Enform 2015 COR Program Report for WorkSafeBC. EDITION» #1 REVISED» February 24, 2016 RELEASE DATE»

Transcription

1 Enform 2015 COR Program Report for WorkSafeBC EDITION» #1 REVISED» February 24, 2016 RELEASE DATE»

2 ENDORSEMENT This document was developed by industry for industry. Enform gratefully acknowledges the support of the endorsing organizations in the development of this document. Canadian Association of Geophysical Contractors (CAGC) Canadian Association of Oilwell Drilling Contractors (CAODC) Canadian Association of Petroleum Producers (CAPP) Canadian Energy Pipeline Association (CEPA) Explorers and Producers Association of Canada (EPAC) Petroleum Services Association of Canada (PSAC) ABOUT ENFORM Enform is the upstream oil and gas industry s advocate and leading resource for the continuous improvement of safety performance. Our mission is to help companies achieve their safety goals by providing practices, assessment, training, support, metrics and communication. AVAILABILITY This document as well as future revisions and additions, is available from: Enform Canada Street NE Calgary, Alberta T2E 8N4 Phone: Toll Free: Fax: Website: ACKNOWLEDGEMENT Enform gratefully acknowledges the many individuals who volunteered their time and effort to complete this document. DISCLAIMER This document is intended to be flexible in application and provide guidance to users rather than act as a prescriptive solution. Recognizing that one solution is not appropriate for all users and situations, it presents generally accepted guidelines that apply to industry situations, as well as recommended practices that may suit a company s particular needs. While we believe that the information contained herein is reliable under the conditions and subject to the limitations set out, Enform does not guarantee its accuracy. The use of this document or any information contained will be at the user s sole risk, regardless of any fault or negligence of Enform and the participating industry associations. COPYRIGHT/RIGHT TO PRODUCE Copyright for this document is held by Enform, All rights reserved. Enform encourages the copying, reproduction and distribution of this document to promote health and safety in the workplace, provided that Enform is acknowledged. However, no part of this publication may be copied, reproduced or distributed for profit or other commercial enterprise, nor may any part be incorporated into any other publication, without the written permission of Enform.

3 Enform»2015 COR Program Report for WSBC i Table of Contents Executive Summary... 2 British Columbia Operations... 5 Safety Audits and Certifications Department Structure Accomplishments... 8 Looking Forward Financial Statement In Closing... 14

4 Enform» 2015 COR Program Report for WSBC 2 Executive Summary The Enform Safety Audits and Certifications (SA&C) department is pleased to present the following report that highlights our Certificate of Recognition (COR) service delivery achievements in British Columbia (B.C.) in Amid significant changes to the industry over the last year, our commitment to safety remains strong at Enform and the organizations of our clients, members and partners. As our clients scaled back their operations and spending in response to the downturn, Enform responded in a variety of ways. In an effort to support industry and continue to provide accessible training to workers, Enform issued a 15 per cent discount on all courses starting October 1, 2015 through December Enform s B.C. office was conscious of reducing expenditures, including office costs, as training was down by 57 per cent. The proposed operating budget for 2016 BC operations has been reduced by 20 per cent as recommended by the Enform BC Advisory Committee. Enform s SA&C department also scaled back, spending less on ancillary functions such as marketing programs for the COR program in B.C.. While balance sheets may fluctuate, our commitment to our vision of no work-related incidents or injuries in the Canadian oil and gas industry remains. COR program participation remained steady in 2015, which is an indicator of industry s dedication to safety through the implementation and maintenance of a provincially compliant health and safety management system that promotes a proactive culture of safety in the workplace. The following is a short list of the 2015 B.C. COR program highlights: 318 companies with a COR certification (11 or more employees) 252 companies with a SECOR certification (10 or fewer employees) 22 companies with Return to Work (RTW) certification 42 new B.C. employers registered with Enform for their COR certification 22 Certified External Auditors in B.C. 541 B.C. audits were performed and submitted for quality assurance review This year, we dedicated our resources to four primary areas: 1. Program Enhancements and Resources 2. Managing Transitions 3. Quality Assurance 4. Auditor Resources for Continuous Improvement

