fleet safety – getting measurable results

Fleet Safety – Getting Measurable Results

Paul Farrell, CEO SafetyFirst

Jeff Lester, former Vice President - Safety, Health & SecurityRyder System, Inc.

David Hopps, VP - Risk Management, Safety & EnvironmentThe ServiceMaster Company


Introduction

Continuous Improvement Model

Fleet Safety Management System

Measurement

Questions and Answers

AgendaAgenda


Who Is SafetyFirst?Who Is SafetyFirst?

Provide Fleet Safety Services to both: Private Companies and Insurance Providers

Clients in all industry types: Construction Service Contractors Social Services Manufacturing Distribution Communications


INTRODUCTION


Fleet Safety ResultsFleet Safety Results

Motor Vehicle Collisions remain the leading cause of workplace death (USA)

NHTSA states that during CY2000: 36,249 drivers/passengers died 3.1 million injuries


Distribution by Vehicle TypeDistribution by Vehicle Type

0

10

20

30

40

50

60

% Registations % Fatal Accidents

Cars

Light Trks

Med/Hvy Trks

Source - Nat'l Safety Council Accident

Facts, 2003


All Crashes by Loss TypeAll Crashes by Loss Type

0

1000000

2000000

3000000

4000000

5000000

6000000

All Accidents

Pedestrian

Angle

Head On

Rear End

Swipe

Fixed Obj

Non Collision


Facts, 2003


Fatalities by Loss TypeFatalities by Loss Type

0

2000

4000

6000

8000

10000

12000

14000

Fatalities

Pedestrian

Angle

Head On

Rear End

Swipe

Fixed Obj

Non Collision


Facts, 2003


What is Fleet Safety?What is Fleet Safety?

Coordinating the efforts of managers and employees to: Minimize the potential for collisions, and Prepare to manage collisions that do occur Assure compliance with laws / regulations

that apply to your particular fleet operations


Typical “Fleet Safety” DetailsTypical “Fleet Safety” Details

Recruiting, screening and hiring drivers

Finding “at-risk” or “high-risk” drivers

Training drivers

Reporting, recording, investigating and analyzing crash data

Regulatory compliance

Assuring maintenance/fitness of vehicles



Are you satisfied with the results that are produced from these efforts?

Why do crashes continue despite our best efforts? Drivers are governed by behavior Interaction with a dynamic environment –

the “real world”



To achieve better results there are two keys: Identify opportunities for improvement Introduce or reinforce fleet safety practices


Continuous Improvemen

t Model

IdentifyIdentify

SetSetStandardsStandards

MeasureMeasure

EvaluateEvaluate


Who Is Ryder?Who Is Ryder?

~$4 Billion Revenue

Logistics and Leasing & Maintenance #1 in Markets Served

~30,000 Employees

~9,000 Vehicles Operated Pick-ups, Straight Trucks & Tractor-Trailers Hazardous Materials

~150,000 Leased/Rentals

~1,500 Locations


Identification PhaseIdentification Phase

Situation Assessment

Analyze Relevant Data

Fleet Safety Management System Gap Analysis

IdentifyIdentify

IdentifyIdentify


MeasureMeasure

EvaluateEvaluate


Develop and Deploy PhaseDevelop and Deploy Phase


Develop Initiatives (Prioritize) Cross-Functional Teams Low Hanging Fruit

Deploy Initiatives (Strategy and Timetables) Determine the Best Method for Deployment Establish Realistic Rollout Schedule

IdentifyIdentify


MeasureMeasure

EvaluateEvaluate


Measurement PhaseMeasurement Phase

MeasureMeasure

Audit Protocol Measure Standards to Ensure Adequacy & Compliance

Data Analysis Collect Information Regarding the Impact of Standards

Goals & Metrics

IdentifyIdentify


MeasureMeasure

EvaluateEvaluate


Evaluation PhaseEvaluation Phase

Identify Strengths (Benchmark among the best internally & externally)

