osh magazine

WELDING SAFETY: Why Optical Clarity Matters 12

FIRST AID TRAINING: Rescuing Your Hidden Program 20

RISK MANAGEMENT: The Asset Value of Employees 30

APRIL 2015 VOL. 84 NO. 4 | www.ohsonline.comBREAKTHROUGH STRATEGIES: MY OWN LEADERSHIP MISSION

Reducing Splash Risks in Health Care

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FROM THE EDITOR

www.ohsonline.com

VOLUME 84 NUMBER 4

EDITORIAL STAFF

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CHIEF EXECUTIVE OFFICER Rajeev Kapur

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CHIEF OPERATING OFFICER Henry Allain

EXECUTIVE VICE PRESIDENT Michael J. Valenti

VICE PRESIDENT, INFORMATION TECHNOLOGY & Erik A. Lindgren APPLICATION DEVELOPMENT

VICE PRESIDENT, EVENT OPERATIONS David F. Myers

CHAIRMAN OF THE BOARD Jeffrey S. Klein

REACHING THE STAFFEditors can be reached via e-mail, fax, telephone, or mail. A list of editors and contact information is at www.ohsonline.com.

Email: To e-mail any member of the staff please use the following form: [email protected].

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Occupational Health & Safety (ISSN 0362-4064) is published monthly by 1105 Media, Inc., 9201 Oakdale Avenue, Ste. 101, Chatsworth, CA 91311. Periodicals postage paid at Chatsworth, CA 91311-9998, and at additional mailing offices. Complimentary subscriptions are sent to qualifying subscribers. Annual subscription rates payable in U.S. funds for non-qualified subscribers are: U.S. $79.00, International $149.00. Subscription inqui-ries, back issue requests, and address changes: Mail to: Occupational Health & Safety, P.O. Box 2166, Skok-ie, IL 60076-7866, email [email protected] or call 847-763-9688. POSTMASTER: Send address changes to Occupational Health & Safety, P.O. Box 2166, Skokie, IL 60076-7866. Canada Publications Mail Agreement No: 40612608. Return Undeliverable Canadian Addresses to Circulation Dept. or XPO Returns: P.O. Box 201, Richmond Hill, ON L4B 4R5, Canada.

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The Roots of Labor Day

President Obama on Feb. 19 designated a landmark site of the U.S. labor movement on Chicagos South Side as a national monument. The 200-acre Pullman National Monument is the site of the town erected by George Mortimer Pullmans Pullman Palace Car Company to house railcar manufacturing workers and their families. It was a com-pletely planned model community representing a departure from the overcrowded and unsanitary living conditions found in working-class districts in other 19th century industrial cities and towns, according to the National Park Service.

Pullman introduced sleeper cars to American railroads, and he envisioned the town as a way to attract highly skilled crafts-men to work in his factories. His company also recruited the sleeping cars first porters, waiters, and maids from the popula-tion of former house slaves.

The presidents proclamation says the model town of Pull-man is considered the first planned industrial community in the United States, and served as both an influential model and a cautionary tale for subse-quent industrial developments. The company owned every building and charged rents that would ensure a return on its investment in building the town. The towns larger, more ornate and finely finished houses on Arcade Row were reserved for company officers, while junior workers resided in smaller, simpler row houses, and single and unskilled workers resided in tenement blocks with less ornamentation located farther away from the towns public face.

The companys orders declined during a depression that began in 1893, and when the company cut its workers wages but not the rent it charged them, the Pullman strike of 1894 began. American Railway Union members boycotted Pullman cars, which disrupted rail traf-fic across much of the country and impeded federal mail delivery. The United States secured a court injunction declaring the strike illegal under the Sherman Antitrust Act and President Grover Cleveland intervened with federal troops, bringing the strike to a violent end.

With the strike growing, on June 27, 1894, Congress passed legislation designating Labor Day as a federal holiday, and Cleveland signed the bill the following day.

JERRY [email protected]

CorrectionThe table of contents and page 19 of our March 2015 issue incorrectly identified the author of the Addressing Noise in the Workplace article. The author is Jeffrey Birkner, vice president-technical services and quality assurance for Moldex-Metric, Inc. I regret the error.

With the strike growing, on June 27, 1894, Congress passed legislation designating Labor Day as a federal holiday.

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TABLE OF CONTENTSAPRIL 2015 | Volume 84, Number 4 | www.ohsonline.com


featuresFALL PROTECTION

8 Dont Sacrifice Safety for ProductivityLow-level access lifts are ready to use when they arrive on site, meaning less setup time is needed to ensure a safe ascent. by Justin Kissinger

WELDING SAFETY

12 Optical Clarity: Why Its Important and What It Means for YouViewing your welds through a clearer, better-quality lens allows your eyes to work longer with less fatigue and also less overall strain on your body. by Jamy Bulan

HAND PROTECTION

16 Keeping Hand Injuries in CheckWith 139,820 lost-time cases from hand injuries in 2013 alone, according to BLS, this is one of the higher incidence rates among all occupational injury types. by Fred Elliott

FIRST AID TRAINING

20 Modern Issues of First Aid TrainingTreating an injured employee is one of the most unpredict-able situations and hard to prepare for, so you have to plan for the worst in most cases while watching costs where you can. by Linda J. Sherrard

24 Anyone Can Help Save a LifeKnowing that someone on hand is first aid trained should an event occur reduces the stress level of all the employees and makes them feel safer.

FOOT PROTECTION

28 Pros and Cons of Safety Footwear Delivery SystemsThe best method of obtaining safety footwear for your employees could be a combination of several elements. by Don Stallings

RISK MANAGEMENT

30 The Asset Value of EmployeesThe true value of employee assets cannot be standardized with a simple, flat ratio. Studies performed around the world have shown results vary. by Thomas F. Heim

FOOT PROTECTION

38 Selecting the Right Delivery Model and ServiceAt a local store, you have the ability to shop as you would at any other store, get fitted for your correct shoe size, try them on, and make a purchase. by Jarrod Beard

HEALTH CARE

42 Splashes & Sharps: Occupational Exposures in the Health Care SettingMany risky, splash-creating activities are conducted without the proper PPE because there is a lower perceived risk. by Linda Goss

INDUSTRIAL HYGIENE: GAS MONITORING

48 LED-Driven Infrared SensorsThe author shines new light on LEL gas measurement for oil and gas and confined space entry applications. by Bryan Bates

SAFETY MANAGEMENT

52 The Other Side of the CoinJust because its hard to measure the specific financial benefits of reducing injuries doesnt mean we should shy away from discussing safetys impact on an organizations bottom line. by Danny Smith

departments4 From the Editor55 New Products62 Practical Excellence by Shawn Galloway63 Product Spotlights64 Literature Library64 Classifieds65 Advertiser Index66 Breakthrough Strategies by Robert Pater

Find OHS on: Twitter http://twitter.com/OccHealthSafetyFacebook http://facebook.com/ohsmagSafety Community http://www.safetycommunity.com/profile/OHSMagazine

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FALL PROTECTION

P eople are often tempted to make due with available tools and risk bodily injury for the sake of saving time and energy. This temp-tation applies to nearly all tools and equip-ment, including those designed to provide access to elevated work heights. For centuries, ladders and scaf-folds have been the go-to solutions for elevated work, such as helping Michelangelo paint the Sistine Chapel, but their safety features have yet to meet the robust safety expectations of the modern world.

