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Posted By J Geoff A Simpson
I work for an oil and gas company, presently I have a concern that as an organisation we do not have a feel for the costs associated with incidents/injuries -- it's not just the down time/time off, but all the costs associated with investigation, actions to prevent recurrence and so on. So as a starter for ten I'm thinking about applying a banded system to get a rough order of magnitude with respect to costs. So a near miss would be £a-b, a first aid injury £c-d, lost time injury £e-f and so on. My main reason for doing this is to be able to provide the 'chaps upstairs' with the cold hard costs of not getting safety right.
Does anyone out there currently use this approach and if you do would you be prepared to share it with me?
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Posted By Martin Forbes
Hello, yes we currently have a system in place that does that. What we call it is PONC (Price Of Non-Comformance) Unfortunately due to company policy i cant give out any of the documents as they are all bound with the company logo, however what wetake into consideration are split into 2 sections, customer costs and internal costs.
The internal costs include things like - any negotiated settlements with the customer, loss of revenue, investigation costs, facility costs, equipment costs, transportation costs, rework / repair costs and any additional costs/
The client costs consist of NPT (Non-productive time) and transportation.
We do this for EVERY incident no amtter how small and present it to management, as this is a reletaively new procedure we ahve yet to see the benefits of this, but we are of the belief that after a couple of years when they see health and safety costing hte company tens of millions, a few heads will turn.
Hope ive been of help
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Posted By Jeff Manion
Send an email and we will provide you with something to assist (MS excel spreadsheet).
JM
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Posted By Andy Brazier HSE did a study in the early 90's looking at the true costs of accidents. I believe it was published as HSG96, and I remember it being very interesting. I'm not sure if it is still available. However, if you enter 'costs of accidents' into the search on the HSE website you get some potentially useful links. In particular A leaflet giving some examples of the real cost of accidents http://www.hse.gov.uk/pubns/indg355.pdfA ready reckoner for calculating costs. http://www.hse.gov.uk/co...accident_costs_intro.asp
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