ISM Best Practices

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Dashboards and Control Charts

• ISM Best Practices
• Aurora, CO
• Dave Jackson
• September 2006

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The Hanford Site
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Introduction

• Fluor is making use of Leading Indicators in
  conjunction with Human Performance to perform
  work safely at the Department of Energy Hanford
  site
• Fluor is a leader in DOEs Voluntary Protection
  Program
• Fluor has achieved significant safety
  improvements 84 reduction in OSHA case rate
  from 1996 to 2005
• Use of leading indicators started in May 2004,
  since then we have achieved a 28 reduction of
  injuries

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Introduction

• A conjunction of Hard Side and Soft Side at
  Fluor

Technology
Psychology
ISMS and Systems Thinking
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Voluntary Protection Program

• Fluor is the leader in DOEs VPP Program
• 8 STAR Sites
• Simply complying with regulations is not
  sufficient for continual improvement
• VPP has helped to focus
• management and union
• efforts and teaming
• Leading Indicators fit in with
• worksite analysis

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Results
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Numerical Tools

• Use of Leading Indicators and Statistical Process
  Control has had a profound effect at Fluor
• Increases visibility to safety and production
  processes
• Helps to point the leaders in the correct
  direction to find improvement
• The Workers do understand the data they live
  the data!
• Integration of data and numbers with people

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Use (and Misuse) of Data
Great improvement July 2004 February 2005
!!! Alas, something obviously has gone wrong in
March. We jumped from 3 injuries to 13. The
injury rate increased more than 400!
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Moving Averages
Addition of a 12 month moving average shows us we
are actually improving! Or are we?
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The Hazards of Moving Averages

• A moving average simply compares the new datum
  point to the oldest. If the new point is higher,
  the moving average moves up if lower, the moving
  average moves down.
• There is no criteria for when to declare a trend,
  when to sound the alarm

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Addition of Color Coding
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The Hazards of Rainbow Charts

• The traditional color coded charts against
  numerical targets adds to the reaction to random
  noise
• Although we now have an alarm threshold, there
  are a high rate of false alarms against arbitrary
  thresholds

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Common Trending Errors
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Statistical Process Control
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SPC Description

• Data are plotted in time sequence
• Baseline average (center line) is added
• Upper and Lower Control Limits are added, 3
  standard deviations above and below the average
• UCL and LCL represent the expected range of
  variation in the data.
• Variation outside this range is circled (other
  rules are used in addition)
• See the Hanford Trending Primer at
  http//www.hanford.gov/safety/vpp/trend.htm.

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Technology and Psychology

• Even the most elegant charts and analysis will
  not cause something to happen
• Decisions and implementation made without data
  are likely to fail
• We must integrate Technology and Psychology
• Integrate the alphabet soup of programs and the
  data with the people

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Systems Thinking Concepts

• Pay attention to interactions more so than
  components (People to People, People to Machine)
• Knowledge of statistical variation more so than
  discrete numbers
• Long term focus more so than short term
• Cooperation more so than fear, blame and internal
  competition

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Jump Start with Leading Indicators

• Just what are leading indicators, anyway?
• Predictions of future?
• or
• A means to create a better future?

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Creating a Better Future

• We have gotten distracted by calls to predict
  future, delaying development of leading
  indicators
• At a low injury rate, little information exists
  in the outcome indicators
• Trending response time long at these low rates
• Use leading indicators to measure lower threshold
  data and activities
• Quickens trend response, reduces injuries and
  improves outcomes

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Leadership is Needed

• The control chart will help characterize the
  data.
• Many times the data will cry out for action to
  be taken.
• Leaders at all levels in the corporation must be
  willing to hear the cry, formulate the
  appropriate action, take the action, and
  determine the effect of the action.

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Our Current Leading Indicators

• Events - First Aid Cases, Occurrences, Near
  Misses
• Safety Inspections - Number and Score
• Employee Input Safety Concerns and Survey
  Responses
• Senior Management reviews
• weekly, and published by
• Project in Fluorboard

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Events
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Safety Inspections
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Employee Sentiment
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Results

• There have been recent trends that allowed
  management to stay ahead of issues
• OSHA Recordable Case Rate has dropped 28 since
  start of use (May 03 Apr 04 compared to Feb 05
  Jan 06)
• Finished 2005 with lowest OSHA Recordable Case
  Rate yet
• Allows focus on doing the right things right

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Correlations
Note Black line is OSHA Case Rate, Green line
is the Leading Indicators
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Correlations
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A Color-Coded Dashboard

• Integrated presentation for Leading and Lagging
  Indicators
• Combines the best of balanced scorecard with
  the best of SPC
• Better than rolling all data into one index
• Allows a Systems Approach looking across
  several indicators

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Red Yellow and Green
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Use of White

• Addition of White to the dashboard can be
  advantageous
• Use White (or Yellow) for one month away from a
  trend
• Use for stable at an okay level, but not superior
• Minimizes some of the push to be All Green
  while allowing for opportunities for improvement

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Click to see First Aid Chart at PFP
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Increasing Trend at PFP, Red Circled
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Lets look at CP DD
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What is the criteria for OSHA Recordable Case
Rate? Click Here
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Taking the Data to the People

• Senior Management receives weekly update of
  injuries and leading indicators
• Presidents Zero Accident Council includes
  presentation on the statistics
• Project and Facility level charts are provided at
  least monthly
• Annual Employee training includes a safety
  culture survey

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Improvement Model

• Identify Trends and take appropriate actions
• When stable, determine if results need
  improvement
• Involve all Employees in improvement
• Use Pareto Charts and Histograms to help with
  improvement initiatives
• Publicize the results

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Conclusion

• Integrating tools and methodologies such as
• Statistical Process Control
• Systems Thinking
• Hazards Control
• and Leading indicators
• With the People and Human Performance
• Will lead to success.