The Next Step Change in Construction Safety Performance

1 Theme:Year:Date:Location:NoThe Next Step Change in Construction Safety PerformanceLEADERSHIP, DIVERSITY AND INNOVATIONDec. 12-142017 Boca Raton, FL49 Theme:Year:Date:Location:NoJeffery P. ZagoneThe Dow Chemical CompanyTechnical Expertise and Support TESS enior Construction LeaderMarc Younis, Research and Engineering Technology Sponsor -Project SSH&ELEADERSHIP, DIVERSITY AND INNOVATIONSept. 6-92017 Boca Raton, FL49 Thomas H. CollinsS&B Engineers and Constructors, President & COOM ichael Acuna, CSPKBR Americas RegionSenior Director of HSSEThis purpose of this session is to engage the Teams input to influence continuous improvement in creating safer Work Environments. Panel Presentations will focus on the Industry Best Practices which InfluencesBest-In-Class Safety Performance . Actions taken by the Owner & Contractor Project Leadershipto Develop a Robust EHS Culture Learn how to establish & maintain a CULTURE of No One Gets Hurt that positively engages team members, their families, and improves the projects EHS moral and Performance .

2 Use of validated EH&S Best Practices that deliver an incident free work place The Next Step Change in Construction Safety Performance The Next Step Change in Construction Safety PerformanceSlide 4 Where Should We Spend Our Effort?Team IntegrationDevelop & Empower TeamsAssess the Implementation of Best PracticesSelect Effective LeadershipSkill Assessment and TrainingPersonal InteractionSafety CommunicationThe Next Step Change in Construction Safety PerformanceLeading IndicatorsHow Do We Get to the Next Step Change in Safety Performance ?Slide 5 Move to the Next Step Select Project Leadership that have the Ability and Compassion to Develop the Culture of No One Gets Hurt Measure Leadership Engagement : Coaching Intervention Recognition Training Assess Implementation of Safety Best Practices By the Owner and Contractor Management Budgeting and Supporting Resources That Will Influence the Project s Safety Culture The Challenge Fatalities on Gulf Coast Projects Are An Unfortunate RealityOur Construction Team Members Will Not All Come with the Same Robust Commitment for a Culture of No One Gets Hurt The Next Step Change in Construction Safety PerformanceMarc YounisActions Taken by the Owner & Contractor Project Leadership to Develop a Robust EHS CultureThe Next Step Change in Construction Safety PerformanceWorkers cannot be pushed , they need to be pulled (by example)

3 Leadership requires personal commitment before you can build workforce commitmentWhat Defines Safety Leadership Characteristics of Safety Leaders Demonstrate Commitment Highly Visible Develops Trust Connecting Effective CommunicationsThe Next Step Change in Construction Safety PerformanceCascading Safety Leadership Safety Leadership Matrix ( Take Time for Safety )The Next Step Change in Construction Safety PerformanceD Daily W Weekly / Number indicates amountM Monthly / Number indicates amountA As appointedAttend Safety Steering Team MeetingsM1M2M2M1M2M1AM1M2M2M1M2M1 ADeliver Management message at onboarding OrientationW1W1W1W1W1W1W1W1 Leadership Safety Walkthrough with EM and Contractor / Sub-Contractor(s) counterpartW1W1W1 AAW1AW1W1W1 AAW1 AAttend Contractor JSA / Toolbox MeetingW1 DDDDW1DW1 DDDDW1 DParticipate in a Project Field & Office Observation ProgramW1W3W3 DDW3DW1W3W3 DDW3 DComplete and document Field Last Minute Risk Assessment (LMRA) discussion W1W3W3 DDW2DW1W3W3 DDW2 DActively participate in Project Safety Recognition programW1W1W1W1W1W1W1W1W1W1W1W1W1W1 Participate in a Start-of-Day meeting with EM and Contractor / Sub-Contractor counterpartDDDDDDDDDDDDDDC omplete Housekeeping Quality AssessmentW1W1W3W3DW1DW1W1W3W3DW1 DSHES ManagerProject DirectorSub-Project SHE Leads / AdvisorsProject ManagersConstruction Coordinators / Construction FLSC onstruction Managers Safety Leadership Matrix (Note.)

4 Specific activities b elow are scalab le and can b e amended to meet project program / processes)SHES ManagerProject ManagersConstruction Coordinators / Construction FLSC onstruction ManagersField Safety Team and SHE AdvisorsProject DirectorProject TeamContractor Project TeamsField Safety Team and SHE AdvisorsSub-Project SHE Leads / AdvisorsDefines Management, Construction & Safety staff engagement accountabilitiesIncorporates all Safety program elements (transactional)Focused on workforce field engagement & tool quality assessment processes JANUARYFEBRUARYMARCHAPRILMAYJUNEJULYAUGU STSEPTEMBEROCTOBERNOVEMBERDECEMBERSSHE ManagerProject DirectorSub-Project SHE Leads / AdvisorsProject ManagersConstruction Coordinators / Construction FLSC onstruction ManagersSafety Leadership Matrix ScorecardSSHE ManagerProject ManagersConstruction Coordinators / Construction FLSP roject / Field EngrsConstruction ManagersField Safety Team and SHE AdvisorsProject DirectorProject TeamContractor / Sub-Contractor(s)