The risk of falls from elevated working heights is very real. According to Liberty Mutuals 2013 Work-

place Safety Index, these types of incidents ranked as the fourth-leading cause of workplace injuries, and they led to $4.9 billion in direct costs to businesses in 2011.

This is where low-level access lifts come in. These lifts have many features that raise the level of safety on job sites and prove that the more traditional options are just not up to par.

Hand Over HandOne of the most common tools, and often the first one that people think of for working at heights, is the ladder. Ladders can be relatively quick to set up, are graded for a variety of applications, and, because theyre fairly inexpensive, theyre an attractive option. But ladders can carry with them inherent problems.

Ladders come in four duty ratings: Type III house-hold, Type II commercial, Type I industrial heavy, and Type IA industrial, which can withstand as much as 300 pounds. If that workload is exceeded (for in-stance, if a worker decides to use a household ladder while installing heavy equipment), the ladder could snap under the combined weight of the worker, tools, and materials and cause severe injury. With a low-lev-el lift, on the other hand, the worker can load materi-als onto a lift and move from place to place on the job site. Some lifts are even equipped with overload sen-sors that alert the user or limit the lift height if there is excess weight on the machine.

Selecting the right height also is critical. If a lad-der is too short, it could tempt a worker to ignore safety precautions and stand on the top rungs or overstretch beyond the rails, either of which can lead to a fall. A ladder thats too tall is more likely to be set up incorrectly against a wall and can slip out from underneath a worker because there is not enough friction to hold it in place. Low-level lifts address these potential pitfalls by offering working heights as high as 20 feet, and they can reach the exact height that offers the greatest productivity.

But lets say youve selected the right type of lad-der for the job. Now theres the challenge of setting it up properly. The Occupational Safety and Health Administration recommends that a ladder be one-quarter of the working distance away from a wall. For instance, if you know the walls height is 40 feet, the base of the ladder should be 10 feet away. To access an elevated surface, OSHA says the top of the ladder should extend 3 feet higher. Furthermore, the Ameri-can National Standards Institute recommends ladders should be set at a 75-degree angle. Its often imprac-tical to measure for these recommendations on the job site, but not following them can lead to improper

Dont Sacrifice Safety for ProductivityLow-level access lifts are ready to use when they arrive on site, meaning less setup time is needed to ensure a safe ascent.BY JUSTIN KISSINGER

CUSTOM

EQUIPM

ENT, IN

C.

Operators can maneuver low-level-access scissor lifts into spaces that might be too hazardous for ladders or scaffolding.

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FALL PROTECTION

setup, substantially reduce the stability of the ladder, and increase the risk of falls. Low-level access lifts are ready to use when they arrive on site, meaning less setup time is needed to ensure a safe ascent.

If you are working on a ladder, being productive and safe can become a juggling act. When large projects such as electrical and HVAC jobs in new buildings require moving the ladder as work progresses, the contractor needs to climb down, fold up the ladder, carry it a few feet over, set it back up correctly, and climb up the rungs to start again. This constant moving, climb-ing, and standing on ladder rungs can eas-ily fatigue a worker, which also increases the risk for falls. By comparison, with a low-level access lift, the contractor can sim-ply use the controls to move the platform up and down. This eliminates the fatigue and reduces the hassle of moving a ladder to a new location. By eliminating daunting climbs and providing a step-in height as low as 20.28 inches, the lifts allow workers to quickly relocate without the hassles of disassembly and reassembly.

An operator might also overreach or walk the ladder to avoid moving it, ei-ther to save on effort or time. Overreaching shifts the center of gravity from between the ladder rails to either side, which can cause it to shift and topple over. Walking the ladder is just as dangerous. This is when a user tries to alternate the weight from side to side on the rungs to make the ladder walk forward. This can cause the ladder to tip on its side or fold up on itself. With low-level access lifts, the user brings the lift to the ground and pushes the unit to the next location; with a self-propelled lift, he can simply drive.

Side loading also can be a safety con-cern. When a user standing on a ladder performs work that exerts force against the wall, such as drilling or sawing, the ladder can tip due to lack of counter-weight. Additionally, if the worker tries to pull up heavy tools or materials from the ladders side, he can actually pull himself down. Most lifts employ counterweights to address side-loading issues; some have tilt sensors that alert the operator when loads become imbalanced.

The Problems with ScaffoldsWhen project managers deem a task too impractical or dangerous for a ladder, they

might opt for a scaffolding system. While scaffolds might offer more platform space than ladders, they can be just as dangerous.

According to the U.S. Department of Labor, nearly 65 percent of workers in the construction industry use scaffold-ing. Scaffolds can provide variable work-ing heights and larger elevated platforms, where ladders cannot. Still, they create some of the same safety challenges. For instance, scaffolding safety begins with setup. Sections need to be correctly assem-bled to provide a stable framework, and a worker still needs to pull boards up the side of the scaffold to provide a platform to work on. If a scaffold is improperly as-sembled, it can collapse underneath the weight of workers, tools, and materials.

Unlike scaffolding, low-level scissor lifts come assembled and can be pushed, or in some cases driven, onto hard, level surfaces. Workers save time because they dont have to carry cumbersome poles, bulky deck pieces, and tools. Most units are small enough to fit through doorways and into elevators, which eliminates the need to carry scaffolding frames up or down mul-tiple flights of stairs.

Once the scaffolding is in place, you still need to maintain three points of con-tact while climbing up the sides. This can make hauling tools and materials a danger-ous chore. Also, the user has to accomplish the challenge of safely climbing on and off the deck. Like the ladder, the extra climbing can increase user fatigue, which can lead to more slips and falls. On a low-level scissor lift, workers remain on the platform and have no sides to climb or decks to assemble.

