a paradigm shift - overcoming a siloed hsms
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Using interactive planning to integrate operational risk control with business decision makingTRANSCRIPT
A paradigm shiftLeveraging Competitive Advantage Through Transforming an OH&SMSPresented by Rakesh Maharaj ARMSA Consulting
ARMSACONSULTING
A paradigm shift Leveraging Competitive Advantage
ARMSACONSULTING
Exploring...… historical perspectives of EPS and the evolution of Health,
Safety and Environmental Management.
… the reasons for adopting an Applied Systems Thinking approach.
… the use of Applied Systems Methodology to diagnose, reframe and restructure its HSE Management Systems.
… the organisational effects of bottom-up change management.
… operational and organisational performance improvements.
A paradigm shift Leveraging Competitive Advantage
ARMSACONSULTING
The historical perspective
Under CEGB operation:
• The main focus of the CEGB was to meet their ‘duty to supply’ electricity via the best Engineering methods available
• To ensure the safe operation and maintenance of plant and equipment
• In the most efficient way available.
A paradigm shift Leveraging Competitive Advantage
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The historical perspective (cont.)
Newly Privatised – National Power
• Under privatisation the duty was now to the Shareholders.• The H&S focus of National Power was Policy, Principles
and Procedures.
• To meet the operating parameters of the new market.
A paradigm shift Leveraging Competitive Advantage
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Present times
British Energy - Eggborough Power LimitedAims to achieve World Class Health and Safety performance that comprises:
• A Health and Safety Management System that leads business process.
• Sustainable behaviours to support its implementation both strategically and operationally.
A paradigm shift Leveraging Competitive Advantage
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EPS goalsMake a step-change improvement in SHE performance to enable:
• Significant improvement in operational SHE performance metrics.
• Alignment of SHE metrics with business goals and objectives.
• Creation of partnerships between SHE Professionals and Dept Managers.
• Transformation of SHE from a ‘cost-of-doing-business unit’ into a value adding profit centre.
• Promoting inclusive thinking.
• Integrating health and safety with management decision thinking.• Instilling personal responsibility.
A paradigm shift Leveraging Competitive Advantage
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Diagnostics – systems approach Diagnostics – systems approach
Competence ??
Reward/Recognition +
Clear Direction - -
Consultation +++
Accountability -
Co-operation - -
Personal ownership/Departmental
Investment - -
Leadership +/-
Management Control - -
Management System (+ve)
Safe attitudes(+ve)
A paradigm shift Leveraging Competitive Advantage
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Approaching Intervention
Reactive Planning Tactically orientated
Dealt with by: ID deficiencies Project specific + individual solutions
Deficiencies Eliminating problem does not Guarantee desirable solution
Solutions are exclusive and do not deal with interactions
Preactive Planning Strategically orientated
Dealt with by: Prediction and preparation
Deficiencies Good for forecasting future
uncertainties
Solutions designed are almost never implemented because
plans are always for the future itself
Interactive Planning Strategically, tactically and operationally orientated
Dealt with by: Accepting that what is done now will affect the future
Process Designing desirable event(s) to control the future and selecting ways of approximating it as closely as possible
It deals with EPS as a system
A paradigm shift Leveraging Competitive Advantage
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The attributes of IP• Treats EPS as a complete system and not a sum of
parts (departments).
• Aims at delivering solutions for consumers.
• Resolves management and operational conflicts.
• Outputs are perception (attitude) changing.
• Bottom – up effect of change management promotes transparency.
• Consumers get what they ask for.
• Reduces resistance to change – staff, contractors and Depts.
A paradigm shift Leveraging Competitive Advantage
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Bottom-up change management The advantages
• Focuses on targets of change.
• Involves operational staff and departments in the first instance.
• End product is moulded according to need and expectation.
• Product is sensitive to business, operational and PEOPLE needs
• Implementation phase is pre-championed.
A paradigm shift Leveraging Competitive Advantage
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The detailed processThe detailed process
Systems Analysis- Completed
Obstruction
Analysis
Select and coachConsumer Group
T1
T2 T4
T3 T5
Q1 Q2 Q3
Select and coachDesigner Group
T6
Workgroups - modification towards idealised state
Personnel
Facilitiesand
Equipment
Financial
BBS
HumanFactors Technology, Work and
Human Factors
Materials,Supplies and
Services
OrganisationalFactors
MessFormulation
ENDSPlanning
MEANSPlanning
RESOURCEPlanning
Implementation
A paradigm shift Leveraging Competitive Advantage
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The process simplifiedThe process simplified
2 weeks 6 weeks 4 - 5 weeks ongoing
ConsumerProduct
Specification
ProductDesign
RemovingObstacles
ImplementProduct
A paradigm shift Leveraging Competitive Advantage
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Mapping – an exampleMapping – an example
Maintenance Dept
Workshop
Assistant 1
Onsite Repairs Rapid Troubleshooting
Engineer 1 Equip. Maintenance Engineer 2 Fitter 2 Boiler Engineer Gas FitterElectrician
Assistant
Departmental Map
Function/Role Map
Activity MapOperations
Suppliers
Contractors
Operatives
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• Risk control
• Regulatory/Operational mapping and interpretation
• SHE training
• Personal skill and competence
• Front end project loading
• Work planning interface
• Service provider partnerships
• Knowledge management
• Staff selection
• Performance monitoring and auditing
Consumer group specification - Directives
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• To design an idealised system that will meet with Consumer Group specification to replace the SHE system that was recently destroyed;
• Use ALL SHE specifications and dissolve all consumer group issues – remember the consumers are now consultants; and
• Always consider role of stakeholders of the SHE system and therefore the impacts of its deliverables.
