THE HUMAN ERROR
RISK ANALYSIS MATRIX ÷ Benefit
Critical 40
Serious 20
Moderate 10
Minor 6
Negligible 10
Probability (Include frequency of exposure to the threat) 0
1. The leaders of the company 2. The financial state of the company 3. The number of serious accidents
4. The time since the last accident occurred
5. The public perception of the company
Strict guidelines (and more than one person deciding) help moderate the RT.
40 20 10 5 1
Unlikely 1
Negligible 1 Minor
Moderate Serious Major
200 100 50 25 5
Possibly 5
2 400 200 100 50 10
Probably 10
800 400 200 100 20
Likely 20
1600 800 400 200 40
Very Likely 40
1.2
1.4 = Risk Quotient 1.6
the benefit. In other words, will the hoped for increase in Safety be worth the cost?
• Any CA should have a CBA • CBAs are often subject to many bias
• The accountable executive’s risk tolerance being one — How willing is he or she to take the risk?
• Costs are usually based on past expenses
• Benefits are usually based on projected savings
• Benefits are often over a projected period of time
Finally, a cost/benefit analysis
(CBA) must be carried out to determine if the cost will be worth
• This time is often called the payback, return on investment (ROI) or break even time
• Sometimes these are wild-ass guesses (WAGs), but it is still better than nothing
The accountable executive (the
person who controls the money) will likely make the final decision, but if you have a solid business case then the CA will likely be implemented. Follow up will need to be done to see if the CA worked as planned. Is it a lot of paperwork? Yes. Will it
pay off? Yes. Measuring the accident that never happens is difficult but the company and its employees will be Safer. I’ll finish with another wise father saying that I heard many times: “Anyone can make a mistake, but only a fool makes the same mistake twice.”
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DOMmagazine.com | may 2016
People Assets
Reputation Environment
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