benchmarking of hse performance - aiche · outline of the presentation background &...

Benchmarking of HSE Performance For Oil & Gas Industries

Mohammad K S Mohiuddeen, CSP, CMIOSH Kuwait Oil Company; Kuwait [email protected]

+965 66604652

Outline of the Presentation Background & Observations Advantages of Benchmarking What is Benchmarking of HSE Performance What is to be done to Benchmark HSE Performance? Sources to Benchmark HSE Performance Benchmarking of Safety/Environment/Health Indicators-Case Studies Leading & Lagging Indicators @ KOC & its HSE Performance! Recommendations!

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Background & Observations It is observed that most of the companies are focusing only on: Lost Time Injuries Man hours Achieved without Lost Time Injuries

What about :

Major Environmental Incidents without personal Injuries? Fire Incidents without Injuries? Motor Vehicle Accidents without Lost Time Injuries? Asset Damages without Injuries?

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This may some times mislead the companies !!!!!! Can we say that if a company has “Zero LTIs”, it is the best!

Background & Observations-Contd…. In order to achieve Continual Improvement

in HSE Performance, we need to have wide variety of Indicators covering the issues of:

Health Safety Environment

Note: Now a days Security is also being added in most of the companies. If that is the case, you need to pick up some good indicators on “Security” also.

Health Indicators

Environmental Indicators

Safety Indicators

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Advantages of Benchmarking the HSE Performance?

Benchmarking of HSE Performance will facilitate the companies:

To asses the HSE Performance with respect to the industry average

To understand the trend of various indicators?

To know what kind of Indicators are being used by the industry

To evaluate what is the overall average performance in the industry?

To determine the basis while setting the targets

And to Move forward based on the best practices being followed…..

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What is Benchmarking? Benchmarking is the process of

measuring an organization's internal processes then identifying, understanding, and adapting outstanding practices from other organizations considered to be best-in-class.

Benchmarking is not simply

about comparing the data… Benchmarking is more about

continuously learning from others….

Benchmarking

Identifying

Measuring/ Reporting

Understanding/ Comparing

Adapting

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What is Benchmarking of HSE Performance? Benchmarking of HSE Performance is a planned

process by which an organization compares its

health, safety and environmental performance with

others to: Asses the Industry Trends & Average

values of each indicator? Verify what kinds of indicators are being

used ? Asses where your company stands Set your goals as per the evaluation &

focus to improve further.

4. Set your goals based on the

evaluation & focus to improve further!!

1. Assess the industry trends & Average values of

each indicator!

3. Evaluate where your company

stands with respect to the

industry average?

2. Verify what are the Indicators

being used by the industry?

Compare HSE Performance

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Sources to Benchmark HSE Performance

OGP Safety Indicators Performance Reports OGP Environmental Indicators Performance Reports OGP Health Performance Indicators Reports GCC Petroleum Companies Loss Prevention Statistical Reports IADC Reports

OGP : International Association of Oil & Gas Producers GCC : Gulf Cooperation Council IADC : International Association of Drilling Contractors

Note: These are some of the sources suitable for Oil Industry.

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Way forward to Benchmark HSE Performance?

1. Unify the definitions ; HSE Measures; Formulas etc… Inline with OGP or any other best entity….

2. Identify what are the indicators that you want to benchmark? 3. Start Measuring those in your companies (If not being done) 4. Select the partner/ entity suitable to your organization such as OGP/GCC…and start

reporting to them as well… 5. Compare the Performance with respect to the industry performance based on the reports

published & assess where you are? 6. Compare the results 7. Set the new goals & adapt the new approaches to improve HSE Performance.

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Sample Reports and trend analysis of HSE Measures based on OGP/GCC

Benchmarking of FAR (Fatal Accident Rate)!

Benchmarking of Safety Indicators-As Per OGP Safety Indicators Performance Report 2012

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Benchmarking of TRIR & LTIF!


