MODULE 9 CASE STUDY Your Actions Speak So Loudly I Cant Hear A Word Youve Said

Agenda
Safety Leadership Culture Improvement Process Safety Leadership Vision A Metaphor Safety Leadership Perception Survey Applying the Tools

Responsible Care

Responsible Care is a global industry performance initiative that

helps companies go above and beyond government requirements.

NOVA Chemicals has been part of this force for positive change in our industry since its inception in 1985.

We incorporate Responsible Care principles into all aspects of our

operations including: - Environmental protection - Health, safety & security improvements

NOVA Chemicals is committed to being a leader in achieving and maintaining superior Responsible Care performance.

Safety Leadership

Safety Leadership is for everyone Safety is much more than the OSHA Recordable Case Frequency Rate Safety is really all about caring for each other Safety is about ensuring that great memories can be created

Safety Leadership
Safety requires multiple protective layers of proper and effective: Facilities Equipment Design Procedures Techniques Training Job Planning Behaviors Culture Leadership

Safety Leadership

Focus on Two Safety Leadership Tools today

Safety Leadership Vision Safety Leadership Perception Survey (SLPS)

Safety Culture Improvement Process

Conducted DuPont Safety Culture Questionnaire in 2004 Based on Research conducted by Dr. Jim Stewart, author of Managing for World Class Safety
Twenty-four Questions

Compare our Company results to Best-in-Class and Worst-in-Class Companies Developed Action Plans Based on the Survey Data

Path to a Cultural Change in Safety

Assess the existing state of safety
Safety Assessment

Survey Completed Focus Groups Conducted Analyzed Survey Data Developed Draft Future State

Convince leaders to drive the change

Create vision and values to underpin reform

Future State Visioning (FSV) Workshop

Develop a strategic and operating plan

Repeating Questionnaire helps audit progress

Track, audit, correct

Implement system and operating changes

Our challenge is to sustain improvements

Future State Vision 2004 Session on Safety Leadership

Leaders at all levels will demonstrate that safety is a core value and will be integrated into all business activities Leaders will be the architects of the safety culture and will create an environment of trust, mutual respect, caring, learning and understanding Leadership commitment to safety will be intense, passionate, unwavering and felt Safety will be a line responsibility and leaders will be responsible for preventing injuries in their area of responsibility Excellence in safety performance will be critical to a leaders career growth
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Future State Vision 2004 Session on Safety Leadership

Leaders will ensure that employees are; involved in safety activities, educated, recognized and rewarded for their contributions Leaders will connect with employees on a regular basis by engaging in face to face discussion about safety Leaders will deal with poor safety performance and take corrective action for safety infractions People (employees/contractors/community) will feel that leadership cares and walks the talk
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Our Company

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The Safety Leadership Parachute

How do skydiving and the chemical industry relate?
Metaphor: The Safety Leadership Parachute

In both cases, the hazards must be managed for the activity to be viable
A parachute allows sky divers or base jumpers to manage the impact of gravity and avoid the hazard of hitting the ground too quickly The parachute for the chemical industry is its safety programs
both process and occupational safety

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The Safety Leadership Imagine each section of the fabric of the parachute as a specific aspect of Parachute Safety Leadership:
Respects Employees Treats others the way they want to be treated Applies Safety Methods Knows, understands, believes and applies safety rules, procedures, techniques and systems all the time Provides Reliable Operations Involved with activities that eliminate process variability Fosters Prevention Mindset Anticipates hazards and applies learnings to reduce risk and prevent incidents Values Contributions Recognizes and credits the efforts of others

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The Safety Leadership Parachute

The parachute fabric is connected via the suspension lines and attached to the front and rear risers These components of our parachute metaphor comprise our safety culture: Perception of workers - about the commitment of their management to safety Will of employees - what we do when no one is watching A problem here will cause us to lose control of the parachute and will result in a landing with serious injuries

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The Safety Leadership Parachute

Perception of workers - about the commitment of their management to safety
Tool - Safety Leadership Perception Survey

Will of employees - what we do when no one is watching.

Tool Behavioral Based Safety Processes

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The Safety Leadership Parachute

Dr. Jim Stewart, author of the book Managing for World Class Safety said,
" In the very safe companies, the priority given to safety is viewed as a critical issue. They believe that one of the strongest factors that predicts safety performance is the perception of workers about the commitment of their management to safety.

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Safety Leadership Parachute

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The Safety Leadership Parachute

Leadership Integrity and Sincerity equates to Packing the Parachute
Integrity = Strict adherence to a standard or value, personal honesty, soundness Sincerity = Not deceitful or hypocritical: honest, genuine and true

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The Safety Leadership Parachute

Without these attributes, the safety leadership parachute won't function regardless of how well the other elements are functioning. Without Leadership Integrity and Sincerity, the damage to safety is irreversible, and will result in the failure of our parachute and the most severe consequences.

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The Safety Leadership Parachute How important is packing the chute?

Ask a skydiver or base jumper!

