OH&S Plant Regulations makeGood Business Sense

Robert EnchelmaierCapability By Design

Peter Kohler

Robert Enchelmaier

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OH&S Plant Regulations Are in place for a reason Represent good engineering practice Make good business sense

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?OH&S Plant Regulations - in place for a reason

What are OH&S Plant Regulations What is Plant Why did the Regulations come about When did they come into effect How do they work How do I find out more about them What are they designed to achieve

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What are OH&S Plant Regulations? National Standard for Plant NOHSC:1010 (1994)

Uniform code for the use of plant Performance-based (not prescriptive) Responsibilities of designers through to employees Process requiring demonstrable outcomes Signing of a “Safe To Use” Certificate

Associated State Acts and Regulations Variations in licensing Some States altered the responsibilities

Referenced Standards

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What is Plant? Machinery Equipment Appliances Implements Tools Furniture

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Why did the Regulations come about? Over 200 plant-related fatalities each year 65,000 - 70,000 plant-related compensation

claims each year $350 million in compensation payments Growth in OH&S regulation in OECD

countries Need for a national standard

Source: WorkSafe Australia, Economic Impact Analysis on the National Standard for Plant, February 1996

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OH&S Plant Regulations in effect

2000 ?

1995

1996

1994

1994

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How do the Regulations work? Workplace OH&S responsibility structure

Plant Designers, Manufacturers, Importers, Suppliers, Installers, Plant Users (Owners) and OH&S regulators

Outcomes Hazard identification and risk assessment Risk control Training Record keeping

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How do I find out more about the Regulations? www.worksafe.gov.au www.workcover.vic.gov.au www.workcover.nsw.gov.au www1.safetyline.wa.gov.au www.workcover.sa.gov.au www.detir.qld.gov.au/hs/hs.htm www.wsa.tas.gov.au www.nt.gov.au/wha www.act.gov.au

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What are the Regulations designed to achieve? A demonstrably safe work environment 24% reduction in fatalities & accidents $900 million reduction in compensation

payouts Improved business efficiency Indirect savings of $7.8b over 10 years

Source: WorkSafe Australia, Economic Impact Analysis on the National Standard for Plant, February 1996

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OH&S Plant Regulations - good engineering practice

What do the regulations require? How do these requirements differ

from good engineering practice?

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What do the Regulations require? Hazard identification and risk assessment Risk control Training Record keeping

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Hazard Identification and Risk AssessmentProcess

What plant do you have What do you want it to do What was it designed to do What is failure How critical is failure

Likelihood Consequences

Standards

National Standard for Plant NOHSC:1010 (1994)

AS/NZS 3931 Risk Analysis of Technological Systems - Application Guide

AS/NZS 4360 Risk Management IEC 61078 Failure Mode Effect Analysis US Military Std 882B System Safety

Programme Requirements AS/NZS 3907 Guidelines for

Configuration Management

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Risk control Eliminate the hazard Minimise the risk

Substitute with something safer Modify the design Isolate the plant Engineering controls (cut-outs, guards)

Back-up controls Administrative controls (Safe work

practices, signs) Personal protective equipment

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TrainingWhat, Why & How

Plant Intended and actual use Hazards and risks Safe work practices Personal protective equipment Pre-work safety checks

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Record keeping List of Plant Designed Use Actual Use Hazards associated with use Risk control measures Maintenance, testing, alterations A “Safe to Use” certificate signed

by the owner

Need for Systems

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List of Plant

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Plant Details

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Plant Regulation Requirements

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Designed and Actual Use

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HAZARD Analysis & Risk Assessment

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How does this differ from good engineering? Risk management Maintenance engineering analysis Pre-work safety

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Risk ManagementAS/NZS 4360 Risk Management: Define the Context Specify probability and

consequence criteria Identify and prioritise hazards Develop risk mitigation

strategies and tasks Implement Review and monitor

US MIL-STD 882C System Safety: Define the Context Specify probability and

consequence criteria Prioritize the hazards using a

hazard matrix Develop risk mitigation

strategies and tasks Implement Review and monitor

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Maintenance engineering analysisIEC 61078 Failure Mode Effect Analysis Focus is on what assets “do” or “their intended use” Failure is defined in terms of what the business wants

each asset to “do” Maintenance tasks are developed by understanding:

What the business wants each asset to “do” The hazards associated with each asset in the

delivery of what it “does” The likelihood of the occurrence of each hazard The consequences to the business of each hazard What needs to be done to reduce the likelihood

and/or consequence of each hazard

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OH&S Maintenance

Hazard AnalysisRisk Assessment

Risk Control

Health & Safety Efficient Plant Operation

CapabilityAssurance

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Good engineering practice One approach that delivers:

OH&S requirements Plant maintenance requirements Operating tasks (start, run, stop and

emergency) Plant instrumentation requirements

Simple Integrated Consistent Complete

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Plant, Operations and Maintenance

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OH&S Plant Regulations - good business sense Costs Benefits Opportunities

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OH&S Plant Regulations - the cost Employers Costs over 10 years

Hazard Identification $303M Risk Control $3,358M Training $903M Record Keeping $123M

Other parties costs not available

Source: WorkSafe Australia, Economic Impact Analysis on the National Standard for Plant, February 1996

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OH&S Plant Regulations - the benefits Reduction in fatalities and

injuries associated with plant Lower operating costs from

nationally uniform regulations Situation specific, not global

responses from performance-based regulations

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OH&S Plant Regulations - the opportunities Significant efficiencies with one approach, one system

OH&S Plant Regulations Plant maintenance

Consistency across all plant & people issues Safe to Use Efficient operation

Involvement of stakeholders Common language

hazards, risks, likelihood, consequences, control

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Introducing Assure™ OH&S Plant Regulations Maintenance Planning Analysis & Compliance demonstration Single- and Multi-User Windows 95, 98, NT Office 97, 2000 Audit, Premium & Professional versions Integration with commercial Maintenance

Management Systems In use in major projects

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Introducing Assure™ Audit against selected Standards Hazard Analysis Task Specification

Maintenance Operations Testing Training

Packaging of Standard Activities Pre-work safety check (Job Safety

Analysis) Production of Technical Manuals Data libraries

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OH&S Plant Regulations Are in place for a reason Represent good engineering practice Make good business sense

Thankyou

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Contacting CBD Phone: +61 2 9681 6334 Fax: +61 2 9681 6335 Email: kohler@tpg.com.au Post: PO Box 125

Granville NSW 2142Peter Kohler

Robert Enchelmaier