DRAFT Version of 18 June

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1 DRAFT Version of 18 June SNCB Logistics Safety in Rail Freight operations November CEFIC WORKSHOP ANTWERP

2 DRAFT Version of 18 June SNCB Logistics is going through a major transformation From B-Cargo to SNCB Logistics in difficult circumstances MULTIPLE CHALLENGES Historically unprofitable Not focused on quality Limited commercial activity Trade unions Politics Crisis Mentality APPROACH Thorough restructuring Complete transformation towards private company Structural improvements of the quality COMPETITIVE PRIVATE RAILWAY COMPANY Low-key international presence TRADITIONAL NATIONAL RAILWAY DIVISION

3 DRAFT Version of 18 June SNCB Logistics has a complete service offering for all industries Industries Metals Chemicals Industrial & Consumer Goods Transport Conventional Intermodal Single Wagon Load Special Transport Geographies Belgium Neighbouring Countries Long Distance (with partners) Wagons Metals Bulk Other (through partners) 3

4 DRAFT Version of 18 June Some key figures of SNCB Logistics today 490 M eur 1875 trains / week 60% of which contain transported wagons / year 18% of which contain transported netto tonkm in 2013 Turnover persons active in freight activity locs 7000 wagons

5 SNCB Logistics strives to be the most reliable rail operator Mission : To be the most RELIABLE rail operator Safety Quality Trusted partner for customer Sustainable profitability Strategic direction Institutionalised (continuous) improvements 5 Organisation People - Values

6 Our efforts pay off, at all levels In 2013 SNCB Logistics has realised for the first time a positive EBITDA (coming from an EBITDA of -115 MEUR in 2009). The turnaround confirms itself in The new dynamic of our organisation results in a better overall performance, punctuality and customer satisfaction. 6 SNCB Logistics is ready for the challenges of the future

7 All aspects of train organisation are crucial Our safety plan covers the global process Operator Infrastructure Material / Loading Line Management Organization 7

8 Rail transport is the most regulated transport mode. SNCB Logistics is compliant to all requirements and goes beyond with a proactive safety policy Legal safety requirements for rail operators Regular audits & control Safety certificates A and B European RID regulation Permanent & structural internal & external audit Unannounced audits RID application SNCB Logistics has been SQAS assessed Safety is the key priority of SNCB Logistics and is an explicit objective in all company processes and communication. SNCB Logistics considers that a safety policy goes beyond procedures, rules and systems; it is part of our culture and needs to be in the centre of attention at all times. 8 Despite the restructuring, we continue to invest We focus on the human factor

9 The Human Factor is the biggest challenge BBS Regulations Procedures Instructions WHAT WE SAY Habits Obstacles Tolerance Time pressure WHAT WE SEE 9

10 There are many factors that influence a safe behavior Dank aan: Besides to know, to want and means a behavior is influenced by the individual and the working environment 10

11 Even if all safety conditions are fulfilled, the context will determine the behavior Investment in training - Own train institute dedicated for rail freight, with E-learning f.ex. for new line studies - 11 months training for train driver - 6 months training for operator cargo - >1 day individual coaching for all safety functions Safety equipment - Security systems for locs - Top notch equipment for all safety functions - IT-tools with blocking procedures (CIS / IRON) Investments in safety team - Central and local functions & follow up - RID specialist / local RID assistants Sensitisation campaigns - S-Tip S-Flash, articles in newsletters, production boards, Daily Safety Report,. 5% 11 impact with rules, regulation, training Context: 95% impact on changing behavior

12 Creating a context & environment where safety is key is complex Change as a start-up Improvement Involvement Process Materials People Simplification Mutual trust for open debate 12

13 Example 1: RITA, not just a Tablet! Information Regulation (Interactive) Documents (Urgent) messages + reading confirmation Bottom Up information (quarter report, photo, film, ) Real time support with COC Pay Roll 13 Deviation Management.

14 Example 2: Dealing with risks linked to night shift irregular hours Systemic parameters - Work schedules Person-specific factors - Task requirements - On recruitment: capabilities and vulnerabilities - Development of risk factors over the life course: sleep disorders - Dealing with irregular hours Acute Conditions - Drowsiness while driving due to acute conditions Fatigue & Risk Calculator Drowsiness Sensor

15 Example 3: Incident management Share: become an ambassador of a safe behavior Support the behavioral change (coach,.) Formulate your intention personally Define an intention for behavioral change Define your own impact on the situation Understand the situation together 15

16 This thorough approach gives results: decline of behavior / human errors Sum 12M = Incidents occured within a period of 12 months caused by human errors (not following process / instructions) July 2011 July 2012 July 2013 July

17 Thank you for your attention Do you have questions? 17

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