Identify Weaknesses

Criteria for Evaluating Safety Excellence

EvaluateEvaluate

IdentifyIdentify


MeasureMeasure

EvaluateEvaluate


Effort vs. CostEffort vs. CostV

alu

e to

th

e C

om

pan

y

PProblem-

Driven

SStaff-Driven

LLine-

Driven

EExecutive-

Driven•Impact on Business Strategy•Create Market Differentiation

•Integrate into Line Mgmt•Manage Efficiently/Effectively

•Prevent Problems•Proactive Safety & Health Management

•Solve Problems•Reactive Safety Management

Program Sophistication/Maturity

Creating Business Advantage

Adding Value

Compliance

Fire Fighting

TYPE OF VALUE ADDED

Cost & Effort


Fleet Safety Management

System


Who Is ServiceMaster?Who Is ServiceMaster?


Who Is ServiceMaster?Who Is ServiceMaster?

~$4 Billion Revenue

#1 or #2 in Markets – Residential & Commercial

~40,000 Employees

~26,000 Vehicles – Top 3 Private Fleets Class 1 – 8 Hazardous Materials

~1,000 Company Locations - ~4,000 Franchisees

Six Sigma

Total Cost of Risk - $130 Million


Born to Drive…Born to Drive…


A Little Short…A Little Short…


Fleet Safety Management SystemFleet Safety Management System

1. Leadership and Administration

2 Employee Selection, Assessment, and Placement

3. Orientation and Training

4. Inspections

5. Accident / Incident Reports, Investigation, and Analysis

6. Work Rules, Procedures, and Permit Systems

Elements



7. Occupational Health and Wellness

8. Insurance / Claims Management

9. Purchasing and Engineering

10. Communications & Promotions

11. Recognition & Rewards

12. Regulatory Compliance Management

13. System Evaluations

Elements (continued)



Functional Leader Adequate Time, Training, & Resources Proper Reporting Relationship

Written Safety Management System Policy Statement

Safety, Health, Security/Loss Prevention, Injuries, Collisions, Substance Abuse, Regulatory, …

Responsibilities Functions & All Employees & Management Levels




Accountability Integrated into Business/Priorities/Plans,

Disciplinary Actions, MBOs, Performance Management, …

Employee Involvement Improvement Teams, Six Sigma, Safety

Committees, …

Government Regulations Monitoring of Federal, State & Local Regulations




2. Employee Selection, Assessment, and Placement

Application Requirements Company Specific & Regulatory

Minimum Hiring Requirements Experience, Collisions, Driving Convictions,

Road Tests, Regulatory, Drug Test, Exam, …

Screening & Investigations MVR’s & Background Checks

Interview & Selection Process



Orientation Management Hourly

Training Classroom & OJT Management – Fundamentals of S & H Hourly Initial & Recurrent Training

Vehicle Specific “Defensive Driving” Regulatory Compliance Topics

Remedial Training

3. Orientation and Training



Three Prong Allocation Past Performance – premium allocation Current Performance - Deductible Charge

Back System Incentive System – to get them to look forward

Employee Injury / Illness Management Process

Settlement Authority Return-to-Work / Transitional Duty

8. Insurance / Claims Management



Vehicle Specifications Technology/Tools

GPS, Onboard Computers, Collision Avoidance (e.g. Eagle Eye), Recorders (e.g. DriveCam)

“How’s My Driving?” Decals Facility (Building & Equipment)

9. Purchasing and Engineering


MEASUREMENT


Goals & Measurement at SVMGoals & Measurement at SVM

What Do We Measure?

How Do We Set Goals?

How Do We Motivate Compliance / Performance?

What Do we Learn From Collisions, etc.?


Goals & Measurement at RyderGoals & Measurement at Ryder

What Do We Measure?

How Do We Set Goals?

How Do We Motivate Compliance / Performance?

What Do we Learn From Collisions, etc.?


Questions and AnswersQuestions and Answers

?

fleet safety – getting measurable results

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