5 Enform» 2015 COR Program Report for WSBC 3 The following subsections outline the highlights from each area. See the enclosed report (2015 Accomplishments on page 8) for further details. Program Enhancements and Resources Our clients are diverse. This year we focused on enhancing the delivery of COR and SECOR services and programs to meet the varying needs of our customers in B.C. Enform s SECOR clients enjoyed significant, cost-saving enhancements to the program through the new SECOR Online Audit Registration System and Submission System. The more comprehensive submission process creates cost-savings and efficiencies through instantaneous communication, proactive identification of potential gaps in the submission and shipping cost savings. Enform s COR clients now enjoy a more customized match with auditors who are experienced with their individual lines of business. In 2015 Enform made significant enhancements to the External Auditor List, allowing auditors to provide more specificity of detail on their experience including geographies served, types of audits and sizes of employers served. Managing Transitions Some changes introduced in 2014 continued to drive forward in 2015, requiring the dedication of resources by the SA&C department to help manage and troubleshoot the natural challenges that arose with wider implementation. The SECOR Audit Protocol was piloted in 2014 but became mandatory last year, resulting in wider scale adoption and a heightened need for client support. To ease the volume of assistance requests, the SA&C department introduced and communicated additional resources, such as the How-To Video Series which provided a detailed overview of the SECOR Audit Protocol, and further assistance with the action plan application and the submission process. Quality Assurance Providing valuable feedback and insight to Enform on auditor performance and audit process issues, six On-Site Audit Reviews (OSARs) were conducted in As well Enform conducted one WorkSafeBC Initiated Verification Audits (WIVAs). There will be an additional eight WIVA s slated for Auditor Resources for Continuous Improvement Drawing on the valuable insight the OSARs and WIVAs afford, the SA&C department developed an Auditor Ethics Online Course in 2015 to target specific recurrent themes of ethics concerns identified among Enform COR auditors. With an aim to create greater awareness of auditor expectations, and reduce the incidence of unethical procedures among the Enform s auditors as a whole, this course is currently in development and will be rolled out in Q2 of 2016.

6 Enform» 2015 COR Program Report for WSBC 4 Additionally, Enform revised the COR protocol Guidelines to provide greater clarification on auditor expectations, thereby increasing the consistency and credibility of the audit review process. Beyond the integrity of our own internal auditing and review processes, we also push our clients to reach new heights in safety performance. In 2015, an additional area of focus was Formal Hazard Assessment, which was a recurrent theme of weakness among our small employers as evidenced by outcomes of the SECOR program audits. As Formal Hazard Assessment practices set the foundation for proactive safety practices, Enform prioritized and addressed this issue by way of Formal Hazard Assessment Workshops for individuals charged with maintaining the health and safety systems of small employers. Receiving consistently positive feedback, these workshops are demonstrably increasing employers understanding of what needs to be in place for a robust, effective and proactive health and safety system. Going forward In 2016, The SA&C group will continue to build on the work of 2015, namely through the provision of resources that drive the ongoing evolution of safety programs and practices in the oil and gas industry. In response to industry challenges, reducing the cost of auditing will be explored and new programs will be launched, including the Small Employer Outreach Program, created with an aim to increase the assistance to small employer s and the success of their audit submissions. As well, Enform will continue to look inward at the organization s own practices by continuing to build on our own Quality Management System. This is just one extra step that empowers Enform and its staff to not only serve as a certification provider but also a model and true champion for health and safety best practices in everything we do.

7 Enform» 2015 COR Program Report for WSBC 5 British Columbia Operations While the COR program in B.C. experienced a growth trend since 2004, due to the economic downturn, that growth has recently leveled off and remained steady in Enform s Fort St. John office has an internal auditor on staff who provides direct support to clients who have questions about the COR (11 or more employees) and SECOR (10 or fewer employees) programs and protocols. This auditor also provides valuable knowledge when speaking directly with employers. On December 31, 2015 Enform B.C. had 318 COR holders and 252 SECOR holders for a total of 570 companies holding certification. The following graphs show how these numbers compare to other provinces. Enform currently manages the activities of close to 500 certified health and safety auditors. Forty-nine internal auditors and 93 external auditors conducted audits in B.C. in In 2015, Enform COR and SECOR holders will be receiving just over 3 Million in WCB rebates through WorkSafeBC s Partners in Injury and Disability Prevention Program. This amount includes the rebates for the Injury Management/RTW audit program. The rebate dollar amounts for previous years are as follows: Rebate Year British Columbia Rebate Dollar Amount Year 2007 $740, Year 2008 $1,600, Year 2009 $1,700, Year 2010 $1,982, Year 2011 $2,539, Year 2012 $2,242, Year 2013 $ 2,740, Year 2014 $3,057, Grand Total $16,602,393.63

