7 isrs

International Safety Rating System

Madrid 28 julio 2009

The challenge
To meet the increasing expectations of multiple stakeholders, you need to continually measure, improve and demonstrate the health of your business

7 isrs
Version 05 August 2009 Slide 2

What is isrs7?
isrs7 is a world leading system for improving and demonstrating safety, environmental and business performance. isrs7: Helps identify and control your risks Transforms business processes into best practices Incorporates other pertinent standards Provides management with advanced decision support Builds reputation and drives business results Provides assurance for the executive

Version

05 August 2009

Slide 3

DNVs experience in management systems

ISSSRS 1 IQRS 1 ICSRS 1 IERS 1 ISSSRS 2 IQRS 2 ICSRS 2 IERS 2 ICSRS 3 IERS 3 IMSRS 1 Prosper 1 Prosper 2 IBRS 1 ISRS 1 ISRS 2 ISRS 3 ISRS 4 ISRS 5 ISRS 6 ISSSRS 3 IQRS 3 Key: ISRS International Safety Rating System ISSSRS International Small Site Safety Rating System IQRS International Quality Rating System ICSRS International Contractor Safety Rating System IERS - International Environment Rating System IMSRS International Marine Safety Rating System Prosper Integrated Health, Safety and Environment and Quality Rating System IBRS International Bio-risk Rating System EFQM - European Foundation for Quality Management

DNV Standards

ISRS 7
Over 60 customised client protocols developed

1978

1980

1985

1990

1995
OHSAS 18001 BS 8800 ISO 14001 Seveso II EFQM
05 August 2009

2000

2005

2010

Malcom Baldridge ISO 9001 Responsible Care

International Standards

ISO 9000: 2000

Version

Slide 4

Developed in co-operation with industry

Experts from DNV and the nuclear, chemical and petrochemicals industries worldwide incorporated industry best practice to develop isrs7 Listening to the Customer consultation process involved more than 50 companies in Asia, Europe, Scandinavia and the USA Four isrs7 pilot assessments were conducted Based on the input from the assessments, further enhancements have been made to the system System completed in April 2005

Version

05 August 2009

Slide 5

ISRS Customer References Petrol Sector

UK Companies Total Milford Haven refinery Associated Petroleum Terminals BP Chevron U.K. Limited Benelux companies Fina Antwerp Olefins Atofina (Petrofina SA) Total Marketing France German companies TOTAL Deutschland GmbH TOTAL Raffinerie Mitteldeutschland GmbH African companies Cabinda Gulf Oil Company (SA) Sirte Oil Company (Libya) Asian Companies Kondur Petroleum, Indonesia: PetroVietnam Indian Oil Company Ltd Oil and Natural Gas Commission of India Bharat Petroleum Company Ltd Hindustan Petroleum Company Ltd Abu Dhabi Gas Liquification Command Petroleum (India) Pty Ltd PETRONAS (Malaysia) WMC Petroleum (Malaysia) Sdn Bhd Suez Oil Company (UAE)

Australian companies BHP Petroleum Pty Ltd

American companies Amoco Canada Petroleum Co., Ltd. Esso Petroleum Canada Petro-Canada SHELL Canada Fina Oil USA Occidental Petroleum USA Pemex (Mexico) Ecopetrol (Colombia) Standard Oil Production Company (USA) Sun Refining and Marketing Company (USA) Union Texas Petroleum