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Safety Leadership Parachute

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Safety Leadership Perception Survey

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Safety Leadership Perception Survey (SLPS)

Purpose History Drivers Development Steps Process Explanation Review Outcomes Reinforcement Learnings and Concerns
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Purpose - Safety Leadership Perception Survey (SLPS)

Provides employees a method of giving feedback to their leader anonymously regarding important safety activities. Results are scored (measured) both for the individual, each site and the entire company.

Leaders receive the feedback measurement from employees and peers in a constructive way to better understand how they are being perceived on the activities that drive safety improvements.

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Path to a Cultural Change in Safety

Assess the existing state of safety
Safety Assessment

Survey Completed Focus Groups Conducted Analyzed Survey Data Developed Draft Future State

Convince leaders to drive the change

Create vision and values to underpin reform

Future State Visioning (FSV) Workshop

Develop a strategic and operating plan

Repeating Questionnaire helps audit progress

Track, audit, correct

Implement system and operating changes

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Our challenge is to sustain improvements

Priority Given to Safety 2004 Safety Culture Survey

Many employees felt safety is given priority one but a majority also felt they give safety more of a priority than others Interestingly, different levels of the organization were ranked as giving priority to safety differently Average scores on where others believe safety ranks vs. quality, cost and production
Employees perceived other Leaders ranked safety fourth Employees perceived other First Line Supervisors ranked safety third
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Drivers - Safety Leadership Perception Survey (SLPS)

Dr. Jim Stewart, author of the book Managing for World Class Safety said, " In the very safe companies, the priority given to safety is viewed as a critical issue. They believe that one of the strongest factors that predicts safety performance is the perception of workers about the commitment of their management to safety.

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Drivers - Safety Leadership Perception Survey (SLPS)

Who you are speaks so loudly I cant hear what youre saying
Ralph Waldo Emerson

Walk the Talk Workers perception of how management ranks safety Results - based measurement of leadership safety activities Contribute to reduction of injuries

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Safety Leadership Parachute

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Development Steps - Safety Leadership Perception Survey (SLPS)

Determine the Leadership activities that drive safety performance and demonstrate care for workers Employees in best position to evaluate activities Must ensure anonymity is maintained Validate List of Activities Scoring System

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What does the score mean?

7 6 - Very Strongly Agree - Strongly Agree

5
4 3 2 1

- Agree
- Neutral - Disagree - Strongly Disagree - Very Strongly Disagree
The percentages enable comparisons with previous years surveys since the number of survey answers increased from 5 in 2006 to 7 in 2007

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Development Steps - Safety Leadership Perception Survey (SLPS)

Web Survey Tool The survey is a web application with a database backend Simple Method Communicate Process via e-mail

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SLPS - Question 1
This leader / team leader / coordinator demonstrates visible, active, safety leadership by regularly spending meaningful time fostering open dialogue about safety with employees.
7) very strongly agree 6) strongly agree 5) agree 4) neutral 3) disagree 2) strongly disagree 1) very strongly disagree
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Question 1 2007 Rank 6, Score 81% 2006 Rank 5, Score 87%

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SLPS - Question 2
This leader / team leader / coordinator has developed a Personal Safety Action Plan (PSAP) that he/she applies regularly. PSAP is documented and posted and includes:
Incident Learning Field Leadership Presence Improved safety performance Personal Growth Activity in Safety

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SLPS - Question 3
This leader / team leader / coordinator regularly addresses hazardous conditions and supports and/or initiates safety improvements in our work area.

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SLPS - Question 4
This leader / team leader / coordinator has been an active participant in team safety meetings as scheduled for the group.

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SLPS - Question 5
This leader's / team leaders / coordinator's safety meetings that he/ she facilitates/ participates in are well prepared and meaningful to me.
consider meeting preparation, understanding of current safety performance, risk reduction tips, business impact, and sincere interest in the topic when evaluating

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SLPS - Question 6
This leader / team leader / coordinator is actively and sincerely involved with incident investigations, follow up and completion of recommendations and closure of incident reports in his/her area of responsibility.

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SLPS - Question 7
This leader / team leader / coordinator regularly encourages me /others to participate in safety activities such as hazard reviews, safety observations, planned general inspections, incident learning process investigations, safety committees, etc.

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SLPS - Question 8
This leader / team leader / coordinator routinely provides positive reinforcement and recognizes others for their contributions to improving safety.

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SLPS - Question 9
This leader / team leader / coordinator personally demonstrates compliance with all safety rules and safety procedures.

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SLPS - Question 10
This leader / team leader / coordinator contributes to and supports me / others in resolving safety concerns and reducing risk.

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2007 SLPS Results

2007 Surveys submitted Average score 1,720 81% (5.6/7) 2006 1,267 85% (4.2/5) 91% ( 9)

Highest scored question 84% (10 & 9)

#9 - Leadership Compliance with rules, procedures etc., #10 Leadership supports me in resolving safety concerns

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Question 9 2007 Rank 2, Score 84% 2006 Rank 1, Score 91%

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2007 SLPS Results

2007 Lowest scored question 76%, # 8
# 8 Recognition for safety contributions # 2 - Personal Safety Action Plans implemented

2006 78%, # 2

Highest Site Score

87% (6.1/7) 90% (4.5/5)

Lowest Site Score

78% (5.5/7)

78% (3.9/5)

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Question 8 2007 Rank 10, Score 76% 2006 Rank 9, Score 81%

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2007 SLPS Next Steps

Each Survey Owner (person surveyed) reviews and prints their SLPS feedback (results). Leader requires each Survey Owner to bring hard copy of their SLPS results to their year-end review to recognize performance, provide encouragement and discuss path forward. They also compare scores to average scores at their site.