5 Project TeamField Safety Team and SHE AdvisorsSub-Project SHE Leads / AdvisorsRecognize / counsel Performance against metricsPromoting Safety Leadership Effectiveness Leading Indicators Focus Hurt Free Approach vs Treatment-based classifications Treatment-based Model Incidents based on treatment provided Shortcomings Excludes potential injury severity Can be perceived focus on minimizing recordables rather than injuries Hurt Free Approach Events based on actual injury severity Descriptive of true human impact Consistent assessment of injury severity Hurt Free Diamond Approach Events based on actual & potential impact Initial implementation in 2006 (EM Drilling); Corporate-wide in 2016 The Next Step Change in Construction Safety Performance Leadership with the Hurt Free Approach Supports and drives a Caring About People culture Enhances incident reporting transparency Promotes critical thinking, consistent assessment of potential injury severity Does not allow metrics to drive the culture Hurt Free promotes ownership by the workforce Preventing hurt naturally resonates with people Aligns focus on at-risk behaviors / conditions; particularly high risk exposures Enhances recognition on successes.

6 Greater focus on learningsHazard Elimination Focus and Injury PREVENTION AHL = Actual Hurt Level PHL = Potential Hurt LevelAHL0: No HurtAHL5: Multiple FatalitiesAHL4: FatalityAHL3: Life AlteringAHL2: ModerateAHL1: Minor PHL 3+DiamondPHL < 3 Count including injuries and near misses0 /00 /00 /00 /30 /72 /470 /21 /1599 /312 Hurt PyramidMonth/ PTDT homas H. CollinsLearn How to Establish & Maintain aCULTUREof No One Gets Hurt that Positively Engages Team Members, Their Families, and Improves the Projects EHSM orale and Next Step Change in Construction Safety PerformanceWhy is a Positive Safety Culture Important? Opportunity for Employees to Own the Safety Process Influences Beliefs, Values, and Behaviors Builds Trust and Caring Relationships It s the GPS for Making Right Choices It Drives Their Want To It Promotes Accountability It s our obligation!The Next Step Change in Construction Safety PerformanceSuggestions for Creating a Positive Safety Culture Vision Passion Integrity Transparency Relationships Empowerment Effective Communication Encourage the HeartThe Next Step Change in Construction Safety PerformanceUse of Validated EH&S Best Practicesthat Delivers an Incident Free Work PlaceMichael AcunaThe Next Step Change in Construction Safety PerformanceExecuting The Next Step Change with Best Practices Contractor Selection Coaching, Counseling and Discipline HSSE Communications Skills Competency and Assessment of Crafts Orientation & Training Pre-Task Planning Incident Management Promotion & Recognition Audits, Inspection, & Monitoring Key Leading and Lagging Performance Indicators In Order to Bring Forward the Next Step Change .

7 It is Essential for the Owner and Contractor to Develop and Implement a EHS Professional Resource Plan EHS Resource Ratio for Owner and Contractor ManagementoProject Experience has proven a 1 to 300 Owner / Contractor Senior EHS Professional, per Direct Field Labor HeadcountoManaging the Best Practices Requires these Additional Resources to support Project Management with Leading Indicator Data, Assessment and HSSE Management + Transformational LeadershipThe Next Step Change in Construction Safety Performance Executing The Next Step Change with Best Practices KBR Results of a Successful Next Step Change Collaboration -Operators & high stakes. Knowledge -Share what you Safety secrets Leadership -Strong & Sustainable Leadership is critical Simplification & Standardization -Efficient, Quality, High Impact One consistent message & vision -Zero is Potential RateKBR TRIRIOGP Top QIOGP Average7-Year TRIR Performance7030% of Days -2016 Zero Harm AchievedZero Harm Not Achieved7624% of Days -2017 Zero Harm AchievedZero Harm Not Achieved16710536020406080100120140160180 Recordable Incidents201520162017 YTDThe Next Step Change in Construction Safety PerformanceSlide 16 Allocate Budget for EHS Management Team supporting the Project Team EHS Manager does not report to the Project Manager Both Roles report to the next level Manager Ratio for EHS Managers (Owners and Contractors)

8 1 to 300 Owner Project Leaders and Construction Company Leaders Align as One Leadership TeamThe Next Step Change in Construction Safety Performance The Way Forward The Next Step Change in Construction Safety Performance Leadership Focus on Leading Indicators - Hurt Free Approach Leadership Presence in the Field will Influence Work Practices Positive Reinforcement of Desirable Behaviors Intervention on Unsafe Acts Use of EHS Best Practices (See the ECC APP) Do You Accept Your Companies Current Level of Safety Performance ? Are Willing to Lead your Company to the Next Step Change in Safety Performance ? The Next Step Change in Construction Safety PerformanceIn ClosingThis Opens the Session to Questions