A Safety Management System 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 would 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.
Last but not least, having a Safety Management System 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.
An effective Safety Management System 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.