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Best Practices in
Chemical Management
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Webinar Agenda
Goals of Best Practices Chemical
Management
Factors, Tools, & Techniques
Case Studies
Action Plan & Blueprint
Q & A
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Chemical Management Evolution
Safety Compliance
Sustainability Risk Mitigationand Competitive Advantage
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Considerations for Chemical Management
1. Safety Considerations
2. Regulatory Compliance
3. Cost and Risk Reduction
4. Sustainability Initiatives & Your Hazard
Footprint
5. Global Competitive Advantage
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Industry Safety Statistics
In 2008 alone, chemicals and chemical products were the source of 15,220 non-fatal occupational injuries and illnesses.
In 2008, where chemicals and chemical products were the source of injury or illness in non-fatal occupational injuries resulting in days away from work, 34 percent resulted in six or more days away from work, and 10 percent resulted in 31 or more days away from work.
Exposure to caustic, noxious, or allergenic substances led to 216 on-the-job fatalities in 2008.
Per the Bureau of Labor Statistics
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Regulatory Drivers - Sample
North America• OSHA – Hazard
Communication Standard
• CA Restriction of Hazardous Substances (RoHS)/ Waste Electrical and Electronic Equipment (WEEE)
• CA Green Chemistry
• CA Prop 65
• U .S. Bioterrorism Act
• U .S. Chemical Assessment and Management Program (ChAMP)
• Toxic Substances Control Act Reform (TSCA )
• Canada’s Chemicals Management Plan (CMP)
• Workplace Hazardous Materials Information System (WHMIS)
Global
• European Community (EC) Regulation 178
• EU RoHS
• 2007/47/EC (Phthalates)
• REACH
Asia Pacific• China RoHS)
• Industrial Safety and Health Law (ISHL) (Japan)
• Poisonous and Deleterious Substances Control Law (PDSCL) (Japan)
• Chemical Substances Control Law (CSCL) (Japan)
• Dangerous/Toxic Materials (Taiwan)
• Industrial Safety and Health Act (ISHA) (Korea)
• Toxic Release Inventory (TRI)
• Australian Inventory of Chemical Substances (AICS)
• Hazardous Substances and New Organisms (HSNO) Act (New Zealand)
European Union
• Globally Harmonized System (GHS) (Global)
• International Council of Chemical Associations Global Product Strategy
• NGO SIN (Substitute It Now) Lists
• Industry Lists
Per SAP “Product Compliance, Safety, and Stewardship for Process Industries” whitepaper
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Globally Harmonized System
• 1,000,000 chemicals
• 5,000,000 businesses
• 40,000,000 workers
• Estimated net savings of $764 million in U.S.
alone from safety and health risk reduction and
productivity improvements
• * Per OSHA “Facts on Aligning the Hazard Communication Standard to the GHS”
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Primary HCS Changes Per GHS
MSDSMSDSs will need to be updated or re-authored to meet GHS guidelines
LabelsLabels will need to be reprocessed during transition. Standardized pictograms, signal words, hazard statements will be required.
Updated safety data sheets and labels will need to be circulated and distributed to stakeholders
TrainingEmployees must be trained on the new content and format of SDSs and chemical labels
Communication
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MSDS and Chemical Management
MSDS Management
- Safety Binder Creation & Distribution $ 6,720
- Safety Binder Updating (bi-annual MSDS Updates) $ 21,000
- MSDS Archival $ 1,200
- MSDS Management Total $ 28,920
Chemical Inventory & HazMat Management
- Physical Inventory of Chemicals (Improvement) $ 4,200
- Inventory Management & Labelling $ 10,500
- Chemical Inventory Management Total $ 14,700
Regulatory Compliance & Business Reporting
- Workplace Chemical Inventory Reporting $ 750
- Form R Information/Reporting $ 3,000
- Tier 1/Tier II Reporting $ 1,500
- Chemical Inventory Management Total $ 5,250
- TOTAL IN-HOUSE MSDS MANAGEMENT COST $ 48,870
Risk Management
Risk Management
- Workman's Comp Risk Reduction $ 17,824
- Lost Productivity Reduction $ 1,747
- OSHA Fine Risk Reduction $ 3,095
- Risk Management Total $ 22,667
- TOTAL RISK REDUCTION $ 22,667
TOTAL INTERNAL COST & RISK REDUCTION
OPPORTUNITY$ 71,537
Cost & Risk Reductions
ROI
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Sustainability and Your Chemical Hazard
Footprint
PhysicalRegulatory
Environment
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Competitive Advantage
1. Do your customers have sustainability
requirements?
2. Are you meeting global regulations for shipping
and using hazardous chemicals?
3. Does your chemical strategy protocol support
“lean” initiatives?
4. Are you able to efficiently satisfy environmental
reporting and risk monitoring initiatives?