The danger does not end once a worker is on the deck. There usually is nothing to prevent a user from taking a perilous step off the side of the platform. Lifts of-fer a fully encircled work platform with 38- to 42-inch-tall railings and toeboards. The railings help prevent workers from misstepping and falling from an elevated lift, while toeboards protect people below from falling tools and materials. For added fall protection, some low-level-access lifts come with lanyard tie-offs. Workers have the option to attach their safety harnesses or lanyards to the tie-off, and the system will catch them if they start to fall.

And just like when using ladders, op-erators using scaffolding are still tempted to sacrifice safety for productivity. When

a scaffold needs to be moved, the worker needs to remove the deck and, in some cases, disassemble and reassemble the scaf-folding at the new location. When a scaf-fold is on wheels, a user might try to surf an unsecured scaffold over to the new loca-tion by pulling on objects, such as overhead pipes and fixtures, around the work area.

This takes the operators focus off of where the scaffold is traveling, and if the wheels encounter an object or an uneven surface, such as a ramp, the scaffold could tip. On self-propelled lifts, the user can focus more on the wheels path to avoid obstacles and uneven work surfaces while driving to the next location. Push-around units have automatic locking mechanisms on the wheels to prevent the unsafe surf-ing practice.

Elevated Decision MakingThe International Powered Access Federa-tion recommends that a complete job site assessment be completed before a project begins. It should address factors such as how people will gain access to the project, its scope and size, and the working envi-ronment overall. Only after theyve com-pleted the assessment should contractors and project managers select the right tools and equipment for the job.

When lifts are part of that tool and equipment mix, remember to inspect them daily and before each use. Its also important to have a qualified aerial lift professional perform required annual inspections. Annual inspections keep users safe by addressing any mechanical issues that might arise through normal wear and tear.

By using low-level access lifts rather than ladders and scaffolds, contractors and project managers can continue mak-ing gains in both safety and productivity. And they can be confident in knowing the masterpiece is more than the finished proj-ect; its the time and people that have been spared in the process of completing it.

Justin Kissinger is the marketing manager for Custom Equipment, Inc. He has been with the family-owned business since 1998, and during that time has gained knowledge from all areas of the company, including as-sembly, engineering, service, and sales. To contact him, call 262-644-1300, ext. 13 or email [email protected].

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WELDING SAFETY


S electing the best auto-darkening welding helmet reaches beyond standard occupa-tional safety issues; it also should take the wearers vision into account. Wearing the right helmet not only protects your face and eyes from sparks, but also can contribute to your overall productivity and work quality. And it all comes down

to the helmets optical clarity, or how well you can see out of it.

We know that welding isnt an easy process, espe-cially for welders who wear a helmet for the better part of an eight- or 10-hour day, sometimes while working on thin, exotic, and/or expensive materials. When youre able to more clearly perceive subtle variations

Optical Clarity: Why Its Important and What It Means for YouViewing your welds through a clearer, better-quality lens allows your eyes to work longer with less fatigue and also less overall strain on your body.BY JAMY BULAN

THE LINCO

LN ELECTRIC CO

MPAN

Y

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www.ohsonline.com 13

in the ever-changing arc and weld puddle, youre able to deliver more accurate end re-sults, with higher-quality welds.

A helmet thats too dark or has too many variations in the quality of sight through its filter can cause discomfort, vision prob-lems, and even irregular welds. Think of a high-quality auto-darkening helmet and its cartridge in the same way as you think of your TV: You want to watch sports and movies in crystal-clear high definition, not on an old, grainy analog screen, right? Shouldnt you want the same viewing qual-ity from your welding helmet?

Thats where optical clarity comes in. While the United States hasnt yet adopt-ed any formal requirements for welding helmet design, manufacturers are find-ing guidance in the third-party European Standards that govern eye and face protec-tion for the welding industry. Prefixed by EN (European Norm), the standard that governs auto-darkening welding helmet cartridges is known as EN379 and incor-porates important ratings for optical clarity.

Defining Optical ClarityThese ratings are determined by tests that measure light transmission across the welding cartridge, as well as scattered light from the cartridges layers. Rating tests oc-cur in each of the following four classes of optical clarity:

Optical (accuracy of vision). Quali-fies how distorted the image is when you look at it through a welding helmet lens. Is it like looking at something through rip-pled water, or is it clear and crisp?

Diffusion of light. Examines the manufacturing impurities in the car-tridges glass. Is it clear and defect free? Is it uniform?

Variations in luminous transmit-tance (light or dark areas within the lens). Focuses on the lens adjustable shade func-tion and consistency of this shade across different points of the lens surface. No ran-dom areas should be too bright or too dark in comparison to others.

Angle dependence on luminous transmittance. Tests for a clear view with-out stretching, dark areas, blurriness, or problems viewing things at an angle, as the result of inconsistent shade.

Cartridges are graded on a scale of 1 to 3 in each class. A score of 1 is perfect, while a score of 3 is the worst rating. The best rat-

ing is 1/1/1/1. Auto-darkening welding hel-mets rated with EN379-1/1/1/1 for optical clarity deliver even shade levels across the full height and width of the viewing area, which offers little, if any, distortion of view from clear, uniform glass.

While the EN379-1/1/1/1 rating is not a requirement in the United States, it does offer a known benchmark for quantifying lens clarity.

Not all U.S. manufacturers use this rat-ing, but we have begun to incorporate this standard into our helmet design and manu-facturing process.

Benefits of Clearer Helmet VisionTheres a real benefit to undergoing the testing to achieve this rating, even though it isnt required: It eliminates the users guesswork involved in trying on helmets and determining by trial and error which one offers the best viewing lens. Now, when youre looking to upgrade your helmet, you will know that one with a 1/1/1/1 optical clarity rating will deliver a perfect view and the best-quality lens.

Experienced welders who already have used a 1/1/1/1-rated helmet report they immediately can tell the difference in op-

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Circle 15 on card.


WELDING SAFETY

14 www.ohsonline.com

tical clarity. They say they can see better, the workpiece is more clearly in focus, and the overall experience is more comfortable than using a helmet with, say, a rating of 1/2/1/2. These welders also have said they see the arc with less distortion with the higher-rated lens and have noticed clarity issues in helmets with a lower rating. While these parameters might be subtle, profes-sional welders can and do notice the differ-ence between 1 and 2 and a huge difference between 1 and 3.

These differences can play a role in over-all productivity. If youre looking through a distorted lens with impurities and incon-sistent shade, your eyes will strain to see what you are doing. This could cause you to work harder. Viewing your welds through a clearer, better-quality lens allows your eyes to work longer with less fatigue and also causes less overall strain on your body.

Other Helmet ConsiderationsWhen evaluating helmets, other factors

do come into play beyond optical clarity. Welding helmets must meet relevant safety standards. In North America, applicable standards are ANSI Z87.1 in the United States and CAN/CSA Z94.3 in Canada. Be-fore purchasing a helmet, be sure the hel-met meets prevailing industry and regula-tory standards.

