Proactive Loss Control with Corrective Actions

Loss Control through Corrective Action implementation is a, not unexpected, benefit of digitally transforming your business processes to improve data integration and collaboration.

DNV’s Systematic Cause Analysis Technique, also known as SCAT, is an effective and widely used technique that is pressed into service following a job site incident. It’s intent is focused on on-going control of losses that your company could incur following an injury event. In summary, the way it works follows a rigorous 4 step process: 1. Based on the Type of Event (ex. Struck against or Struck by or Overstress) from a list of 13 defined event types; 2. Determine the Immediate or Direct Cause Acts or Conditions (ex. Operating equipment without authority) that resulted in the event, from a list of 20 substandard acts and 20 substandard conditions; 3. Determine Basic or Root Cause Personal and Job-related Factors that underpin the selected immediate causes (ex. Inadequate Leadership and/or Supervision – unclear or conflicting reporting relationships), from a list of 8 personal factors and 8 job or system-related factors; 4. Review resulting Areas for Corrective Analysis, resulting from the root causes determined (ex. Planned Inspections and maintenance), from a list of 22 such areas for corrective analysis. Here, for your review, is a list of the Areas for Corrective action as defined in DNV’s SCAT:

As a manager, I would be hard-pressed to ensure that each of these actions – which are each accompanied by helpful clarifications like these:

are adequately managed for my team. Currently, processes for each of these are written in policy manuals and procedure documents, possibly with carefully drawn flow diagrams. However, that said, they are not a part of the way that things actually get done – witness the proliferation of ad-hoc spreadsheets that are not measured for standard content. New in-house and contractor staff do not get the right training in all of these areas. In fact, even trying to accomplish all of these loss control measures via training alone seems counter-productive. Instead, it makes more sense to ensure that the process is followed regardless of training attended or manuals read. How? By providing teams with apps that have these loss control measures and business processes built in. Training and evaluation and sign-offs would all be accomplished per the defined process. You would have 100% compliance. Can you achieve that with your current setup?

Getting to Proactive

Plan on getting to your objective in a considered, incremental way – not all at once. Organic evolution of your digital transformation is a good, and low cost, way to ensure that benefits are obtained incrementally. These benefits help to spur additional improvements that then trigger more benefits in a virtuous cycle of improvement. Pick one corrective action and equip your team, with an app, to ensure that they are compliant in executing the work expected of them each day. They will be happier that they are being measured to a consistent standard, and management will be happier that standards are being followed. And that loss is controlled.

I’d be interested to hear how loss control is being addressed in your company or department. Is it relegated to being solely the domain of the Health, Safety and Environmental Manager (HSE or SHE or EH&S)? Is this process only rolled out reactively, after an incident? Or is it baked into the DNA of your business process?