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Factors to Consider
People
TechnologyProcess
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People
Employees
Safety Managers
Risk Managers
Environmental Managers
Industrial Hygienists
IT and Procurement
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Functional Considerations
Safety Managers
• HazCom Plans• Accident Response• Corporate & Government
Compliance• Employee/Vendor
Protection
Risk Managers
• Compliance Tracking• Risk & Exposure
Assessments• Risk Mitigation• Compliance Reporting
Environmental Managers
• Environmental Reporting• Remediation• Contingency Planning• Community
Responsibilities
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Functional Considerations
Industrial Hygienists
• Chemical Analysis• Material Approval• Health Hazard
Assessment• Toxicology
IT & Procurement
• System Compatibility and Security
• Supplier and Inventory Control
• Procurement Optimization
• Chemical Inventory Visibility
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Chemical Management Processes
Chemical Data
Management
Material
Approval
C h e m i c a l
I n v e n t o r y
M a n a g e m e n t
Communication &
Training
M o n i t o r i n g &
R e p o r t i n g
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Chemical Inventory Management
C h e m i c a l
I n v e n t o r y
M a n a g e m e n t
• Elements of Proper Inventory Management
– What, Where, How Much
– On-site vs. Procurement-based Inventory
• Ongoing Inventory Management
• Updates
• Barcoding
• Data Exchange-Various Systems
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Material Approval
Material
Approval
• What are the Basic Elements of an Effective
Material Approval Process?
• Appropriate personnel in the review cycle
• Trackable
• Easily modified as the work environment or
personnel change
• Closed Loop
• Beyond Chemical Approval
• Hazard Profiling
• Chemical and Risk Assessment
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Chemical Data Management
Chemical Data
Management
• What data is important?
• What are you tracking?
• What are the chemicals you’re dealing with?
• What reporting is required?
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MSDS - The Foundational Element
• Hazard Classifications
• Regulatory Information
(components, %, don’t
forget section 15)
• Exposure Limits
• Handling, storage,
disposal
• More!
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Benefits of Electronic Chemical Management
• Complete MSDS data indexing including: • health and physical hazards
• physical and chemical classifications
• transportation classifications
• Regulatory cross-referencing
• Access to MSDS versions and archives
• Pre-populated labeling
• Integrated material approval
• External regulatory compliance and internal
management reporting
• GHS-compliant data
Chemical Data
Management
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Monitoring & Reporting
M o n i t o r i n g &
R e p o r t i n g
• Determine regulatory impact of certain materials when reviewing hazard footprint (e.g. CA Prop 65)
• Set goals to remove specific hazard types (carcinogens, corrosives, toxic substances, aquatic hazards, etc)
• Identify certain high-risk plants, chemical areas, or job functions with greater exposure
• Identify alternative products that have lower hazardous footprint
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Communication & Training
Communication &
Training
• What’s required?
• How do we help employees understand the
risks and safety procedures?
• How do we get employees (and
management) involved in the process?
• What are the expected results?
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Technology & Tools
• Electronic versus manual MSDS
management
• Balancing time, money, risk factors
• What are the alternatives?
• What is the expected return on
investment?
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Case Study #1
PROJECT OVERVIEW
Lexmark, an advocate for
environmental sustainability,
needed a scalable solution for
chemical management
spanning both corporate and
manufacturing facilities.
Lexmark turned to SiteHawk to
implement a corporate-wide
MSDS management system
that replaced in-house systems
and resources, resulting in a
more cost-efficient and
consistent approach across the
organization.
• Reduced active MSDS count from 12,000 to
6,500
• Shortened the chemical introduction process
from weeks to days
• Gained site-level data as well as corporate
view
• Eliminated daily chore of acquiring, updating,
and maintaining MSDS
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Case Study #2
PROJECT OVERVIEW
Elkay is a family of companies
that employ over 2,500 people
in distribution facilities
throughout North America and
select international markets.
With more than 2,100 chemicals
spanning nearly 20 facilities
worldwide, Elkay needed a
chemical management services
provider who could match their
desire for simplicity, robust
chemical data management
applications, and superior
attention to customer service
• Streamlined regulatory reporting for Toxic
Release Inventory (TRI) , etc.
• Wanted “more than just a data warehouse of
MSDSs”
• Eased the burden of chemical tagging via
automated labeling
• Increased worker safety and confidence
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Best Practices Blueprint
Step 1 – Get an accurate view of your current chemical inventory
Step 2 – Gain control of chemicals entering the workplace
Step 3 – Utilize a system and/or service that provides access to the
chemical data found on the MSDS
Step 4 – Realize the synergy of MSDS data/systems for integrated
material approval, regulatory reporting, labeling,
sustainability initiatives, as well as core safety compliance
Step 5 – Identify and communicate relevant information to
employees, regulators, management, etc. in order to
reduce risk, increase safety, and gain competitive
advantage
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Q & A