Also consider the type of welding you plan to do. Amperage ratings associated with various welding applications gener-ate different levels of light emission, thus requiring different shade levels. Advanced auto-darkening helmets protect from harmful light emissions at all times and darken to almost any pre-selected shade in milliseconds, thanks to quick-changing LCD (liquid crystal display) technology in the auto-darkening cartridges. With auto-darkening helmets, welders can see clearly while the helmet is in the down position, so that setting up to weld can be performed with the hood in position.

These advanced auto-darkening hel-mets offer a full shade range of up to 6-13 with additional grind modes, allowing welders to optimize the shade for optimal protection and greater comfort. Welders who make frequent changes between weld-ing processes and applications likely will find this beneficial.

Also, be sure to also to consider head-gear style and adjustability, the overall weight, whether or not the helmet can lower with a simple head nod, hands-free operation, and even the comfort of the built-in sweatband. All of these can affect wearer comfort and productivity.

These days, selecting an auto-darken-ing helmet involves more than just pulling one off of the shelf, putting it on, and strik-ing an arc. Optical clarity plays a major role in the decision process, moving from a factor that once was hard to determine without trial and error to something that can be identified through quantifiable benchmarks and ratings.

The demand for better optical clarity in auto-darkening helmets is increasing in the United States and will only get stron-ger as welders continue to demand top-quality viewing capabilities from their eye protection.

Jamy Bulan is a senior product manager at The Lincoln Electric Company (www.lincolnelectric.com).

Feel the TECGEN difference. Set up a wear trial at FR.TECGEN.com or call 888-607-8883.

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DONT SPEC FR WORKWEAR THAT WEARS THEM OUT.Heat stress can take a toll on your crew. TECGEN FR is engineered to help keep them cool, dry, and comfortable right from day one. Its workwear that wont wear them out.

Circle 28 on card.

Cartridges are graded on a scale of 1 to 3 in each class. A score of 1 is perfect, while a score of 3 is the worst rating.


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TM

HAND PROTECTION


T he U.S. Bureau of Labor Statistics delivered some holiday goodies, as well as a few lumps of coal, on Dec. 16, 2014, when it released data on non-fatal lost-time occupational in-juries and illnesses during 2013. The overall incidence rate fell to 109.4 cases per 10,000 full-time workers that year, down from 111.8 the year before, and the median number of days away work also fell from 9 to 8. Thats the good news.

However, the total number of days-away cases in 20131,162,210was essentially the same as in 2012, BLS reported, and it also noted that musculoskeletal disorders accounted for 33 percent of all injury and illness cases in 2013 and accounted for 53 percent of total cases involving nursing assistants that year. For male workers, the third-highest incidence rate in 2013 for any category of injury was cuts, lacerations, and punctures, and there were 98,680 lost-time cut, lac-eration, and puncture cases during the year, according to the BLS data tables.

The occupations with the largest number of lost-time cases that year included nursing assistants; heavy and tractor-trailer truck drivers; laborers and freight, stock, and material movers; janitors and cleaners; construction laborers; and police and sher-iffs patrol officers.

When BLS listed the number of 2013 lost-time cases according to the affected body part, upper ex-tremities topped the list with 345,560and 41 per-cent of them (139,820 cases) were hand injuries. Their median number of days away from work was six days.

Interestingly, the age group with the highest inci-dence rate for workplace lost-time hand injuries that year was 16-19.

Machinery, Cutting Hazards PredominateWhat kinds of serious hazards can place employees hands at risk? Hazards associated with machinery and cutting injuries top the list.

The hazards vary, of course, but a February 2015 enforcement case from OSHAs Region 5 is a recent example. Region 5 cited a steel tubing manufacturer, fined the company $139,800, and placed it in OSHAs Severe Violator Enforcement Program for repeat and serious machine guarding violations found at its Al-liance, Ohio, facility. One serious citation item, with a $70,000 proposed penalty, involved employees exposure to knife cutting injuries on two mill weld lines from reaching under the equipment to tighten and service equipment and from climbing above the equipment to hammer worn knives down. Another citation item for the repeat violations listed 17 types of equipment in the facility where employees were not

Keeping Hand Injuries in CheckWith 139,820 lost-time cases resulting from hand injuries in 2013 alone, according to BLS, this is one of the higher incidence rates among all occupational injury types.BY FRED ELLIOTT

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HAND PROTECTION


protected from cutters, saws, moving parts, and pinch points, according to OSHA.

Each year, thousands of workers are injured by dangerous machinery. These types of violations are among the most frequently cited by OSHA and often result

in death or permanent disability, said Bri-gitte Frank, OSHAs acting area director in Cleveland, Ohio.

Another February 2015 enforcement case from the Parsippany, N.J., Area Office, in OSHAs Region 3, also cited amputation

hazards and inadequate machine guarding. In this case, OSHA cited a Madison, N.J., manufacturer of carbide steel cutting tools for two willful violations for inadequately guarded or unguarded machinery, and the agency proposed $56,000 in fines. OSHA previously cited this company for the same amputation hazards involving the same machinery, yet it continues to jeopardize worker safety by not ensuring the proper safeguards are in place. The proposed pen-alties in this case reflect the severe nature of the cited hazards, said Kris Hoffman, director of the Parsippany Area Office.

Hand injuries are difficult to repair be-cause our hands are complex tools, if you will, that are crucial to our performance of so many fundamental tasks. Suffering a loss of dexterity, motion, or gripping power in our handsmuch less an amputationcan jeopardize our ability to perform basic life tasks. This fact is recognized by U.S. states workers compensation programs, most of which use a list of body parts that are covered by permanent partial disability benefits, which cover the most expensive category of cases in most states, accord-ing to an analysis published in the 2003/04 Social Security Bulletin by the U.S. Social Security Administrations Office of Policy. The lists invariably include the upper and lower extremities and may also include an eye. Most include the loss of hearing in one or both ears. The schedules are specific enough that they separately identify the individual fingers or toes or differentiate between the loss of a dominant or non-dominant hand, Peter S. Barth explained in this paper.1 He noted that a nine-state study that examined the costs of cases as of March 2002 for injuries that had occurred in 1998-1999 found more than half of the cases in which temporary disability lasted more than seven days resulted in perma-nent partial disability in six of the states, with the median cost for such cases in the nine states topping $32,000.

Key Hand Protection StandardsThe important hand protection standards for the U.S. market are ANSI/ISEA 105-2011, American National Standard for Hand Protection Selection Criteria, and OSHAs 29 CFR 1910.138.