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2007 SLPS Next Steps

Each Site Leader reviews the individual scores of their team to congratulate the top performers, establish action plans for those leaders that need some improvement in a safety activity, communicate plans for 2008 SLPS. Each Survey Owner reviews their survey results with their team
Express appreciation of feedback Discuss any specific improvement plans

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2007 SLPS Next Steps

Role for the Site Safety Specialist:
Communicate pathway to access survey results to survey owners Assist the Survey Owners with their improvement plans which will build stronger relationships and influence capability with line leaders Comparing scores between Survey Owners and Site Average

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NOVA Employee OSHA Recordable Case Rate

1.5
1.46

1.23

1.18

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0.86 0.73

0.5 2004 2005

NOVA Chemicals

0.59

0.57

2006

2007
ACC Average

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Revision January 22, 2008

SLPS Reinforcement
Results of this process have contributed to the reduction of incident rates, with the enterprise-wide OSHA Total Recordable Case Rate dropping 34% to 0.57 in three years. Applying the SLPS results is important so that employees and leaders know that performing well in these activities is an expectation for working at NOVA Chemicals. Using SLPS results in annual performance reviews, career dialogues, as well as sharing it with work teams and using it in the development of personal safety action plans all help to anchor this activity into our safety culture.

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SLPS Reinforcement
The SLPS results provide a safety, leading indicator measurement that must be earned by the leader and recognized by the very people they are paid to protect.

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SLPS Concerns
Predictive value of questions not determined Employee expectations of leaders may impact scores Some survey responders may doubt anonymity Impact of a personal grudge Professional survey organization has not critiqued process
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2008 SLPS Plans

Considered adding 5 Process Safety Leadership questions but determined that a better approach was a separate survey for Process Safety. Process Safety Leadership Survey is being sponsored by the CCPS and NOVA Chemicals is participating. Target date is 2009. Site Publishers identified and trained in August. Survey Owners and Survey Respondents selected in August. SLPS opens during first week of September and closes in early October.

Reports and follow up in October and November

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SLPS Closing Comments

The SLPS results provide a safety, leading indicator measurement that must be earned by the leader and recognized by the very people they are paid to protect.

Dr. Jim Stewart, author of the book Managing for World Class Safety said,
" In the very safe companies, the priority given to safety is viewed as a critical issue. They believe that one of the strongest factors that predicts safety performance is the perception of workers about the commitment of their management to safety.

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Safety Leadership Parachute

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The Safety Leadership Parachute

Consider each day you come to work as if you were sky diving.

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Safety Leadership Parachute Reminders

Think about the fabric of your parachute and ensure that you are applying these leadership principles. Ensure you have control of your parachute by understanding the significance of Safety Culture, the perception of the workers and the will of employees. Pack your parachute and rely on Leadership integrity and sincerity in everything that you do but especially in safety.

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Safety Leadership Parachute Reminders

When you follow these principles, your "Safety Leadership Parachute" will always function properly and allow us to continue producing chemicals and plastics safely and reliably.

The end result?

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Getting Home Safely Each Day!

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SLPS Questions and Discussion

Bill Maxson contact:
maxsonb@novachem.com maxsonw@zoominternet.net

Video footage by Aerial Extreme:

www.aerialextreme.com Music courtesy of Aftershok: www.aftershok.com www.myspace.com/aftershok

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Back Up Slides

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Question 2 2007 Rank 9, Score 76% 2006 Rank 10, Score 78%

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Question 3 2007 Rank 3, Score 83% 2006 Rank 4, Score 87%

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Question 4 2007 Rank 4, Score 82% 2006 Rank 3, Score 87%

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Question 5 2007 Rank 8, Score 79% 2006 Rank 7, Score 84%

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Question 6 2007 Rank 5, Score 82% 2006 Rank 2, Score 88%

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Question 7 2007 Rank 7, Score 81% 2006 Rank 6, Score 85%

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Question 10 2007 Rank 1, Score 84% 2006 Changed Question

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2007 SLPS Changes

1. Revised the scoring to enable 7 responses instead of 5 and adjusted the scoring accordingly. This created more response options and made the

perfect score 7 instead of 5.

2. Revised question 10 to focus on safety follow-up instead of emphasizing offthe-job safety. Minor edits made to survey and peer reviewed by Safety Professionals and Site Leaders. 3. Survey issued 5 weeks earlier than 2006 to enable more time to emphasize follow-up activities and next steps. 4. Ensured the hourly work force, (especially in ME and MW) is provided the

opportunity to complete an SLPS on their leader or Foreman.

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2007 vs. 2006 SLPS Results

2007 2007

2006

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