Download WS_11_Bus_Case_for_Change

“Global Safety Management: Revolution or Evolution?”
Making the Business Case
for Safety Management
Major Discussion Points
• The approach to safety management may
vary among organizations but the objective
is the same: reduced risk, improved safety.
• Building an accurate business case for SMS
implementation is not an easy task.
• SMS builds on existing elements in the
organization.
• SMS is one element of risk management.
• Comprehensive scope from training pilots
to those working on the hanger floor.
Summaries, Conclusions, and Action Items
2
Major Discussion Points
• SMS should be a performance based standard with
set outcomes and elements. Scaleable to
organization.
• Return on investment: eliminating accidents leads
to reduced costs. Litigation fees alone can exceed
$20m per accident.
• One study of potential benefits of SMS system
impact showed that up to 50% of the accidents
studied could have been prevented had an SMS
been in place.
• A vital component of corporate due diligence.
Summaries, Conclusions, and Action Items
3
Reaction from the Floor
• Does one size fit all? Should there be a
common standard? Outcomes, elements are
the same, but how one meets the standard
varies. It should be aligned with the business
model not just compliance requirements.
• Human factors training for SMS personnel
is a critical element
Summaries, Conclusions, and Action Items
4
Reaction from the Floor
• What are you doing beyond risk
assessment? Risk assessment is the heart of
SMS, but there are several other elements,
such as risk mitigation and risk elimination.
• Customers, maintenance organizations
should be part of a manufacturer’s SMS
processes. A comprehensive SMS will
incorporate all possible sources of information
to improve safety
Summaries, Conclusions, and Action Items
5
Outcomes/Additional Ideas
• Difficult to quantify the benefits of SMS into
dollars/euros.
• There are potential significant benefits to
implementing a SMS in any organization.
• Executives are accountable for their
organization’s safety.
• Managing organizational change is the
biggest challenge. Implementing SMS is a
learning process.
Summaries, Conclusions, and Action Items
6
Outcomes/Additional Ideas
“If one thinks safety is
expensive, try an accident!”
Summaries, Conclusions, and Action Items
7