JBT CONSULT
Transformational Safety - Learning Across Industries Jakob Bo Thomasen
ICTC 2019, Session 2, Zeroing on death in Construction
March 18, 2019
JBT CONSULT
LEADING SAFETYMarch 18, 2019
JBT CONSULT
My hands-on experience with safety leadership
March 18, 2019
Jakob Thomasen President and Founder
[email protected] +45 30 53 53 24
Copenhagen, Denmark JBT C
ON
SU
LT
T
2
NOW
• 5 chairmanships plus two board roles – mainly projects and safety
• Safety coach for executives
THEN
• 32 years in the upstream oil & gas industry
• 7 years as CEO of a global top 30 upstream company (Maersk Oil)
JBT CONSULT March 18, 2019 3
JBT CONSULT
The Danish construction industry had 40 times higher accident frequency than Maersk Oil in 2016
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Danish Construction Industry Maersk Oil
Lost time accident frequency (2016) Sources: www.da.dk og www.maersk.com
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0
0,5
1
1,5
2
2,5
2009 2010 2011 2012 2013 2014 2015 2016
Maersk OilLost Time Accident Frequency (Accidents per million manhours)
80% reduced accident frequency
Maersk Oil has successfully implemented a radical improvement of safety standard
Source: www.maersk.com
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• Zero fatalities • Safety engagement score improved from <60%
to 98% positive • Improved Health and Work Environment • Improved productivity
JBT CONSULT
Safety and productivity are linked
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2013 2014 2015 2016
Maersk Oil data 2013 - 2016 from www.maersk.com
Accident frequency (-52%)Operating costs (-27%)
Productivity (+13%)
JBT CONSULT
Upstream oil is complex and risky…
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JBT CONSULT
..and has been responsible for disasters
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Piper Alpha, UK, 1988, 167 dead
Macondo, USA, 2010, 11 dead, oil spill Alexander Kielland, Norway, 1980, 123 dead
Texas City Refinery, USA, 2005, 15 dead
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..and also struggled with occupational safety
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Piper Alpha, UK, 1988, 167 dead
Macondo, USA, 2010, 11 dead, oil spill Alexander Kielland, Norway, 1980, 123 dead
Texas City Refinery, USA, 2005, 15 dead
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JBT CONSULT
The construction and oil industries have much in common
1. Large complex capital projects, operations and maintenance
2. Competition largely on price
3. Complex supply chain of contractors, sub-contractors and suppliers
4. Contractors and suppliers with varying quality
5. Many workers with limited educational background
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Before -> After
Reactive -> Proactive
Subjective -> Data driven
Externalising -> Learning
Blaming -> Just
Risk blind -> Sense of vulnerability
Cynical -> Passioned
Short cuts -> Compliance
Cultural transformation
JBT CONSULT
INCIDENT FREE?
Is zero accidents realistic?
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JBT CONSULT
Zero accidents? Clues to the answer in 2009
1. Cases of 10+ years with no accidents in Maersk Oil
2. Formula 1 racing after 1994
3. The Japanese car industry in the seventies (getting it 99.99966% right…)
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JBT CONSULT
High level approach for the Construction Client
1. Leadership driven programme, anchored with the CEO
2. Transformation of culture and management systems
3. Contractors and suppliers included
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JBT CONSULT
A lot of moving parts to address
Culture
Compliance
Risks and barriers
Accountability and consequence
House keeping
Management of Change
Interfaces
Working at height/dropped objects
Incident investigation
Construction process design
Leading and lagging indicators
Safety basics
Sense of vulnerability
Planning for safety
Safety nudging
Life saving rules
Construction site layout
Tool box meetings
Personal Protective Equipment
Intervention
Controls and audits
Contracting strategy
Procedures
Communication strategy
Safety commitment
Safety in design Emergency response
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Contractor on-boarding
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JBT CONSULT March 18, 2019
Cultural Transformation
1. Clear and consistent leadership
2. Culture training
3. Ambitious goals
4. Openness, communication and nudging
5. Dealing with rule breakers
Transformation of Management Systems
1. Contractor management
2. Simple rules with clear consequence
3. Learning from incidents
4. Training
5. Leading performance indicators
Accelerators
1. Code of conduct
2. Clear intervention
3. Clear symbolism
4. Clear consequence
Elements of a transformation
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Four examples from the toolbox
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1. Clever contracting
2. Practising intervention
3. Learning from incidents
4. Measuring with leading indicators
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JBT CONSULT March 18, 2019
Six concluding remarks
Transformation is anchored
with the leadership team
Use leading indicators
Safety and productivity
are linked
Integrate the transformation of
culture and management systems
Open communication stimulates learning
Experience from the oil and gas business can
be transferred to the construction industry
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tim e
Improved productivity
The leadership articulates
and acts safety
Training plan ready for
implementation
Safety integrated in
management systems
Safety included in tender
instructions and contracts
Plan for on-boarding
contractors
Measurable mindset effect
in own organisation
Measurable mindset effect
with contractors
Improved housekeeping
Improved reporting
(accidents and near misses)
Reduced accident
frequency
Elimination of regulatory
fines etc.
2013 2014 2015 2016
Maersk Oil data 2013 - 2016 from www.maersk.com
Ulykkesfrekvens (Ulykker per million arbejdstimer)
Driftsomkostninger (% af 2014-niveau)
Produktionseffektivitet (%)
Accident frequency Operating costs (-27%)
Productivity-52%+13%
0
0,5
1
1,5
2
2,5
2009 2010 2011 2012 2013 2014 2015 2016
Maersk OilLost Time Accident Frequency (Accidents per million manhours)
80% reduced accident frequency
JBT CONSULT
This slide deck and any part thereof is the exclusive property of JBT CONSULT and is not to be distributed or used without consent from JBT CONSULT While JBT CONSULT developed the outlooks and scenarios in accordance with its professional standards, JBT CONSULT does not warrant any results obtained or conclusions drawn from their use. The analysis and conclusions contained in this document are based on various assumptions that JBT CONSULT has developed regarding economic growth and the oil & gas industry which may or may not be correct, being based on factors and events subject to uncertainty. Future results or values could be materially different from any forecast or estimates contained in the analyses. The analyses are partly based on information that has not been generated by JBT CONSULT and has not, therefore, been entirely subject to our independent verification. JBT CONSULT believes such information to be reliable and adequately comprehensive but does not represent that such information is in all respects accurate or complete
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