Version

05 August 2009

Slide 6

isrs7 Process descriptions

1. Leadership 2. Planning 3. Risk Evaluation 4. Human Resources 5. Compliance Assurance 6. Project Management 7. Training and Competence 8. Communication and Promotion
8.1. Business Planning 7.1. Regulations Values 6.1. TrainingResources System 5.1. Project Coordination 4.1. Health Hazard Identification 3.1. Communication 2.1. Purpose SystemSystem 1.1. Human and 8.2. Work 7.2. Project Needs 6.2. Recruitment 5.2. Training Co-ordination to 4.2. GoalsPlanning Analysis Operate 2.2. MeetingPlanning External Authorisations 1.2. and Evaluation and Control 3.2. Management Meetings 8.3. Policy 7.3. Instructor Individual 6.3. Project Codes 5.3. Action Hazard Identification 4.3. Safety Tracking and Performance 2.3. Managing Competence 1.3. IndustryExecution Standards 8.4. Strategy 7.4. Delivery of Training Documentation 6.4. Reporting to and 5.4. ManagementAuthorities 4.4. Group Meetings 2.4. and Evaluation Discipline Project Control 1.4. Recognition System 3.3. Leadership Orientation/Induction 8.5. Project 7.5. Joint Committee/Council 6.5. Security Hazards 5.5. Information Engagement 4.5. Records the Organisation 2.5. LeavingClose Out Identification 1.5. StakeholderSecurity and Evaluation 8.6. Business 7.6. Product Orientation/Induction 5.6. Coaching Processes 4.6. General Stewardship 1.6. Management of Organisational Change 3.4. Environmental Hazards 8.7. Compliance 7.7. Recognition and Evaluation 5.7. Job Orientation/Induction 1.7. IdentificationAssessment Business Risks 8.8. Customer Campaigns 7.8. Training Systems Evaluation 1.8. Promotion Expectations 3.5. Accountabilities 8.9. Management Commitment Away from Work Evaluation 1.9. Identification and Safety Education 3.6. Process Risk Evaluation

Click process name to reveal sub processes and click again to hide sub processes
Version 05 August 2009 Slide 7

isrs7 Process descriptions continued

9. Risk Control 10. Asset Management 11. Contractor Management & Purchasing 12. Emergency Preparedness 13. Learning from Events 14. Risk Monitoring 15. Results and Review
14.1. Health Hazard Controls 11.1. HealthHazard Events 15.1. Business Selection 13.1. Learning Results Assessment 10.1. Maintenance Monitoring 12.1. Emergency Needs 9.1. Contractor fromProgramSystem 14.2. SafetyHazardReview 11.2. Contractor fromPlanning 15.2. Management Monitoring 13.2. Maintenance Success 10.2. Learning Operations 12.2. Site Emergency Controls 9.2. Safety Hazard Plan 14.3. Security Emergency 11.3. Contractor AssurancePlan 15.3. Reporting to in Investigations 13.3. Participation Stakeholders 12.3. and Scheduling Monitoring Off-Site Hazard 9.3. Security Hazard Controls 10.3. Near-Miss and Substandard 14.4. Environmental Hazard Monitoring 11.4. Purchasing of Maintenance 13.4. Execution 12.4. Crisis Plan 9.4. Environmental Hazard Controls 10.4. Maintenance Review 14.5. Customer Satisfaction 11.5. Logistics Continuity Plan 12.5. Conditions Business 9.5. Quality Conditions Inspections and 10.5. Complaints Management 13.5. General Control Reviews 14.6. Effectiveness of Monitoring 12.6. Emergency Plan of Materials 10.6. Products Communications 13.6. Physical Conditions 14.7. Perception Surveys Tour 12.7. Event Announcements Emergency 9.6. Process Control andSystems 10.7 Special Equipment Inspections 13.7. Away-from-Work Accidents 14.8. Behavioural Protection 12.8. Emergency Observation 10.8. Operating Procedures 13.8. Pre-UseControls 14.9. Task Observations Inspections 12.9. Action Follow-Up Energy Equipment 10.9. EngineeringTeams Management 13.9. LFE Reporting Verification 9.7. Audits 14.10. Rules 12.10. Emergency Change 10.10. Inspection, Measuring 13.10. Event Analysis 12.11. Drills Permits 9.8. Workand Exercises 13.11. Problem-Solving 12.12. and Test Equipment Notices First Aid 9.9. Warning Signs Teams and 10.11. Acquisition and Sale 12.13. Medical Support 9.10. Personal Protective Equipment 12.14. Organised Outside Help and Mutual Aid

