”

Your Challenge (Mine Too)

1. Paper, paper, paper

2. Excel based analysis

3. Manual tracking

Value of data is hidden

Uncover Data to Drive Decisions

Chaotic

•No Standards

•No master data plan

•No strategy

Reactive

•Standards established

•Master data plan identified

•Easing of communication

Defined

•Master data plan executed

•Root cause for issues can be tracked and measured

Proactive

•Continuous feedback loops

•Root cause analysis feeding into feedback process

•Information silos removed

Predictive

•People, process and technology working together

… and be like Brad Pitt

You’ve Pretty Much Got 2 Options

Option #1

Home

Grown Apps

• Build From Scratch

• Internal Dev Resources

• Existing Tools (CMS, Database, ERP etc…)

The possibility of “Perfect Fit.” Custom software tailored to the organization

Potentially lower initial cost (reuse existing tools)

Pride of Ownership – potential for internal knowledge asset

Pros of Building Your Own

9

• Shortage of EHS and Quality experience

• Learning curve (User experience not a priority)

• Cost of ongoing innovation

• Cost of ongoing support

• Staffing to meet project scope

Cons of Building Your Own

10

In Fact

U.S. businesses spend over $300 billion annually

trying to develop in-house solutions.

Only 29% of projects succeed, while nearly 52% are

highly challenged and 19% fail outright.

* The Standish Group International

More Importantly

Only addressing the “Table

Stakes” of data management

… NOT like Brad Pitt

Option #2

EHS and

Quality

Platforms

• Purpose built platforms to manage EHS and Quality data

• Build in subject matter expertise

• Value added capabilities

• Perceived loss of control

• Tradeoffs between the perfect solution and the vendor offering

• Failure to engage in-house IT resources

• Knowing what questions to ask new vendor to minimize risk

Cons of Buying

14

Experienced EHS and Quality vendor can deliver quickly

Top vendors bring real-world experience (this is what others like you have done)

Validated industry successes

Lower total cost of ownership

Pros of Buying

15

Go Beyond The “Table Stakes”

Chaotic

•No Standards

•No master data plan

•No strategy

Reactive

•Standards established

•Master data plan identified

•Easing of communication

Defined

•Master data plan executed

•Root cause for issues can be tracked and measured

Proactive

•Continuous feedback loops

•Root cause analysis feeding into feedback process

•Information silos removed

Predictive

•People, process and technology working together

Home Grown Apps Commercial Platforms

• BA Blacktop’s incident rates

dropped from 7.18 to 1.38

per year & spills reduced

58%

• Agnico Eagle’s accident

frequency rate dropped 50%

• Smurfit Kappa saw a 58%

reduction in lost time

accidents

• Boral Bricks experienced

63% reduction in recordable

incidents

Client Success - EHS

• Versabar saw a decrease of

39% in their cost of quality

• Rapid-Span estimated an 80%

reduction in time to compile

nonconformance summary

reports

• Nexteer streamlined the

management of 1,400 suppliers

worldwide

• Town of Ajax was the first

municipality in North America to

achieve ISO 9001 certification,

managing more than 10,000

documents

Client Success - Quality

Thank You!Jason Dea

Jason.dea@Intelex.com

Any Questions?Because that was a lot of information.