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Benchmarking of LTIF (Lost Time Injury Frequency Rate)


KOC

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Benchmarking of TRIR (Total Recordable Injury Rate)


KOC

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Analysis of Lost Workday Cases by Category/ By Activity


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Benchmarking of Severity of Lost Work Day Cases


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Benchmarking of Environmental Indicators

Benchmarking of Environmental Performance -As Per OGP EPI Report

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Benchmarking of Environmental Indicators

Benchmarking of Environmental Performance -As Per OGP EPI Report

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Benchmarking of Health Performance Indicators

Benchmarking of Health Performance Indicators-As Per OGP

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Benchmarking of HSE Performance as per GCC.

Benchmarking of HSE Performance -As Per GCC

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As per IADC! 21

LTI INCD Rate: (LTIs+ FTLs) *200,000/ Total Man hours.

DART INCD Rate: (RWTCs+ LTIs+ FTLs) *200,000/ Total Man hours.

RCRD INCD Rate: (MTOs+ RWTCs+ LTIs+ FTLs) *200,000/ Total Man hours.

LTI FREQ Rate:

(LTIs+ FTLs) *1000,000/ Total Man hours. DART FREQ Rate:

(RWTCs+ LTIs+ FTLs) *1000,000/ Total Man hours. RCRD FREQ Rate:

(MTOs+ RWTCs+ LTIs+ FTLs) *1000,000/ Total Man hours.

(DART-Days Away (LTI) cases + Restricted Work/Transfer Cases); RCRD-Total Recordable

As per GCC Petroleum Companies Loss Prevention Statistical Report 22

Incident Rate: On-job lost workday cases with days away from work per 200,000 hours worked.

Incident Rate: Total On-Job recordable Cases (MTC+RDI+LTI+FAT) per 200,000 hours worked. No of Accidents*1000,000/ Total Hours worked during the period

Incident Rate: Restricted duty cases per 200,000 hours worked

Motor Vehicle Accident Rate: No of MVIs per million kilometers driven.

Important Safety Indicators! 23

Fatal Incident Rate: The number of Company/ Contractor fatalities per100 million hours

worked.

Lost Time Injury Frequency Rate The number of Lost time injuries (Fatalities + Lost workday cases)

per 1,000,000 hours worked.

Total Recordable Injury Rate The number of recordable incidents per 1000,000 hours worked.

(Recordable injuries: FACs+ MTOCS+ RWCs)

Severity Rate of LWCs (Lost workday Cases) Average Days Lost per LWDC(Lost Work Day Case)

Important Environmental Indicators! 24

Gaseous Emissions Emissions per thousand tonnes of Hydrocarbon Production Carbon Dioxide (CO2)- Emissions per Unit of Production Methane (CH4) -Emissions per Unit of Production Green House Gas Emissions--Emissions per Unit of Production Sulphur Dioxide (SO2)-Emissions per Unit of Production Nitrogen Oxides-Emissions per Unit of Production

Flaring (%of Gas Flared)- Flaring per Unit of Hydrocarbon Production Spills of Oil & Chemicals

Oil Spilt per Unit of Hydrocarbon Production (Tons per Million Tons) Aqueous Discharges- Oil Discharged per unit of produced water discharged Discharges of Non Aqueous Drilling Fluids (NADF) on Cuttings Energy Consumption- Energy Consumed per Unit of Hydrocarbon Production

Benchmarking of HSE Performance as per GCC. 25

Let us have a look! What are the measures

(Leading Indicators & Lagging Indicators) that are being maintained by KOC & it’s Performance?

