Does your Organisation Manage Safety or Lead Safety Culture? - Presented by TMS Consulting 16/05/2019
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Does your Organisation Manage Safety or Lead Safety
Culture?
Presented by TMS Consulting
© 2019 TMS Consulting
16/05/2019
WHO IS TMS?
TMS Consulting is a Management Consulting firm that specialises in
organisational capability and human performance in the workplace.
LEADERSHIP, CULTURE ORGANISATIONAL STRATEGY
HEALTH, SAFETY AND STRATEGIC SOURCING
AND TEAMS AND PERFORMANCE
WELLBEING
+ Leadership & Team Business Improvement Project Resourcing
+ Safety Leadership &
Development + +
culture + Workforce Planning + Psychometric
+ Coaching & Mentoring Governance & Strategy Assessments
+ Fatigue Management
High Performing +
Occupational Stress +
+ Cultures
+ Workplace Bullying
+ Change Management
© 2019 TMS Consulting
“Old ways of looking at risk are insufficient
in today’s global business environment if
executives want their organizations to be
sustainable and prosper”
- Davide Vassallo, Global Managing Director of DuPont Sustainable
Solutions
© 2019 TMS Consulting
© 2015 TMS Consulting
Engaged Safety Culture = ↑ Organisational Success
+ In studies by the Queens School of
Business and by the Gallup Organization,
disengaged workers had 37% higher
absenteeism, 49% more accidents, and 60%
more errors and defects.
+ In organizations with low employee
engagement scores, they experienced 18%
lower productivity, 16% lower profitability,
37% lower job growth, and 65% lower share
price over time.
© 2019 TMS Consulting
Safety Culture Maturity Scale
© 2019 TMS Consulting
Creating a High Performing Safety Culture
© 2019 TMS Consulting
Case Study
What do these instances have in common?
Case Study 1: ExxonMobil Case Study 2: United Airlines Case Study 3: Volkswagen
+ Exxon Valdez oil spill resulted + In 2017 a passenger + In 2015, Volkswagen vehicles
in the discharge of was forcibly pulled off a were found to have cheated
approximately 11 million US plane after the airline had US emissions tests and
gallons (42,000 m3) of oil overbooked or oversold the pollute at amounts beyond
into Prince William Sound flight. legally allowed limits.
+ It is widely considered the + Following the event, United + CEO Martin Winterkorn
number one spill worldwide Airlines CEO Oscar resigned, and blamed "the
in terms of damage to the Munoz issued a statement to terrible mistakes of a few
environment due to the slow his employees, which was people," for the international
response to cleaning up the met with harsh criticism from scandal, and asserted that he
disaster. the public. was "not aware of any
wrongdoing on my part."
© 2019 TMS Consulting
Failure of Leadership
The findings of DSS’ 2018 global operations risk management survey of executives show that there is general
agreement and acknowledgement of the important characteristics of a successful risk management program,
however leaders are failing to implement those characteristics in their organizations.
Finding 1:
Finding 2: Finding 3:
Executives are not placing
Executives address gaps in Executives confirm
sufficient emphasis on risks
risk management processes disconnect among
that can lead to large-scale
by adding more processes personnel in managing risk
incidents
While 78 percent of survey participants Executives participating in the survey One-quarter of surveyed executives
agree that low incident rates do not agree that processes and systems feel front-line personnel are not
correlate to reduced risk, 66% of alone are inadequate to manage risk aligned on top risks facing the
executives reported feeling safe when and ensure operational performance, company. More than half (55
they see data indicating incident rates yet 44% admit that gaps in existing percent) do not feel senior
are low or trending to zero. systems present a challenge for their executives are fully aligned on top
© 2019 TMS Consulting
organizations. risks facing the organization.What does this mean?
+ The survey indicates that company executives have failed to
adequately identify and prepare for risks which, in the event of an
accident, would result in disastrous implications.
+ Failure to prepare for such risks have the ability to affect a company’s
operational performance, business continuity, operating rights and
stakeholders as a whole.
+ Low incident rates and processes and systems alone are not sufficient
in effectively managing risks.
© 2019 TMS ConsultingRole of Leaders in Safety Culture
Influence a change in Communicate the Set behavioural
safety attitudes vision expectations
Use mechanisms for
upwards feedback and Establish safety Reflect & evaluate
communication priorities priorities
© 2019 TMS ConsultingRole of Leaders in Safety Culture
+ In order to effectively drive a culture of safety,
organisations need to employ a combination of top
down and bottom up processes.
+ Establishing a positive culture will not work if senior
managers have the attitude that they set the
culture, and that employees are expected to
comply.
© 2019 TMS ConsultingOne cannot have an effective safety culture
without an effective workplace culture.
Both of these are directly impacted on by
leadership and the behaviours of leaders.
© 2019 TMS ConsultingQuestions?
© 2019 TMS ConsultingBrisbane Sydney Melbourne
www.tmsconsulting.com.au
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