The OSHA standard states:General requirements. Employers shall

select and require employees to use ap-

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The occupations with the largest number of lost-time cut, lacera-tion, and puncture injuries in 2013 included nursing assistants; heavy and tractor-trailer truck drivers; laborers and freight, stock, and material movers; janitors and cleaners; construction laborers; and police and sheriffs patrol officers.


www.ohsonline.com APRIL 2015 | Occupational Health & Safety 19

propriate hand protection when employees hands are exposed to hazards such as those from skin absorption of harmful substances; severe cuts or lacerations; severe abrasions; punctures; chemical burns; thermal burns; and harmful temperature extremes.

Selection. Employers shall base the selection of the appropriate hand protection on an evaluation of the performance characteris-tics of the hand protection relative to the task(s) to be performed, conditions present, duration of use, and the hazards and potential hazards identified.

The ANSI/ISEA 105-2011 standard (visit www.safetyequip-ment.org for information) includes a recommended hand protec-tion selection procedure, as well as a section that describes how fit, function, and comfort are incorporated into selection, according to ISEA. It also includes a rating system for classifying hand protec-tion PPE against various performance assessments, and it accepts different ASTM methods for evaluating gloves cut resistance.

As leaders in cut-resistance solutions, ISEA members spent a

significant amount of time trying to reconcile the differences be-tween the varying cut resistance methodologies that are widely ac-cepted in the industry, Matt Reid, America Area manager of DSM Dyneema and the ISEA Hand Protection Groups chairman, said in February 2011. We believe that allowing both test protocols represents the transition toward a single evaluation method, with appropriate classification levels, without creating a gap in a much-needed user resource. It will be important for end users to ensure that any comparison between gloves, first and foremost, be based on the same test method. ISEA member companies keenly under-stand that there is a wealth of information in the market to help in the glove selection process. We are certain that ISEAs standard-ized template will be a valuable tool to streamline comparisons and make the decision process easier.

Fred Elliott is an Austin, Texas, freelance author who frequently writes on occupational safety and health topics.

REFERENCES1. http://www.socialsecurity.gov/policy/docs/ssb/v65n4/v65n4p16.html

2. https://www.osha.gov/oshstats/index.html

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By June 1, 2015, all manufacturers, importers, and employers must be ready for GHS they must comply with new label requirements and Safety Data Sheets by that deadline. OSHA revised its Hazard Communication Standard in 2012 to require employers to adhere to elements of the Globally Harmonized System for the Classi cation and Labeling of Chemicals, setting deadlines for worker training and for the labels and SDSs, along with new requirements for information the labels must include: signal words, hazard statements, pictograms, and more. This presentation will discuss this fast-approaching deadline and the GHS implementation problems many workplace safety and health professionals are encountering.

About the speaker:Tom Jacques is an Independent Consultant who focuses on providing clients with impartial advice to navigate the complexity associated with conforming to chemical legislation related to GHS. He penned numerous articles about chemical safety and the GHS regulations recently adopted by OSHA, and while serving as the Director of Sales and Marketing for the MAXCOM Services Division of HAAS TCM Group International, he conducted many GHS training seminars. Jacques served as the President and CEO of Maximum Compliance Technologies during which time he co-founded the MAXCOM System, a proprietary MSDS solution that simpli ed technical chemical information associated with Material Safety Data Sheets, (MSDS) in a manner that most employees can understand. He has over 40 years experience in sales and marketing with the emphasis on environmental and employee health and safety issues.

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Hand injuries are difficult to repair because our hands are complex tools, if you will, that are crucial to our performance of so many fundamental tasks.



FIRST AID TRAINING

E ver been injured on the job? You leave the clean, orderly environment where things make sense and you have what you need far behind. What is the status of first aid readi-ness at your facility?

Before you answer, consider that first aid is one of the most important hidden programs you have. Com-pletely hidden, if you so choose, this is an interlocking system that touches every inch of your facility daily. Ignored, it may coast for a few months, even a year, losing viability as it gets weaker. However, when an injury happens and the instant treatment services are needed, the looming problems emerge because you did not follow through on critical training, updates, equipment, and supplies. What are you going to do to deal with and prevent each of them?

Consider the paperwork. Do you have in place the policy and authority to have first aid training, services, and supplies on site? Do you keep this updated and maintained through your budget? Have you allocated real time to training? Are your trainers certified and appropriate to the audience they will be teaching? Have you attended the classes yourself so you know the quality of the instruction? Are they in-house per-sonnel or outside consultants? Both are good choices, depending on your budget allowances and the num-ber of people to be trained annually.

Are there any language barriers? Disabilities that need to be worked with interpreters? Are any of your employees colorblind? Make sure your supplies are clearly labeled in a color that they can read.

Timing and Content IssuesWhen is training provided? For new employees? Once a year? Increase it to include special needs, too. Try to avoid marathon training to get everything done at once and have smaller, more manageable sessions that employees can remember and use.

Is your first aid specifically for your workplace or general in nature? Do you have AEDs on site? Are they all compatible, maintained, and inspected regu-larly and easy to use?

How about remote crews: Do you offer special training and supplies for them? Do you offer chemical training if there are hazards? What about providing Epi pens and first aid supplies for exposure to critters that bite?

Missing supplieswe as safety inspectors see this on routine inspections. Wall-mounted first aid boxes may have been pilfered due to employee mis-use, or supplies are used for legitimate and reported on-the-job injuries and then not restocked for days, months, or ever. Remember, your facilitys readiness just dropped significantly through that false sense of readiness. Open those boxes and check those dates! If you cannot or will not, use a vendor to do it for you and keep the supplies restocked.

Likewise, check for out-of-date or contaminated supplies. Do you really want to use flushing supplies for an eye injury that are five years out of date? How about adhesive bandages that are brittle, paper that has gotten damp or wet or is infested with vermin? Consider that the environment, such as high heat, swinging temperatures, or humidity, can affect these supplies. Check them often, open a sample to ensure workability. There are few redos in an emergency situation.

Is the first aid supply or kit portable? If it is wall

Modern Issues of First Aid TrainingTreating an injured employee is one of the most unpredictable situations and hard to prepare for, so you have to plan for the worst in most cases while watching cost where you can.BY LINDA J. SHERRARD

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FIRST AID TRAINING


mounted and your victim is 200 feet away on the floor, there is a problem. Make sure the supply can be moved when needed to the injured person.

Todays first aid has to be ready for issues never thought of in years gone by. The good news is the industry has kept up and adapted, with an answer to every challenge of sanitation, PPE, documentation, communication, and portability required so far to meet the need. Treating an injured employee is one of the most unpredictable situations and hard to prepare for, so you have to plan for the worst in most cases while watching cost where you can. The good news is survivability has dramatically increased with fast treatment and appropriate training and team-oriented attitudes.

