Tuesday, September 03, 2013

Why Should We Connect An HR System To An Environmental Health And Safety System?

Jeremiah Stone stopped by my desk today to discuss a customer and I asked him why a people management system should be integrated with an Environment Health and Safety (EH&S) System . He explained the need to me succinctly in his usual enthusiastic manner. This is what he told me.

First, companies in the oil and gas, mining, mill products and utilities industries need to report safety incidents to a regulator. So when a safety incident happens, they need to capture it and report it to stay compliant. This report usually contains details about the injury and the person who got injured. This costs money. Connecting the people management system and the incident management system can make things efficient.

Second, companies can reduce cost by analyzing information about incidents. For example if there are a lot of eye injuries in a certain location or plant, which is costing a company millions of dollars in workers compensation or lost productivity, analytics on past incidents can provide insight into what can be done to prevent such injuries. A $30 eye glass can prevent a $ 30,000 workers compensation claim.

Third, Analytics and big data technologies can provide insight into patterns based on incident data and demographic data. Such insight can lead to talent management that prevent injuries. For example, if workers on a certain job routinely injure their back when they turn 40 years old, steps can be taken to move people from such jobs before they turn 40 years old to prevent injuries and to prevent the loss of a good employee.

I wrote this quick post to capture our conversation and get other people's thoughts on this topic. I plan to elaborate on this more in the future. 

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