Click process name to reveal sub processes and click again to hide sub processes
Version 05 August 2009 Slide 8

Focus and credibility

Specific Focus Provide assurance to all stakeholders isrs7 Credibility International standard World-class practices from DNVs experience Assessed by independent 3rd party (DNV) Provides confidence to owners and stakeholders Harmonised with international standards Test existing systems Integrated approach for driving business improvement Integrates the requirements of major international standards Facility for joint auditing Assures the health of business processes Latest management system methodology Integration of HSE & business issues Evaluates both processes and results Industry-wide acceptance Industry benchmarking Flexible implementation
Version 05 August 2009 Slide 9

Harmonised with international standards

isrs7 includes the requirements for:

ISO 9001:2000 - Quality Management ISO 14001:2004 - Environmental Management OHSAS 18001:1999 - Health and Safety Management PAS 55:2004 - Asset Management Global Reporting Initiative 2002 Corporate Social Responsibility

Version

05 August 2009

Slide 10

isrs7 and the Continuous Improvement Loop

Version

05 August 2009

Slide 11

isrs7 and Risk Management

Version

05 August 2009

Slide 12

isrs7 and Corporate Social Responsibility

Version

05 August 2009

Slide 13

Comparison with other standards: Positioning I

Input measures vs. output statistics
Input

SHE vs. business performance orientation

Key
SHE

7 6

isrs7 ISRS 6 EFQM ISO 9001 ISO 14001 OHSAS 18001

Output

Business Performance

IS0 9001, ISO 14001 and OHSAS 18001 and ISRS 6 measure processes (leading indicators) EFQM and isrs7 measure processes and results (leading and lagging indicators)
Version

OHSAS 18001, ISO 14001 and ISRS 6 measure SHE performance EFQM and ISO 9001 measure business performance isrs7 measures SHE and business performance
05 August 2009 Slide 14

Comparison with other standards: Positioning II

Top down vs. bottom up orientation
Top Down (what to do)

Quantative vs. qualitative benchmarking

Quantative Benchmarking

Key
7 6
isrs7 ISRS 6 EFQM ISO 9001 ISO 14001 OHSAS 18001

6 7

6 7

Bottom up (how to do it)

Qualitative Benchmarking

EFQM, IS0 9001, ISO 14001, and OHSAS 18001 address organisations from the top down and offer little detail on practical implementation ISRS 6 and isrs7 are top down and bottom up offering a wealth of detailed how to information
Version

IS0 9001, ISO 14001, and OHSAS 18001 measure performance in a qualitative fashion EFQM and ISRS attribute numerical scores to processes allowing performance to be quantatively benchmarked
05 August 2009 Slide 15

Alpha to Omega Process

Improvement Journey

Rapid Less formal Good helicopter view More Client engagement Assessment focused Excellent basis for planning

Comprehensive Foundation for Alpha Integrated HSSEQ Best Practice Document Preparation and systematic approach required Leading assessment and improvement tool Performance benchmarking

Version

05 August 2009

Slide 16

Alpha to Omega Process

Services Journey
Establish the state of the nation Workshops Planning which processes / issues to develop

Tools

Slide 17

Consulting

Training

Development Projects, reference and internal measurement

3rd Party Assessment Assessment and re planning

Goal Achievement
Version 05 August 2009

The Alpha Assessment

Provides a snapshot of the current management system status (based on span of units perceptions) Provides an alternative from or can complement the traditional audit approach. No more audit and run!