Our role as the safety leadership is to advise and assist in pre-vention through errors in judgment, in the board room, the ac-counting room, the training room, and the shop floor. We watch, we help, and we analyze to improve service to the extent possible, being proactive while knowing every injury could be much worse. First aid is one of the best programs any site can have and should be a showcase of our safety and emergency management success. We know bad things will happen; our job is to lessen the damage, and we have the tools and training to do that superbly.

Linda J. Sherrard, MS, CSP, is Safety Consultant II with the Central Prison Healthcare Complex, North Carolina DPS, in Raleigh, N.C. She is the former technical editor of OH&S. She can be reached at [email protected].

2015 OHS FIRST AID TRAINING PROGRAM CHECKLISTWhile no checklist is a substitute for a safety program, a checklist serves as a reminder of areas to focus additional attention as you strengthen your safety leadership role and a positive safety presence at the job site. Consider the following on your own or in discussions with employees or your safety committee:o YES o NO You have an effective safety program on site that ad-dresses the topic of accidents and injuries that can occur and related issues/stressors for employees.o YES o NO Upper management and your safety committee have identified and discussed potential injuries and injury history for your job site.o YES o NO Injury records and workers comp claims have been re-viewed to identify trends and potential injury reduction locations. (Con-sider more than money! What is the human suffering cost?)o YES o NO You have effective and adequate first aid supplies on site for anticipated injuries for your job site.o YES o NO A complete workplace assessment has been done for the type of industry and hazards that includes all tasks and targeted injuries, such as eye injuries, chemical exposures, radiation hazards, bloodborne pathogens, or new and emerging hazards that are just now being discovered.o YES o NO Each department/area has immediate access to first aid services and supplies for potential injuries, and the supplies have been evaluated for unusual situations, such as confined spaces, remote locations, or other high-hazard situations.o YES o NO Special attention is given to first aid supplies for unique situation and backups for these conditions. (One example would be communication methods for a confined space rescue/medical treat-ment that required extensive teamwork. All members of the team would have to have complete training not just on first aid, but also confined spaces and possibly other high-hazard situations, as well such as com-bustible atmospheres, etc.o YES o NO Your training records and recertification are maintained current. How are employees notified of retraining requirements?o YES o NO There has been a discussion on the ability to keep and maintain in-house training, as opposed to using outside training sourc-es. For example, extra costs of equipment, upkeep, supplies, 24-hour training services, etc. must be considered. Is it cost effective?o YES o NO Special attention is paid to sanitation efforts during training. How is this communicated to students? How is equipment maintained, inventoried, and kept in good working condition? Is it up-dated as needed and accessible to all shifts?o YES o NO Special attention to new and emerging issues is given during first aid discussions and training, including items such as MRSA, Ebola, correct waste disposal, notification of the health department, etc.o YES o NO All supervisors are apprised of liability of not maintain-ing adequate first aid supplies/kits and posting emergency numbers in their work locations. Is this regularly inspected and verified as in place?o YES o NO All training is done in a method that employees under-stand. For example, training is bilingual if needed? Deaf interpreters are present if needed? What about enabling visually impaired workers to summon assistance? Is this communicated to all employees and documented?o YES o NO Do you ensure employees understand the use of sys-tems for first aid training, such as hands on, video, CD, discussion, lec-ture, mentor, and skills training? Do you test?o YES o NO Do you maintain a positive safety leadership attitude and follow the rules on the job? Are you sure? (What would your em-ployees say about your attitude?)

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FIRST AID TRAINING

Robert Bo Hanna, an experienced first aid and CPR trainer, explains why this training should be part of ev-ery workplaces safety program and why having trained employees makes a workplace safer and more productive.

What is your background in first aid and CPR training?I have been training people in first aid and CPR for many years. As an instructor for the United States Air Force, I instructed teams in first aid and CPR, which they call self-aid and buddy care. While employed as a firefighter for the Boeing Aircraft Company for 25 years, I instructed the departments emergency medi-cal technician recertification training program. I was also an instructor for American Heart Association first aid and CPR training for Boeings aircraft manu-facturing employees throughout Washington State. Currently, I am a Training Center Faculty for Cascade Training Center in Seattle, Washington, and have been for a number of years. With Cascade, I have had the opportunity to instruct more than 100 courses for at least the last five years.

Why do you think its important for workplaces to include first aid and CPR in their safety programs?Its important for workplaces to include first aid and CPR in their safety programs because these skills help save lives.

The immediate treatment of an injured or sick em-ployee having a heart attack can make the difference between life and death. Not only do minutes count for injured or sick employees, but having trained first aid personnel ready provides peace of mind to the rest of the team. Knowing someone on hand is first aid trained should an event occurs reduces the stress level of all the employees and makes them feel safer. Trained personnel will attend to the sick or injured employee and control the scene. This will allow the remaining employees in the area to return to work and be pro-ductive. It has also been found that first aid trained personnel pay more attention to their surroundings and will be more likely to identify and correct unsafe conditions in the work area. Training helps prevent is-sues as well as manage events, should they occur.

What are some tips for safety and health professionals looking for a first aid and CPR program to implement?The program must provide basic and simple instruc-tions. First aid and CPR are not the employees main responsibilities. The curriculum needs to be basic enough that the employee will remember a few sim-ple steps for each or any emergency that occurs. The course must build psychomotor memory so the em-ployee does not need to think about what needs to be done, they just react. Practicing the basic skills within the course is essential.

When youve trained people, what are the most interesting questions or comments youve received?I have heard from many returning students that when an event occurred, their actions were nearly automat-ic. They didnt try to remember what they were told to do, they just did what made sense. After the event was over and they looked back on it, they had performed as they were instructed in the course. Comments like that are always gratifying to hear.

Sometimes people ask, Is it going to hurt some-body if I do CPR on them? Thats a very common concern. I tell them that if the person is not breathing,

Anyone Can Help Save a LifeKnowing someone on hand is first aid trained should an event occurs reduces the stress level of all the employees and makes them feel safer.

Lisa F. Young/Shutterstock.com

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FIRST AID TRAINING

the only thing thats going to hurt the person is you not doing some-thing. Any action is better than no action.

What are some things people are shocked to learn?My students are quite often surprised that just a little knowledge can make such a grand difference in the outcome of an event.

Have you ever had to help someone with first aid and CPR? What was that like?I have been in the first aid line of work since I became a volunteer firefighter at the age of 16. I have had events that turned out great, and I have had events I wish I could forget. You celebrate the ones that go well and you learn from the one that dont go so well.

I had the privilege of performing CPR on my father. When he left for the hospital, he had a pulse and was breathing. He later died at the hospital, but I knew I had done everything I could do to give him the opportunity to live.

