Safety and Health Management System Development - Research Paper Example

Safety and Health Management System Development That Achieves Management’s Objective Safety and health management programs are an important aspect in the corporate and organizational cultures (Urquhart 58). They accrue benefits to both the firm and the workers. The organization can provide safety and health facilities to the employees and enjoy long-terms less operational costs. Notably, a safe and illness free firm will cut costs on lawyers and compensation funds from the budget. Additionally, it will also ensure employee satisfaction that will lead to increased output in the long-run. Steps to be followed in the plan The plan will consist of different steps that will ensure collection of substation data that can be used to analyze the firm’s safety and health standards. The procedure will be based on the present resources that include XYZ’s financial statements, official documents, workplace analysis, and interrogations with some of the workers. 1. Assessment and data collection Various resources can be used to gather in-depth knowledge about the standards. The companys budget will be used to show the impact of low standards of safety and health at XYZ. Additionally, documents from external monitoring bodies such as Occupational Safety and Health Administrations (OSHA) will also provide information on previous ratings. The companys official safety documents will also be used for the assessment. Finally, a visual assessment will also provide data on the overall condition of the workplace. 2. Findings This step will deduct core standard from the collected data through an analysis. It will provide information on the condition of the firm and the some of the major problems based on safety and health maintenance. Finally, the results will be presented to Ms. Black and other members of the safety committee. 3. Recommendations Recommendations form the final step that will include the provision of ideas that can be used to change the current situation of XYZ. The safety committee will later review them to ensure perfection and positive impacts to the firms. They will also include a chance for more ideas to be incorporated by other members. Assessment of different resources In the case of XYZ, being the first safety will provide me with the chance to assess the company through various steps on its safety standards, create a report and later provide recommendations that will ensure enhanced levels of health and safety. The assessment will require different resources from the company that includes the following. Budget The company XYZ has an average of 300 employees that have the right to work in a safe place as stipulated in the corporate charter. However, a close examination on the budget shows that the organization has been incurring more costs due to increase direct and indirect accident charges. According to the financial statements, XYZ has incurred $216000 due to lost lawsuits regarding the safety of the workers. Based on other research, the firm has a higher rate of costs as compared to other businesses with improved safety programs. It has lost 8 cases, meaning that the lawyers found that it was the companys fault that the workers were not working in a safe environment. Additionally, an additional 16 non-lost cases cost XYZ a total of $ 112000. An analysis of the financial statements shows that XYZs safety records have led to the increased expenses that have been caused by different employee cases. It is also important to note that the firm has higher estimated losses for the year that add up to $984,000. Finally, XYZ has low-profit margins due to the high costs incurred by the human resource department. As a result, the firm has to increase its sales from the $3.9 to $9.8 m to cover the losses. Notably, the low safety standards in the company have led to a chain reaction that has affected the overall productivity of the firm. Despite the high sales that the company makes annually, it has to increase its output in order to cater for the losses in the human resource sector. Findings A close analysis of the budget and other financial statements show that the firm has higher expenses due to the consequences of a non-standard safety and health program. In the long-run, the expenses have affected the marginal production units. On the contrary, the firm can reduce the expenses by investing in up-to-date safety and health management standards that will ensure employee satisfaction. It may cost the firm installation fees, but there are long-term benefits that include reduced accidents and incidents in the firm. When it comes to profit maximization, there is a direct relationship between the number of accidents and the amount of profit. The higher number of safety issues the lower the amount of profits despite high sales. The relationship shows a decrease in the number of accidents will increase the profit share by a higher margin due to the increasing sales. Rating from Occupational Safety and Health Administration’s (OSHA) Since OSHA carries out frequent health and safety checks in organizations, the ratings can also be used as a vital resource for information on the firms standards. Its studies are based on different principles that have already been analyzed theoretically. ASHA has a wide coverage area of organizations due to its legal responsibility to take care of the working standards of the workers. It deals with private firms, local and state government, and federal government agencies. XYZ had its operations and plant checked in 2013 whereby it had to a rating of 22.2 based on total injury and illnesses case rates. The results explain that there was a high number of illnesses and accident caused injuries in the firm that have to be reduced. A comparison with other top rated firms shows that XYZ is over the recommended levels. Most firms have an injury and illness rate of less than five. Additionally, OSHA has rated the XYZ at 8.1 based on the Lost Workday Injury and Illness. The ratings depend on the number of lost workdays due to sick leaves due to safety-based accidents. The lost days have a larger consequence on the profit maximization strategies due to the number of lost man-hours by the firm. Bureau of Labor Statistics, (BLS) rates for XYZ, are 12.5 