MBiz | Winter 2021

TOP 5 DRIVERS OF SAFETY RETURN ON INVESTMENT (ROI) For many businesses, workplace safety is a nagging worry. Compliance can feel like an uphill battle that drains time and money. Owners want their people to be safe, but they are often not confident that their workplace safety risks are covered, especially since there is insurance for the legal and financial issues if something goes wrong. The Solution: The Top 5 Drivers of Safety Return on Investment (ROI) The same things that drive safety ROI also build a solid foundation for moral and legal due diligence. Businesses that implement these top five drivers, will soon be feeling the peace of mind knowing that people are protected, and workplace safety efforts are contributing to the company’s bottom line. Not only that, but you will be also attracting and keeping the best employees and customers! DRIVER #1 Management, Leadership, and Commitment. One is not effective without the other. Management can be totally committed, but if employees follow blindly or are not involved, problems will only be solved temporarily. Management must first understand how effective safety management as a driver of overall business performance can be. Honestly assess your credible risks and your commitment to workplace safety and health. DRIVER #2 Processes standardized for the 20% of the work that gives rise to 80% of the greatest risks. Most businesses waste time and money resourcing unimportant safety measures. In a well-planned safety system, 20% of your effort produces 80% of your risk management results. DRIVER #3 A Robust Management System Framework built on a foundation of internal responsibly. Well- run businesses build systems, and your business cannot scale without them. “ Only 15% of your company’s problems can be controlled by individual employees , while 85% can be controlled only by the management system . Most loss control problems are management system problems . ” – Dr. W Demming. DRIVER #4 Systems to capture and manage leading and lagging indicators (predictors of future losses) In an environment of keen competition and low profit margins, learning from incidents, and implementing corrective action can contribute more to your profits than your organization’s best salesperson. Minimizing loss is as much an improvement as maximization of profit.

WINTER 2021