IRM Safety
Case Study
Sector: Business services
Employees: 5 + associates
Location: Hersham
The big idea :- to generate profits for business via risk management - including health & safety.
What they do
IRM Safety has developed a framework of Business Process Excellence that combines the concepts of lean thinking, i.e. a system developed through the 70s and 80s from the Toyota Production System which considers how any part of an organisation's operations add value for the end customer) with an innovative approach to risk evaluation and minimisation. When the company's ' PROPA' (PROfit from Positive Action) system is applied within an organisation, the framework delivers both improvements in business performance and staff morale as well as significant reductions in organisational risk.
The challenge
…was to develop a framework for business that focused on improvements in efficiency at the same time as fostering a robust appreciation of the risks that organisations face.
Fire, safety and environmental risk management activity is often seen as something that is undertaken only to achieve statutory compliance and therefore as a cost rather than an investment. If risk management is undertaken 'under sufferance', it does not deliver minimum risk solutions or an effective working environment.
The solution
PROPA combines the organisational and operational benefits of lean thinking with the structured reduction in risk and improvement in organisational environment of effective risk management - including health and safety. This turns risk management from a 'grudge product' into a sought after investment.
To date, IRM Safety have applied PROPA within both the health and manufacturing sectors. The various company teams, guided by a facilitator from IRM Safety, undertake a 'Scoping Review' to set the boundaries of change.
Once these boundaries are established, a 'Risk/Improvement Fact Find' exercise is conducted, bringing together the key regulatory and process information. This enables the company to make substantial improvements in performance and reductions in risk.
Each company team then undertakes a customised training and consultation exercise, followed by a Value Stream Analysis Event (VSE). This identifies those company activities that are creating value and indicates the risks associated with them. From this a Process-and-Risk 'Future State' evaluation report is produced that identifies a series of implementation activities to be followed.
Issues arising
In testing PROPA with both health and manufacturing sector companies, the PROPA team realised the need to balance the 'hard' skills of lean thinking and risk management with the 'soft' people skills of team development, behavioural safety and staff wellbeing if changes are to be taken on board and made sustainable.
In addition, whilst the focus is on a rapid move to action in order to generate financial return, it is vital to ensure that the organisation meets its legal requirements. Prior to implementing any improvements, major risks must be eliminated so as to ensure that the company team is not put in danger.
The outcome
Results at one company reduced stress in the workforce by reducing travel distance for selected staff by 87% and reduced workload by 33% without affecting productivity.
Changes designed to reduce the risk of fire, mistakes and falls from height also contributed to the reduction in workload for employes identified as being in risk areas.
Furthermore, the company's team reduced the number of steps in one of its processes by 54%, which also reduced the overall risk profile for the process, and released £120,000 of cost.
In addition, typical PROPA results include:
- reductions in days lost due to accidents and sickness
- improved morale
- reduced lead times
- improved productivity
- reduced quality defects
- improved compliance.
The client teams who have been involved in PROPA activities have described them as exhilarating and a great learning experience.
In the manufacturing category at the 2006 Innovation Awards of the Institution of Engineering and Technology, PROPA was highly commended by the Institution and was described by one of the judges as having '...perhaps the most innovative approach to managing health, safety and risk I have ever seen. The fact that it delivers real business benefits should make it a significantly more attractive proposition to industry, commerce and the public sector, than the traditional "compliance only" based approaches.'
What could you do?
What could reducing risk and improving performance do for your people and for your business? Perhaps you would benefit from calling in external experts. Consider contacting your nearest Business Link advisor by visiting the website at http://www.businesslink.gov.uk
IRM Safety Website: http://www.irm-safety.co.uk
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