and 6.4 respectively. The results explain that the firm has an alarming rate of incidences and accidents as compared to the normal levels that are set by the Bureau. Findings The ratings from different safety and health management bureaus show that the firm has a high number of accidents. As a result, the accidents result to a chain reaction that caused the firm more cost due to the lost man-hours. Notably, the firm looses most of its funds through lawsuits, compensation, and a decrease in the number of hours that the workers need to work in the single shifts at XYZ. Its ratings also have a direct effect on the profits due to the increased expenses. Visual assessment Visual inspections include the monitoring and observing the workplace for signs and warnings on different hazardous situations (Clarke and Cooper 9). Despite XYZ being a secret facility, there is the need to inspect visually the firm due to various laws that support employee safety. The assessment will look at observable safety equipment in the firm. They include the presence of first aid kits, emergency exits, and fire extinguishers among others. They are the basic equipments that can be used to prevent accidents from happening or stop them before they reach catastrophe levels. There is no workplace policy that should be communicated to the employees and visitors to the firm. The policies should be used to serve as warning to individuals in the workplace at any time. They should prevent workers and visitors from getting into avoidable accidents such as tripping or hitting their heads on doorframes. Additionally, there are also health issues that can be checked on to reduce cases of illnesses at XYZ. For example, an assessment of the washrooms, the level of cleanliness in cafeterias and changing rooms. A review of the firm’s internal environment that includes the level of air freshness can also determined to help in the comprehension of some of the illnesses. Findings According to some of the ratings from OSHA, one can predict that XYZ does not meet the safety standards. There is lack of body protective material that prevents the workers from physical injuries. Those that are present have not been replaced and are worn-out. Moreover, there safety logs have not been regularly filled while safety equipments such as fire extinguishers have not been examined and their logs signed. Interviews with employs and use of official safety documents A look at the accident investigation reports will also provide information on the level of safety at XYZ. The reports include detailed information on why and how the accidents happened. Moreover, they also provide preventive measures to prevent future cases. The number of reports reflects the total accidents that have occurred at the firm in the past years. Other documents include the safety and health inspection logs, OSHA 300 log, and forms used to authorize safety changes in the firm. Findings XYZ has a major setback on its safety and health issues. Despite its recommendations from previous findings, the firm’s management has assumed the responsibilities mostly because of fewer cases in the following years. As a result, the standards have not improved and have led to the deterioration of its profits. Overall findings based on the company’s safety culture rate An analysis of findings from other assessments can rate XYZ as a firm in the ‘Nanny State’ (Eubanks). The category means that a firm has most of the common safety performances and equipments in its environs. It is the most common state whereby organizational standards are met, but the workers only perform best while under supervision. Nanny state companies such as XYZ adopt a system that focuses on procedures and policies that will ensure safety and health standards (Eubanks). Additionally the firm will also be aware of the high costs incurred due to safety mismanagement due to various financial reviews. The firm is not targeted at safety issues but on why the profit margins are getting smaller and smaller. The employees follow the simple safety and health rules but only when they are under supervision. Recommendations to the firm XYZ should embrace an instinctive safety culture, which is uncommon, but some of the successful businesses have already adopted the strategy. It includes a situation where employees are in charge of their safety procedures. Safety and health standard have been integrated into all business operations ensuring a safe workplace. Managers and supervisors do not have to preach safety in order for the workers to comprehend as found in XYZs case. XYZ should also actively involve its employees in safety and health discussions in order to present a balanced situation where decisions are made collectively (Clarke and Cooper 9). Notably, the corporate structure should not be solely involved in making the safety standards at the firm level. It should include worker decisions because they are the ones that face the machinery and other dangerous tools in the business environment. Moreover, XYZ should follow directives from external safety and health organizations such as OSHA to prevent legal issues. Such organizations have to make sure that worker laws are followed in all business environments. Recommendations from the accident reports should also be followed to enhance safety and prevent future accidents. The firm should reduce its expenses on lawsuits and other compensations by ensuring that the right safety standards have been adopted. The reduction of the number of accidents will lead to increase profit margins in the long-run. Investing in the right safety and health measures will be a win-win situation for XYZ. References Clarke, Sharon, and Cary L Cooper. Managing the Risk of Workplace Stress. London: Routledge, 2005. Print. Eubanks, Colleen. How Does Your Company’s Safety Culture Rate?. N.p., 2012. Web. 16 Apr. 2015. Osha.gov,. Directorate Of Cooperative And State Programs | OSHA Voluntary Protection Programs (VPP). N.p., 2015. Web. 16 Apr. 2015. Osha.gov,. Safety and Health Management Systems Etool | Module 2 - Overview Of System Components: Sample Safety And Health Program For Small Business. N.p., 2015. Web. 16 Apr. 2015. Urquhart, Jessica. Workplace Health and Safety Management Systems: D.I.Y Guide. Bloomington, IN: BalboaPress, 2011. Print. Read More