8 Enform» 2015 COR Program Report for WSBC 6 British Columbia Committees At Enform we take pride in our roots which are best represented by the phrase by industry for industry. We are leaders in facilitating industry collaboration and as the Certifying Partner for the COR program, we work with industry associations, government and subject matter experts who have real life industry experience to ensure that the needs and challenges within the oil and gas industry are addressed. Enform receives direction and guidance on the COR program from the following committees: WorkSafeBC Certifying Partner (CP) Group: The CP group brings together all of the industries that administer COR programs in British Columbia. The CP group meets quarterly and establishes sub-committees and/or working groups when required. Enform is an active participant in all CP committee meetings and working groups. Enform Advisory Committee (EAC): As an advisory committee, the EAC provides input, counsel and recommendations in the areas of health, safety and training in the upstream oil and gas industry. Enform BC Advisory Committee: Initially formed in 2013, the Enform B.C. Advisory Committee delivers B.C.-based industry recommendations on performance improvement and how to enhance safety culture. The committee is comprised of both local and regional representatives of the six major oil and gas associations, local employer representatives, as well as WorkSafeBC and Enform staff. Committee members work in collaboration to formulate forward-thinking strategies to meet the goals, expectations and challenges facing workers in the upstream oil and gas industry in B.C. The committee met four times in Annual COR Standing Committee: In 2015, the committee met on October 21, The committee is made up of industry and government representation and was established to guide Enform on important COR initiatives, including audit protocol redevelopment. This committee meets annually during the last quarter of the year.

9 Enform» 2015 COR Program Report for WSBC 7 Safety Audits and Certifications Department Structure The Safety Audits and Certifications Department (SA&C) is made up of twelve full-time employees along with casual term/consultant positions. The current SA&C department structure is illustrated below:

10 Enform» 2015 COR Program Report for WSBC Accomplishments 2015 was a year of client focus and customer service. Our clients are diverse and as a service focused organization, we continuously work to ensure our COR and SECOR programs are meeting our clients diverse needs. In 2015 we enhanced delivery of the COR and SECOR programs, assisted clients with the resulting transitions, and ultimately evolved and rolled out much of the work done in 2014 to wider internal and external audiences. PROGRAM ENHANCEMENTS AND RESOURCES SECOR Online Audit Registration and Submission System Enhancing the client experience through streamlined processes and cost savings was the goal that drove this initiative. Enform launched the SECOR Online Audit System allowing small employers to complete their annual evaluations electronically and save on shipping costs. In 2014 the program saw a successful pilot launch and in 2015 our focus was rolling the program out and managing all the technical challenges and questions that arose along the way. Last year we had 233 of the 878 small employers take advantage of the new online submission process. External Auditor List The diversity of our auditors and their experience will now better serve the diverse needs of our clients. The External Auditor List Enhancement initiative that began in 2014 saw continual enhancements and updates in 2015 largely in response to Enform s active solicitation of industry feedback in the October 2014 Annual COR Protocol Meeting. Thanks to these updates, companies will now be able to select auditors that are more experienced with their line of business. The external auditor list was upgraded to allow auditors to include information on their auditing experience, including provinces served, audit types, sizes of employers they have audited, and much more. The new list is now more interactive, allowing employers to perform searches based on a broad range of criteria. The auditors have the capability to update their information on demand through their My Enform profile. MANAGING TRANSITIONS SECOR Audit Protocol Mandatory Adoption in 2015 Greater efficiency and due diligence to the overall audit process was advanced in Last year the SECOR Audit Protocol became mandatory for all small employers after a successful launch and pilot of the system in Our work in 2015 was largely focused on rolling the protocol out to all SECOR employers, providing guidance, communicating resources (see the How-To Video Series further below) and managing the natural challenges that came with the wider uptake and transition to the new system.