Can act as stepping stones providing a development path for the unit in preparation for next planned assurance cycle

Provides confirmation that former audits, rating and assurance letters reflect the embedded system

Version

05 August 2009

Slide 18

The Alpha Tool

Processes 1-15

Scores / rating

Provides a state of the nation of the current working situation Based on the opinions of a cross-section of the units personnel Each process contains a number of performance statements on which the Interviewee can assess the degree of development for each individual aspect Interviewee gives their own opinion on what should be the next steps... buy in
Version 05 August 2009 Slide 19

Alpha Results
5 World Class
(Continual Improvement)

Good
4

Leading Edge
(Mature Management System in Place)

Fair
Extended
(Programme Development)

Core
(Awareness Building)

1 Uncertainty
(Potential Lack of Control)

U/Sat

0
Ad m in is tra tio 3 n R is k Ev al ua 4 tio H um n an R 5 es C ou om rc pl es ia nc e As su 6 ra Pr nc oj ec e tM 7 an Tr ag ai ni em ng 8 en an C t om d C m om un pe ic at te io nc ns e an d Pr om ot io n 9 11 R is C k on 10 C tra on As ct tro se or l tM M an an ag ag em em en en ta t nd 12 Pu Em rc er ha ge sin nc g y Pr ep 13 ar ed Le ne ar ss ni ng fro m Ev en 14 ts R is k M on 15 ito R rin es g ul ts an d R ev ie w Le ad er sh ip 1

Standard deviation shows spread of opinion

Average score rates each process

Pl an ni ng

an d

Version

05 August 2009

Slide 20

1 Liderazgo 5,0 15 Resultados y Revisin 4,0 14 Monitorizacin de los Riesgos 3,0 2,0 13 Aprendiendo de los Eventos 1,0 0,0 12 Preparacin para Emergencias 5 Aseguramiento del Cumplimiento 4 Recursos Humanos 0-1 1-2 2-3 3-4 4-5 Incertidumbre Basico Extensivo Casi lider Clase Mundial 3 Evaluacin de Riesgos 2 PlanIficacin y gestin Mandos Intermedios Direccin Operarios

11 Gestin de Contratistas y Compras

6 Gestin de Proyectos

10 Gestin de Activos 9 Control de Riesgos

7 Entrenamiento y Competencia 8 Comunicaciones y Promocin

Version

05 August 2009

Slide 21

The Omega Tool

A menu of proven activities to develop best practice business processes Provides the planning basis for improvement during the next period

A thorough assessment of performance against the 15 isrs7 management processes

Involves interviews with process owners, operators and detailed verification activities

Version

05 August 2009

Slide 22

Why isrs7 ?
Demonstrates the health of business processes to your stakeholders Integrates health, safety, environmental and business processes Can be used as an health and safety system only Is goal driven allowing creativity and flexibility Flexible application using Alpha to Omega approach Includes output performance measures

Version

05 August 2009

Slide 23

Isrs7: A PRACTICAL EXAMPLE - Refinery

isrs7 Process 15 Results and Review
What does 30% performance level look like?
HSE and business results are compared against the stated goals of the period. Senior Managers perform regular reviews of the management system. Limited management review of progress against HSEQ objectives.

Version

05 August 2009

Slide 24

Isrs7: A PRACTICAL EXAMPLE - Refinery

isrs7 Process 15 Results and Review

Whats it take to get to 50% performance?

All stated business goals have been achieved in the planned period. Progress against HSEQ plans and objectives is reviewed. Actions from management review used to improve the management system. Specific reports are generated for targeted stakeholders. Environmental performance indicators are reported. There is regular internal reporting to staff.

Version

05 August 2009

Slide 25

Isrs7: A PRACTICAL EXAMPLE - Refinery

isrs7 Process 15 Results and Review

Whats it take to get to 70% performance?

Trending of HSE and business results demonstrates sustained good performance. External benchmarking exercises are routinely undertaken, lessons shared and appropriate changes made to the organizations HSEQ system / practices. Differences in business results are evaluated to determine causal factors. Assurance letters are produced by different units declaring HSEQ performance. Social performance indicators are reported.

Version

05 August 2009

Slide 26

isrs7: for the health of your business

Version

05 August 2009

Slide 27

isrs7: Your contact

Carlos A. Navarro Dpto. de Certificacion DNV-Madrid +34 91 456 16 00 Carlos.navarro@dnv.com

www.dnv.com / certification / rating / isrs7

Version

05 August 2009

Slide 28

Version

05 August 2009

Slide 29