Maximizing Safety Performance Through Effective Scoreboard Metrics

1. Developing a Safety Scoreboard Using the Right Metrics

3. Safety Scoreboard Goals • 1) Stop hoping your safety program will work, start measuring achievement • 2) Convince your CEO he / she is measuring the wrong information • 3) Define a process with clear expectations • 4) Establish a process of accountability

4. Achilles Heel of Safety • Measuring effectiveness is very difficult to quantify • The only indicator of effectiveness is the lack of an unplanned event…(what?) • CEO wants to know- • How many accidents did you prevent? • How much money did you save?

6. Why do we keep score? • Determine if “what we do” is good enough. • Did we get the RESULTS we wanted? • Did we our plan work? • We have all been trained since childhood… • Our youth • Star Charts • Sports • Did we win or lose

7. If we don’t keep score • Can you tell the difference between a game and “play” • Changes the level of commitment • Changes attitude • Changes intensity • People perform with purpose

8. Scientific Context • The Hawthorne Effect • Studies of employee motivation 1927-1932 • Summary: Employee productivity increased because employees were “singled out, involved, and made to feel important.”. • The act of measurement itself impacts the results

9. Hawthorne Studies • Hence – • What receives attention is deemed important • What receives time is deemed important • What is recognized by the organization is deemed important • AND • What is MEASURED---GETS DONE

10. Safety Score? • Measures usually based on accidents, which are unplanned. • Usually include hindsight, reviewing and comparing year long comparisons • Lacks antecedents that lead to changes. What drives results?

11. Risk Management- What do we measure? • Incident rates • Lost days • DART rates • Industry comparisons • Experience Modifier • Cost comparisons

15. Managing Risk • If the goal is to manage risk and ultimately decrease injuries and reduce cost then it must be managed. • You cannot manage what you do not measure. • What you measure must directly influence results.

16. Managing Risk • Safety needs to be intentional • Achievement oriented • Measureable (but what do you measure?) • Identified management accountability • Included on performance reviews • Recognized by management as part of the process

17. The Problem • CEOs expect results • But…results are lag measures. • Safety is in the middle, experimenting. • Training and re-training • Safety committees that are not effective • Feel unable to change the culture • Feel it is “unfair” to judge them on subordinates performance

18. Results vs. Activities Results By: Dan Peterson Activities

19. Lead Indicators • Lead indicators are: • Actionable today—did you do it or not? • Measurable • Observable • Lead indicators INFLUENCE the lag measures. • Leads are a bet that if we do “x” then “y” will improve

20. Progress • W. Edwards Deming: • 96% of our issues are from “How operations are run” • 4% of issues are from people • Operations are often left out of the formula because we focus on people.

21. Quality Production Safety

23. Accountability Items

25. Complaints… • I don’t have time • Too busy • Not important today • If it is deemed important by the CEO it will get done. • This is a change, expect resistance

27. A note about scoreboards • Keep it SIMPLE…did you win or not? • Post it in a noticeable area • Be creative

28. Make it clear…

29. Loss Prevention Risk Alert Actions: Risk Alerts Contacted within 7 days Goal= 100% As of 4/15/09

30. Claims: Yellow Flag Action100% Acted Upon within 14 days As of 5/8/09

32. Incidents AND Observations

33. Safety Observations by Department

35. Scoreboards • Decide the key activities that will influence the lag measures • Measure activities and effectiveness • Tie rewards / recognition to completion of activities • Use scoreboards to improve accountability

36. Thank you!