11 Enform» 2015 COR Program Report for WSBC 9 While the new protocol increases efficiency and simplifies the audit process as a whole, there are also new up-front steps to the process, requiring the employer to include assessor notes that call for higher due diligence through detailing the components of their submission. These steps also ensure employers know the documentation requirements of the reviewers. The digital information gathered through this process makes the SECOR audit protocol more comprehensive to assessors and companies and allows for a clear and concise comparison of the company s safety management system against the industry benchmark. Marketing the How-to Video Series In 2015, we increased our capacity to assist clients through the power of video. With the COR and SECOR protocol changes of 2014/15, Enform acted on the need to market and communicate the resources available to further assist companies and auditors in making those transitions. Including an overview of the SECOR Audit Protocol, and further assistance with the action plan application and the submission process, the How-to Video Series was more actively promoted in 2015 through links in various communications vehicles, monthly reminders, and feedback in company audit reviews. QUALITY ASSURANCE Onsite Audit Reviews (OSAR) and WorkSafeBC Initiated Verification Audits (WIVA) Through ongoing Quality Assurance (QA) best practices, Enform is able to maintain the high standards and integrity of the COR and SECOR auditing process on which clients and regulators rely. Accordingly, Enform regularly conducts On-Site Audit Reviews (OSARs), which are independent evaluations of the fieldwork of Enform s certified external auditors. Enform conducted six OSARs in B.C. in 2015 and one WIVA. The OSARs ensure all potential safety issues are effectively identified through an independent evaluation of the work performance of certified auditors conducting audits for employers who are seeking COR certification. They also give us the opportunity to identify any emerging issue trends across Enform s client base, such as the Formal Hazard Assessment process, which Enform was able to address with the aforementioned Formal Hazard Assessment workshops. Onsite Audit Reviews (OSAR) Summary Applicable auditors were contacted and asked to provide written explanation of the criteria used for the audit process, findings, and scoring. The employer was provided a summary of questions to compare against their existing program to ensure evaluation and assessment was conducted as required. Auditor Follow-Up: Four of the auditors had no issues identified that required follow-up. Two of the auditors had minor issues that required follow-up. The auditors were

12 Enform» 2015 COR Program Report for WSBC 10 provided coaching related to the OSAR findings. The final auditor s discrepancies were resolved in communication with the auditor and employer. WIVA Audit Summary Can-AM Geomatics B.C. CORP During the course of the WIVA, Enform took the opportunity to coach the company representative on their formal hazard assessment system, Inspections, H&S Hazard Controls, Engineering Controls and On the Job Training. An Executive Summary was provided to the company with three (3) strengths and six (6) recommendations provided as a guide to improve on the current safety management system in place. Enform contacted the employer to go through the Executive Summary and discuss the company s strengths and recommendations. Suspended Auditor Report January 1, 2015 December 31, 2015 Suspended Auditor Summary Report From January 1, 2015 until December 31, 2015, the following auditors were suspended: Glen Trefanenko (May 14, 2015) auditor was suspended for one year as a result of templating multiple reports.

13 Enform» 2015 COR Program Report for WSBC 11 AUDITOR RESOURCES FOR CONTINUOUS IMPROVEMENT Auditor Ethics Online Course Auditor ethics are a cornerstone to the integrity and credibility of Enform s COR program. In 2015 the SA&C department developed the content for an Auditor Ethics online course to target specific recurrent themes of ethics concerns identified among a small portion of Enform COR auditors. Infractions may include fewer site visits, manipulating data to influence findings, cutting corners or boilerplating (copying audit content from a previous year and using it for that same company s audit in the present year). With an aim to create greater awareness of auditor expectations, and reduce incidence of unethical procedures among the Enform s auditors as a whole, this course is currently in development and will be rolled out in Q2 of COR Protocol Guidelines Revision We empower our auditors to be effective evaluators of companies health and safety practices. In 2015 Enform revised the COR protocol guidelines to provide better clarification on auditor expectations and thereby increase the consistency and credibility of the audit review process. Using survey feedback from key stakeholders including employers, auditors and industry associations, Enform was able to determine which guidelines in the protocol required additional clarifications and explanations to be included in the supplementary Question Guideline document for auditors. The survey feedback was reviewed by a working group of Enform certified auditors and factored into the scope of the guideline revisions. Once the guideline revisions were developed, they were reviewed by internal stakeholders and presented to the Annual COR Protocol Standing committee annual meeting in the Fall of The guidelines will be communicated to auditors and employers at the end of Q Auditor Information Sessions The economic downturn heralds unique nuances in the audit process. In 2015 there were two Auditor Information Sessions available for Enform certified auditors in B.C. which focused on year-end auditing and the challenges associated with auditing during the economic downturn including auditing employers with reduced or no active worksites. Enform Reviewer Training Program Standard Equipping reviewers with more tools to provide Quality Assurance reviews for Enform, the current Enform Reviewer Training Program Standard was revised to include training of new reviewers and refresher training of existing reviewers.

