Effective Safety Management

Effective Safety Management is a business like approach to Safety. It aims to create value by intelligent allocation of resources on one hand, in reducing adverse risks on the other hand.

Adverse risks represent the product of the likelihood of an accident by its impact. As an example, if you consider the total cost of an accident at 10 Million € with a likelihood of 1 occurrence every 10 years, then the price tag of that risk is 1 Mio € a year (disregarding interest rate and inflation, of course).

Last but not least, effective Safety Management translates a moral or even legal obligation to protect human life from the exposure to risks generated by industrial activities. It reflects our efforts to our best to avoid tragedies: as good as reasonably practicable and based on best available information.

Effective Safety Management supports, and monitors organizational decision-making by structured, systematic, dynamic and transparent processes. It is sustainable, as an integral part of the organization, taking human factors into account.

What effect has an effective Safety Management on your organization?

Effective Safety Management is a tool to manage the integrity of your product, as the source of sustainable competitive advantage. Products with integrity perform as designed, provide good value, and satisfy customers' expectations.

Effective Safety Management will have a direct impact on product integrity by fostering an alignment of your business objectives with operational reality, while reducing the cost of failure with a balanced impact on prevention cost. It will also generate more earnings by taking controlled risks than your competitor. You can illustrate this in buying a car with enhanced warning-, braking system, suspension and tires, what enables you to control the risk “speed”.

What type of organization will benefit from effective Safety Management?

…In principle, every organization, whose activities or product may significantly harm human integrity, environment, assets or reputation. Effective Safety Management provides a return on investment when the level of complexity is such that decisions regarding resource allocation and risk acceptance have to be made.

Note: If your organization does not directly expose the public to significant risks itself but pass its product to another one, you may be required to implement effective Safety Management by your customer, as you may all share the responsibility for the final risk (example for this are part manufacturer supplying aircraft manufacturer, supplying airlines and so on…)

Non-exhaustive list of industry sectors generating significant operational risks:

Motion

  • Aviation (airlines, air traffic control, airports, aerospace)

  • Road transport (cars, trucks, busses)

  • Railway, cable cars

  • Maritime

Energy

  • Mining

  • Oil extraction

  • Power plants

  • Power transportation & distribution

Transformation

  • Chemical plants

Health

  • Hospitals

Authority

  • Police

  • Defense