(As Best Practices Being Shared)

HSE Performance @ KOC 26

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

05-06 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14

1,232 1,839 2,786

7,035

12,332

21,078

28,329

25,666 26,223

Safety Observations & Conversations (SOC)


0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

05-06 06-07 07-08 08-09 09-10 10-11 11-12 12-13 13-14

70 176 310 497

1,606

3,251

3,730

3,050

3,626

No. of NearMiss


0

1,000

2,000

3,000

4,000

5,000

6,000

2009-10 2010-11 2011-12 2012-13 2013-14

1,502

3,999 4,622 4,753 5,043

No. of Site Verification Visit (SVV) of CAEs

0

5,000

10,000

15,000

20,000

25,000

30,000

2009-10 2010-11 2011-12 2012-13 2013-14

1,502 3,999 4,622 4,753

24,017

No. of Site Verification Visit (SVV) of NCAEs


HSE Audit Register 2013-14 0%

HSE Management System Audits

6%

Safety Theme Audits 22%

Work in Progress Audits 4%

Environmental Theme Audits 15%

Occupational Health & Hygiene Theme Audits

7%

General HSE Theme Audits 20%

Others HSE Audits 26%

HSE AUDITS CONDUCTED DURING 2013-14


0

10,000

20,000

30,000

40,000

50,000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

7,245

22,383

27,882

41,967

34,202

25,324

29,820

18,533

32,719

42,269

HSE Training Manhours


0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

Q1 Q2 Q3 Q4 Total

191 154 188 175 708 1,756

2,990 1,747 1,911

8,404

4,337

6,558

3,994 4,175

19,064

2013/14 HSE Induction Center Quarterly Report

Total No of HSE Sessions Completed Total No. of Attendees Total No. of Manhours


0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

2009-10 2010-11 2011-12 2012-13 2013-14

1,708 3,370 3,735 3,077 3,626

1,206

4,314 5,761 5,535 6,986

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2,976 3,524 3,568

29,060

12,945

21,215

28,377 26,099 26,223

Trend of On-line Reports submitted through HSE Live

No. of Nearmiss Hazardous Conditions No. of SVVs No. of SOC


0.00

0.10

0.20

0.30

0.40

0.50

03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14

0.29 0.26

0.18

0.13 0.10

0.06 0.05 0.03 0.04

0.02 0.03

Lost TIme Injury Frequency Rate - LTIFR


0.00

0.50

1.00

1.50

2.00

2005 2006 2007 2008 2009 2010 2011 2012 2013

0.97 0.99

0.66 0.55

0.45 0.42 0.46 0.48 0.45

0.79 0.64

0.45

0.28

0.48

0.32

0.13 0.13 0.15

Lost Time Injury Frequency Rate - OGP vs KOC

OGP KOC


0.00

1.00

2.00

3.00

4.00

5.00

2005 2006 2007 2008 2009 2010 2011 2012 2013

3.05 2.92 2.68

2.08 1.75 1.68

1.94 1.73 1.6

2.11

3.19

2.14

0.76 1.05

1.57

0.84 0.88

0.27

Total Recordable Injury Rate - OGP vs KOC

OGP KOC


0.00%

5.00%

10.00%

15.00%

20.00%

2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

17.18%

9.94%

7.72%

3.87% 2.66%

1.74% 1.29% 1.44% 1.24%

Percentage of Gas Flaring


0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

40.00%

45.00%

50.00%

43.04%

19.84%

15.14% 14.63% 14.28%

10.87% 9.51%

3.18% 2.73%

Disposal into Pits %


0

20

40

60

80

100

120

140

160

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

128

112 111 100

113 114 121

113

92

72 66

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No. of Oil Spills

Recommendations?

Always try to Benchmark your HSE Performance Make use of the expertise available. Be part of entities such as OGP, GCC,

IADC…ETC. which is applicable to your company. You need not reinvent the wheel! Verify whether your measures are addressing the problems and enhancing the

employees commitment to achieve? Evaluate your performance periodically Choose Right measures for your company Balanced Score Card Link each measure with some Tolerances/Targets. Set your targets/tolerances based on the Industry average values. If you want to

improve further, you can have stringent targets/tolerances Have sufficient programs to achieve these targets/tolerances.

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Thanks

With Best wishes from

HSE Group, Kuwait Oil Company

benchmarking of hse performance - aiche · outline of the presentation background &...

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