What are some misconceptions people have about CPR and first aid?A common misconception is that first aid is difficult and you need an in-depth amount of learning experience to help someone.

Why are people afraid to learn CPR and first aid?They believe first aid is difficult and it is hard to be able to help someone in an emergency. Many students believe they have to be able to understand anatomy and physiology. They think they need to be big and strong. Really, anyone can help save a life. And every-one should know how.

How do you reassure people about learning CPR and first aid?First of all, I make sure they understand that while I may not be the smartest person around, I was able to learn and use first aid and CPR very successfully. I let them know they have been performing first aid their entire life on their self and family members.

Robert Bo Hanna has been training people in first aid and CPR for decades. He was an instructor for American Heart Association first aid and CPR training for Boeings aircraft manufacturing employees throughout Washington State. He is currently on the faculty for the Cascade Training Center in Seattle, Wash.

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A common misconception is that first aid is difficult and you need an in-depth amount of learning experience to help someone.

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FOOT PROTECTION

F inding the right safety footwear for your employees is extremely important to your everyday safety program. But, just as impor-tant to you and your ability to manage your safety footwear program is finding the right method of distribution and delivery for safety footwear to your employees. Today, more than ever, you as the safety professional have an assortment of delivery options available that can meet the corporate needs of just about any company. The real question today is which one meets your needs. There are five pri-mary methods of distribution and delivery for your consideration:

On-site (Shoemobile) ServiceThis method involves a mobile unit (a shoe store on wheels) that comes directly to your plant at prede-termined dates and times. The mobile unit will be inventoried with multiple brands and styles of safety footwear that you have approved and specified for your various job applications. Employees visit the mobile unit at a predetermined time. The mobile sales representative measures and fits each employee with the type of footwear that meets the specifications and requirements for their working environment, and which you have approved. On average, 90 percent of your employees will receive their footwear during the initial mobile visit. All required paperwork and docu-mentation is completed with the required signatures during the mobiles visit. This documentation is used to generate an invoice for that days mobile service.

Benefit: You are assured that employees are getting the type of safety footwear that meets your specifi-cations and requirements. The employee is properly measured, sized, and fitted and is provided specific instructions as required by OSHA under the OSHA 1910 PPE standards of how to don, doff, and main-tain footwear. To consider: On-site mobile service is the best and quickest method of distribution and de-livery. This is especially true when needing larger vol-umes of employees serviced in a minimal time period, while reducing your time of involvement.

Showrooms or Retail LocationsSafety footwear retail outlets may be located near your plants. Employees can go to the stores and select the styles specified by you. The retail staff should be in-formed and knowledgeable of your safety footwear requirements so that the correct style is issued to them when your employees come to the store. Either the employees can purchase the footwear or payment arrangements can be made through your payroll de-duction program or any other payment programs that you may have. Benefit: The employees can go to the

store on their time, be expertly sized and fitted, and be instructed on how to don, doff and maintain PPE. To consider: When reviewing the safety footwear pro-vider, make sure to understand whether store person-nel are fully trained and understand the directives of OSHAs PPE footwear requirements.

Website OrderingOrdering safety footwear online is an alternative de-livery method. Employees log on to a dedicated web-site and select their footwear. The footwear is then shipped. Customized website pages can be specifically developed to your requirements. Benefit: Ordering of the footwear is all done in one place. To consider: 1) Be sure the vendors website has a PPE section detailing PPE requirements and standards of how to don, doff, and maintain PPE and a way to explain it. 2) Make sure that employees have a way to measure their feet, because the return rate is considerably higher with website ordering due to incorrectly fitting footwear. 3) Make sure there is a flexible payment method to either pay online or through other payment programs provided by your company.

On-Site Consignment StoresThese are an efficient solution when your require-ments are nearly a daily occurrence. This allows you to control, distribute, and maintain an on-site inventory of safety footwear in an area similar to a tool crib. Your vendor will inventory and maintain the styles and sizes your personnel require. The inventory will be replenished based on actual sales in order to main-tain a sufficient level for your daily usage.

On-Site Commissary StoresThis method of distribution works well for consid-erably larger operations involving 1,000 or more employees. The safety footwear vendor would stock, man, and operate a shoe store on site on predeter-mined days and times that best service your employ-ees needs. This service can be provided on either a full-time or part-time basis. Your employees would receive the benefits of having full retail-type service at their disposal without having to leave the job site.

The best method of obtaining safety footwear for your employees could be a combination of the above elements. Understanding what a specific supplier can and cannot provide, and what their service limitations are, is critical to the success and overall performance of your safety footwear program.

Don Stallings is the National Accounts Manager for the HYTEST Safety Footwear Network in Rockford, Mich. Call 704-341-0777 for information.

Pros and Cons of Footwear Delivery SystemsBY DON STALLINGS

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RISK MANAGEMENT

U nderstanding the value of the employee as an asset and not an expense is essential in the development and implementation of a human capital risk management frame-work to protect and enhance the productive asset class known as Employee.

Risk management seeks to protect corporate assets and stakeholders, enhance and strengthen free cash flow, and safeguard balance sheets. Traditional focus has been on the protection of corporate assets, such as property, product, and brand, from risks includ-ing fire, flood, wind, earthquake, recall, professional negligence, and manufacturing. Modern risk manage-ment theory is focused on moving from a silo-centric division, unit, team, or process-specific methodology into an enterprise-wide platform. This corporate top down and bottom up strategy seeks to define, iden-tify, quantify, measure, mitigate, and manage the risks impacting assets and stakeholders. Lost in this global enterprise risk management movement are the recog-nition, identification, and treatment of human capital as an asset worthy of protection.

Assets are resources controlled by an organiza-tion from which economic benefits are expected to flow to the enterprise. The chief function of an as-set, either used individually or in combination with other assets, is to generate current and future cash flows to meet the needs of the organization and cor-porate stakeholders.

Seen here, the three major asset classes fundamen-tal to the existence of organizational value are finan-cial, physical, and intangible, which includes human capital, or employees.

Human Capital Asset Risk ManagementHuman capital is unlike other assets and is often over-looked as part of broader integrated risk management programs that traditionally focus on corporate physi-cal assets. On one hand, staff represents the single greatest potential asset to the enterprise. Simultane-ously, new and long-term employees represent the single greatest potential liability that an organization faces as it conducts its business.

While there are other intangible assets, human capital is the only intangible asset that can be influ-enced but never completely controlled, invested in wisely or wasted thoughtlessly, and still have tremen-dous value. These distinguishing features also make human capital a unique and elusive asset.

