Best Practice for SSHE
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1 (CIM) Best Practice for SSHE STEP CHANGE IN SAFETY Share Fair June 2010 Stephane A. Gri
2 EMPC Work-hour Distribution 1 EMPC TRIR Comparison 0,9 0,8 0,7 0,6 0,5 0,4 0,3 Emp TRIR Con TRIR 20 0, (YTD) Year 0, (YTD) Year 2 M illio n W o r k -h o u r s TR IR Contractors represent more than two-third of total work-force hours Goal is to close the gap between Employee and Contractor TRIR
3 CIM Best Practice Overview #1 Tiered interface requirements and contractor population #2 A life cycle approach to Contractor interface management #3 Integration of five focus areas to Contractor SSHE performance 3
4 Contractor Interface Categorization Make preliminary determination of CIP Category based on: Whether service will be provided at a Company site and in the processing area Potential SSHE impact of the Contractor s service Expected frequency/duration of the services 4
5 Contractor Interface Categorization CIP Characteristics Examples A B C Higher SSHE impact More frequent or higher exposure hours Lower SSHE impact More frequent or higher exposure hours Higher SSHE impact Less frequent or lower exposure hours with supervision and oversight Aviation, construction, well work, supply vessels General labor, warehouse operations, maintenance workshop, painting activities Turbine inspection and change out, PSV testing, hot taps D Lower SSHE impact Clerical work, delivery service, office maintenance 5
6 Key Interface Activities OIMS 8-1 OIMS Requisition 2. Pre- Qualification 3. Bid Preparation, Evaluation & Selection 4. Pre- Mobilization 5. Site Specific Orientation 6. On-going interface 7. Interface Stewardship 1. SSHE specifications 2. Contractor Interface Prioritization (CIP) 1. Contractor Evaluation Questionnaire 2. Site assessment 3. Summarize findings and gaps 4. Exemption approval 1. Customize SSHE exhibit and final agreement 2. Contractor evaluation & selection 3. Update Active Contractor List (ACL) 1. Review SHE plan Gap closure plan Subcontractor Management plan Self-monitoring plan Interface Management Plan (IMP) 1. Crew/sup. Competency 2. Sup. SSHE Leadership Development 3. Kick-off meeting 4. Pre-mobilization checklist 1. Site Specific Orientation (SSO) 2. Verify attendance & understanding 1. Level 1 field level SSHE interface activities 2. Level 2 &3 monitoring and interface 3. Level 4 Contractor Forum 4. Level 5 Contractor Advocacy Program 5. Buddy Managers Program 1. Safety meetings 2. Contractor Selfmonitoring report 3. Regular or End-ofservice Contractor Performance Evaluation 4. Level 2 stewardship 5. Contractor SSHE performance Score Cards (CSPSC) 6. Annual level 3 stewardship 7. Feedback for future Pre-Q considerations 6
7 Five Key Areas to Contractor SSHE Performance Leadership visibility & accountability Resources commitment SHE communication Contractor Supervisor SHE leadership Hazard mitigation follow up Supervisor knowledge and skills Incident Investigation & follow up Training & Crew competency Pre-mobilization follow up Sub-contractor Screening Self-Monitoring & follow up Crew Stability Stewardship follow up Equipment conditions Sub-contractor Management Short Service Worker Occupational Health Management STOP Work Management HAZID, LMRA Personnel Safety Management Job planning, JSA Regulatory Compliance Emergency Response Near Miss reporting Environmental Management BBS, LPO 7
8 Multi-level interface Interface Level Forum Purpose PU 5 Group event Long-term strategic dialog Leadership Team 4 Group event Sharing & building safety culture PUL and/or functional lead 3 One-on-One Contractor event Stewardship PUL and/or Functional Lead 2 One-on-One Contractor event Stewardship Contract Owner 1 Regular site activities Ongoing SSHE management FLS (First line Supervisor) CIP Category Contractor A B C D CEO & VPs O Corp. Mgmt. R O Senior Mgmt. R O O Site Lead R R O O Site Lead R R R O 8
9 SHEQ Exibit in the Contract The SHEQ Exhibit is the major vehicle in communicating Company SHEQ requirements to Contractors in a legal context. In order to ensure Contractor understanding and adherence to the major aspects of these requirements, a series of tasks, functions and responsibilities need to be established between the Company and it s Contractors. All SHEQ Exhibits shall be specifically developed for,- and tailor made to each agreement Coordination Procedure (CP) is an important document and it shall specify what has been agreed between the Contractor and the Company with regard to KPI reporting, Interface meetings etc. The CP should be signed by both parties. 9
10 SHEQ Exibit Table of Content Exhibit E SAFETY, HEALTH, ENVIRONMENT and QUALITY (SHEQ) REQUIREMENTS FOR CONTRACT WORK Table of Contents 1 General Provisions 2 Contractor's corporate SHEQ policy and management system(s) 3 SHEQ PLAN 4 Contractor Self Monitoring 5 Reporting 6 Personnel and Training 7 Violations of SHEQ requirements 8 Personnel protective equipment and clothing 9 Coordination Procedure 10
11 SHEQ Exibit Interface Management 1.7 Interface Management Contractor and Company shall designate responsible contact persons, by name, for Company Contract Administrator and Contractor's SHEQ management system(s) matters. These contact persons shall establish coordination routines, to ensure all expectations and requirements of this exhibit are fully understood, clarified and documented, throughout the Agreement Term. (Ref. Coordination Procedure) For interface management aspects, Contractor shall: Work with Company to establish and document routines, procedures and responsibilities to ensure effective interface management in SHEQ matters. Establish, maintain and enforce communication procedures to ensure safe and effective interfacing with - and integration of its Subcontractors and with other contractors performing work related to Services. Ensure that safety, health, environmental and quality performance requirements are accepted and carried out by all its subcontractors (Contractor Group). Document all relevant communication, interactions and agreements. Ensure that relevant requirements provided in this Exhibit are included in all subcontracts or POs issued in relation to Services. 11
12 SHEQ Exibit Coordination Procedure 9.2 Coordination Procedure content The Coordination Procedure shall include, but may not be limited to, the following issues; Overview of Key Personnel with contact details Process and means of communication Reporting schedule and frequency for : Contractor Self Monitoring Plan reports SHEQ Key Performance Indicators (KPI s) (monthly and annual) Specific Interface activities Goals for the various KPI s to be agreed for Services Classification of personnel positions related to Drug and Alcohol Policy Change Management procedures, if applicable Specific training requirements Specific requirements for notification of delivery of Goods, if applicable Specific requirements for invoice processing, ie Flat File System, if applicable 12
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