14 Enform» 2015 COR Program Report for WSBC 12 Looking Forward Being conscious of resource constraints while continuing to effectively champion world class safety practices through certification, the SA&C department has developed a detailed operational plan for 2016 that includes the following activities in B.C. Conduct the annual review of the COR Audit Protocol and consider industry s needs for optional elements such as Journey Management. Conduct annual review of the SECOR protocol and continue advancing improvements to the SECOR Audit Protocol Guidelines. Reduce the Cost of Auditing. Implement Enform s new Quality Management System as part of the larger effort to not only update Enform s policies and procedures in accordance with Alberta and B.C. standards and guidelines, but to ensure more effective policy adoption practices throughout the organization. Launch Small Employer Outreach Program with an aim to raise the quality of small employer audit submissions by 50 per cent. Employers who did not score well on their 2015 audits will be targeted in 2016 for direct outreach to assist them in this year s audits. In 2016 we will also continue advancing work done in 2015, namely: Continue providing Information Sessions for auditors with a focus on auditing in poor economic conditions. Continue promoting SECOR Online Audit Submission, including workshops, seminars and promotional communications. Continue exploring opportunities for Auditor mentorship activities such as in our Auditor Workshops. Continue planning and developing How-to videos to supplement the current resource library and meet employer/auditor needs with informational tools.

15 Enform» 2015 COR Program Report for WSBC 13 Financial Statement BC COR ADMINISTRATION Statement of Revenue and Expenditures Revenue: 2015 Budget 2015 Actual WorkSafeBC COR Funding $608,581 $530,272 Other Revenue $0 $0 Total Revenue $608,581 $530,272 Expenses: Salaries - Head Office Support $312,000 $226,965 Benefits - Head Office Support $69,000 $41,661 Consultants & Contractors $48,790 $25,587 Legal Fees - H.O. Allocation $5,000 $988 Advertising $7,000 $0 Board Expenses $4,633 $0 Building & Services - H.O. Allocation $15,068 $15,068 Communications $0 $0 Conferences & Conventions $0 $0 External Events & Meetings $2,400 $0 Furniture & Equipment $300 $22 Leasehold Improvements $0 $0 Office Supplies $500 $2,744 Property Taxes & General Insurance $0 $0 Publications $2,000 $0 Rent - Office - H.O. Allocation $17,023 $17,023 Technology $94,780 $94,780 Training - Staff $2,000 $0 Travel $28,645 $13,852 Miscellaneous $300 $0 Total Expenses $609,439 $438,690

16 Enform» 2015 COR Program Report for WSBC 14 In Closing 2015 was a year of big change, forcing industry to rethink and restructure many approaches to business. But safety remains a number one priority, as evidenced by continued, steady participation in Enform s COR and SECOR programs. Last year, we continued to advance many of the initiatives started in 2014, with a strong focus on customer service and enhancing the program delivery in ways that will only serve to improve our and their due diligence in all aspects of health and safety. The delivery of COR and SECOR programs were enhanced, and resources to assist in Quality Assurance with a particular emphasis on auditor performance ethics, guidelines, information were provided. In 2016 we will continue to advance the vision of of no work-related incidents or injuries in the Canadian oil and gas industry while operating in an environment of cost containment. From reducing the cost of auditing to helping employers audit in poor economic conditions, to reaching out directly to small employers to increase the quality of their audit submissions, the SA&C group will continue to develop and evolve the COR program to help companies strive for excellence in safety performance.

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