Employee assets are controlled by their employer and provide some level of benefit that flows to the en-terprise, either by themselves or in combination with other assets generating current and future cash flows. They provide services or produce goods that generate revenue for organizational stakeholders.

The common declaration that employees are our greatest asset is often long on hyperbole and short on substance, as all too often the realities of business get in the way and the productive value of employee as-sets is overlooked against a backdrop of production, expense, supply, and demand. This risk management methodology seeks to combine and extend the defini-tions, goals, objectives, and metrics of the corporate risk management program with the opportunities, hazards, and threats faced by human resources. Ad-ditionally, this framework seeks to create measurable improvements to enterprise-wide employee safety, health, and welfare while adding a significant level of economic benefit to companies.

Human Capital Asset Valuation Human Capital Risk Management strives to define, identify, evaluate, and manage risk that could impact employees performance and reduces or prevents them from accomplishing their part of the corporate mission.

Determining the value of tangible and intangible real and personal business assets is, for the most part, relatively straightforward. However the valuation of employees for purposes of analyzing the loss of use they represent is significantly more complicated, made all the more so by key factors including:

Lack of acceptance by businesses No standards as regards asset categories, defi-

nitions, employee type, and business size Varying methodologies reflecting cost, calcula-

tion, and measurement Lack of human resource accounting treatment

The Asset Value of EmployeesThe true value of employee assets cannot be standardized with a simple, flat ratio. Studies performed around the world have shown results vary.BY THOMAS F. HEIM

0415ohs_030_036_Heim_v3.indd 30 3/12/15 9:03 AM

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RISK MANAGEMENT


Concept is highly individualistic and tailored to a specific business entity

Lack of uniform data for analysisThe asset value of human capital is

closely tied to overall corporate productiv-ity and profitability measured in terms of hourly output and total output of goods and services. In the absence of employees or when employees usefulness is limited in some capacity, their value as an asset class is reduced because they are unable to create current and future cash flows at the level they are expected to perform in order to achieve a certain financial return.

The value of an employee asset can be decreased either temporarily or perma-nently based on the severity of a workplace or work-related loss event. Typically the costs of these injuries can be grouped into three categories: direct, indirect, and hu-man. There is no consensus regarding what each category comprises. Generally speak-ing, direct costs consist of components as-sociated with the treatment and repair of the injury, such as medical costs. Direct cost data are usually quite easy to obtain and do not require the use of special estimation

methods. Indirect costs are considered to be costs related to the lost opportunities for the injured employee, the employer, co-workers, and the community. They consist mainly of salary costs, administrative costs, and productivity losses. Compared with direct costs, indirect costs are usually more difficult to measure and are rarely insured.

Human costs relate to the value of the change in the quality of life of the worker and the people around him or her. While di-rect and indirect costs can be quantitative in nature, calculating the human cost becomes quite the exercise in socioeconomics. Hu-man costs also include a broad category of what are called hidden costs. These include tangible and intangible costs of accidents at work and work-related injury or illness that cannot be valued in monetary terms, in-cluding staff morale, overtime, downtime, corporate image, and customer relations.

Historically, the easiest and simplest way to measure the ultimate cost of an acci-dent that can be related to productivity was to multiply the actual direct costs by a fac-tor of 4 (Heinrich). This direct/indirect ra-tio says that for every $1 in direct expenses

there are going to be $4 in indirect expens-es. A $1,000 workers compensation claim would have another $4,000 of indirect ex-penses. Productivity and profit would be measured against the single $5,000 to de-termine the true cost to the company. This theory was first introduced in 1939 and up-dated again in 1959. Over the course of the next 30 years, this remained the predomi-nant theory.

Results have shown that there is no sil-ver bullet when calculating the asset value of an employee. The true value of employee assets cannot be standardized with a sim-ple, flat ratio. Studies performed around the world have shown results vary based on the following:

A range of outcomes (0.85 through 1.5) might be likely based on size of claim, severity of the case, industry type, national health and social security system.

The commitment and success of re-turn to work programs.

Company-specific accident at work analysis of short- and long-term expenses that can be applied to an employee by key component: people, environment, assets production, reputation, and society.

Post-employment Employee Health Risk Assessment to collect and benchmark company workforce data that can be used in conjunction with other tools to deter-mine and forecast the true costs of an em-ployee injury.

Employee Risk ManagementRisk management processes including En-terprise Risk Management have tradition-ally focused much of their efforts on defin-ing, identifying, quantifying, measuring, mitigating, and optimizing the hazards, threats, exposures, and risks faced by or-ganizations. An example of areas of signifi-cant risk that many organizations face, con-trol, and mitigate can be seen in Figure 1.

While enterprise risk management has

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CIRCLE 26 ON CARD


RISK MANAGEMENT

been tasked to protect and enhance corpo-rate assets, the management and mitigation of one of the largest exposures, employee asset risk, is mostly outside their entire pur-view, creating a paradox.

Expanding traditional employee health, wellness, and medical care management into a formalized employee asset risk man-agement framework is critical to the suc-cess of any risk or enterprise management program. Success requires a collaborative and open communication environment.

There needs to be a common platform of clearly stated, measurable goals and ob-jectives consisting of definitions, metrics, processes, roles, responsibilities, and own-ership that cross all organizational silos.

Employee risk management cannot be focused solely on risks arising out of and in the course of employment. Employee assets face exposure 24 hours a day, seven days a week: home, travel, play, and work. A claim that happens outside of work can just as likely result in the same amount of direct and indirect loss as one at work. Mitigating and managing these exposures

requires a cohesive action plan that aligns heretofore individualistic operational units, as depicted in Figure 2, into a platform that has a dual mandate to protect employees as corporate assets.

Organizations must be willing to set aside traditional silos of employee health and welfare and work to develop and im-plement a greater dialogue joining togeth-er traditional risk management, employee health and safety, and human resources in an integrated employee asset risk manage-ment framework. Only then will organiza-tions be prepared to manage the financial

strain that obesity, diabetes, hypertension, smoking, coronary heart disease, meta-bolic syndrome, age, and others have on corporate balance sheets and on stake-holders. Failure to act now may impact not only employees, but also the company at large with regard to productivity, prof-its, and performance.

Assessing Human Capital Risk and Cost DriversAn assortment of perils, hazards, threats, vulnerabilities, and risks can reduce the ef-fectiveness or value of an asset (including people) in part or in whole. Around the globe, various models are used by business to assess the impact a hazard has on a given asset at risk.

One common assessment tool is a busi-ness impact analysis and can be seen in Fig-ure 3. Prepared by the U.S. Federal Emer-gency Management Agency, this model determines overall impact of a hazard by measuring its probability and magnitude (severity) against the vulnerability of a particular asset at risk. The result (in this

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