Designer group – the broad brief
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• The system designed must be technologically feasible and not incorporate any technology that is not currently available.
• The system must be compliant with the regulatory framework.
• The system must be operationally viable – fit for purpose. Not to be confused with immediate implementation.
• The system designed must accommodate future improvements.
Designer group – limitations
A paradigm shift Leveraging Competitive Advantage
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To develop a management system that has the following characteristics:
• A mission statement.
• Comprise directives that are:
• Operationally focused i.e. cross departments;
Efficient to use and produce quality results; and –
Consistent with the needs of the end user. –
• Whose continuous improvement is driven by the appropriate stakeholders.
Designer group – outputs
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At EPS Safety, Health and Environmental consideration is central to our business of generating electricity. It is an objective shared and owned by everyone…
The Mission Statement - an example
The Mission Statement - an example
At EPS Safety, Health and Environmental consideration is central to our business of generating electricity. It is an objective shared and owned by everyone…
Business/SHE ideals Aspirational Stakeholders Exciting/ challenging/ inspiring
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Mission• Stakeholder driven• Proactive / prevention• Fully integrated with business• Revenue Enhancer / Value
Adder• Any other?
Function• Provides business,
operations, corporate and customer support.
• Precise regulatory interpretation for operations.
• Contributes to knowledge management, personal skill and competence.
• Compatible with other relevant directives.
Testing the ideal directive
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Process• Integrated with operations• Clear, concise and simple• Consistent with business,
operational and regulatory needs
• Automated?• Cross departmental
• Encourages action learning
Structure• Leveraged and distributed• Cross departmental• “Lowerarchical”• Synonymous with
competence development directives
• Business and line accountability
• SHE reports to SD
Testing the ideal directive
A paradigm shift Leveraging Competitive Advantage
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• Significant improvement in operational performance. 42 tasks redesigned –
• Alignment of SHE metrics with business goals and objectives.business focussed mission statement, individual KPI’s - self set –
holistic views• Transformation of SHE from a ‘cost-of-doing-business unit’ into a value
adding profit centre.– re-organisation of planning and outage functions – integration of maintenance and operations depts
• Enhanced investment, organisational learning and informed decision-making amongst line employees in SHE related matters.
all ‘own’ the new business directives –• Identification of a wider range of creative and less expensive solutions to
SHE challenges.
The contributions
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Organisational contributionsOrganisational contributions
H&S Ownership Departmental interdependency and work integration Consultation and participation
Cont
ribut
ions
Widespread self-realisation that H&S is not a support function.
IP helped overcome an isolationist view of departmental operations.
Staff felt more engaged in the bottom-up transformation process and IP allowed them to contribute freely and constructively without fear of reprisals.
H&S is a function of the task and staff are empowered to make decisions holistically.
Departments realised that better interaction will allow for effective planning and risk control.
Knowing that the consumer idealised design process in IP would allow them to be creative, many participants began to realise that their jobs affected tasks around them
All departments are accountable for controlling risk created by their operations and providing detailed information on risks transferred to other departments.
Improved interaction between outage and work planning functions will enable adequate resourcing of long term or high hazard projects.
Many staff previously worked in isolation and had very little knowledge of where information pockets existed around the power station. IP broke down those barriers and staff now know who the subject matter specialists are and will call upon them in time of need.
Skills (including health and safety) needs analysis and apprenticeships will be a partnership function between each department and the training department.
A paradigm shift Leveraging Competitive Advantage
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• It Health and safety problems are plural and complex.
• Resolving them outside organisational and operational context can lead to ineffective solutions.
• Selecting an appropriate intervention and change management methodology is fundamental.
• Remember the internal and external customer(s).
• Operationally focused systems interventions will yield business benefits and commercial gains.
Conclusion
A paradigm shift Leveraging Competitive Advantage
ARMSACONSULTING
Rakesh Maharaj
Managing Director
ARMSA Consulting
Chadwick House
Birchwood Park
Warrington
WA3 6AZ
Cheshire, UK
email: [email protected]
Questions